TLDR
- AMD stock jumped nearly 14% on Friday, lifted by Intel’s strong Q1 earnings report
- D.A. Davidson upgraded AMD to Buy and raised its price target to $375 from $220
- Intel’s results signaled rising CPU demand driven by the shift to agentic AI workloads
- Jefferies believes AMD is actually taking server market share from Intel
- AMD reports its own Q1 earnings on May 5
Advanced Micro Devices (AMD) had a strong Friday, climbing nearly 14% to around $350 as Wall Street cheered Intel’s blowout first-quarter results.
Advanced Micro Devices, Inc., AMD
Intel’s report wasn’t just good for Intel. It sent a signal across the chip sector that demand for central processing units is picking up fast, and AMD is seen as one of the biggest potential winners.
D.A. Davidson analyst Gil Luria upgraded AMD to Buy from Neutral and lifted his price target sharply, from $220 to $375. That’s a big move in one note.
Luria pointed directly to Intel’s earnings as the trigger. Intel posted Q1 revenue and earnings that blew past analyst expectations, with particularly strong data center chip sales.
The key driver? AI agents. As AI shifts from training large language models to running inference tasks — where models actually execute real-world jobs — CPUs have become essential infrastructure.
“We view Intel’s results as a precursor for a huge step-up for AMD’s CPU franchise,” Luria wrote. He added that the structural shift toward agentic AI is creating demand for server CPUs at a scale not seen before.
With demand expected to outpace supply, Luria also argued AMD has room to raise prices across its CPU lineup, which would widen margins and boost earnings power.
Where AMD Stands vs. Intel
Intel got the headlines Friday, surging 24% on its own results. But several analysts think AMD could be the better long-term play.
Jefferies, which boosted its Intel price target Thursday night, said it remains most excited about AMD. The firm holds a Buy rating and a $300 target on AMD, while keeping Intel at Hold.
“INTC noted double-digit server unit growth with momentum extending into 2027, but AMD likely sees even better growth,” the Jefferies team wrote. They also flagged AMD’s upcoming Venice chips, expected late 2026 or early 2027, as a key catalyst.
Morgan Stanley analyst Joseph Moore offered a more measured take. He holds Equal Weight ratings on both stocks and argued Intel’s earnings beat was driven by supply constraints — not Intel gaining share at AMD’s expense.
Moore said the CPU “music is likely to keep playing for a while, as there is no indication that supply catches up to demand.”
Broader Chip Sector Gains
AMD wasn’t alone. Arm Holdings (ARM) also jumped nearly 15% Friday. Arm recently announced plans to produce its own CPU, putting it in closer competition with both Intel and AMD.
The PHLX Semiconductor Index rose 4.5% on the day, extending a winning streak to 18 consecutive sessions. The index is now up 43% in 2026 and more than 140% over the past 12 months.
AMD’s stock hit a session high of $352.99 on Friday, its highest level in over a year. The 52-week range runs from $91.87 to $352.99.
AMD is set to report its own first-quarter results on May 5, with a conference call beginning at 5:00 p.m. ET that same day.
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