Key Takeaways
- Advanced Micro Devices stock surged almost 14% Friday following Intel’s impressive Q1 earnings
- D.A. Davidson elevated AMD to Buy rating with a new $375 price target, up from $220
- Intel’s quarterly performance indicated strengthening CPU demand fueled by agentic AI adoption
- Jefferies analysts suggest AMD is capturing server market share from Intel
- AMD’s Q1 earnings report is scheduled for May 5
Shares of Advanced Micro Devices (AMD) delivered impressive gains Friday, surging nearly 14% to approximately $350 following Intel’s exceptional first-quarter earnings performance that energized the semiconductor sector.
Advanced Micro Devices, Inc., AMD
Intel’s quarterly results proved beneficial beyond its own stock price. The report signaled to investors that central processing unit demand is accelerating rapidly, positioning AMD as a prime beneficiary of this trend.
Gil Luria, analyst at D.A. Davidson, elevated his rating on AMD from Neutral to Buy while substantially increasing his price target from $220 to $375—a notable adjustment in a single research note.
Luria cited Intel’s earnings as the catalyst for his revised outlook. Intel delivered first-quarter revenue and profit figures that substantially exceeded Wall Street forecasts, with data center chip revenue showing particular strength.
The underlying catalyst? Agentic AI workloads. As artificial intelligence applications transition from training large language models to executing inference tasks—where models perform practical, real-world functions—CPUs have emerged as critical infrastructure components.
With demand projected to exceed supply availability, Luria also suggested AMD has opportunities to increase pricing throughout its CPU portfolio, potentially expanding profit margins and strengthening earnings capability.
AMD’s Competitive Position Against Intel
While Intel captured attention Friday with a 24% stock surge on its results, multiple analysts believe AMD may offer superior long-term investment potential.
Jefferies, which raised its Intel price target Thursday evening, indicated its strongest enthusiasm remains with AMD. The firm maintains a Buy rating and $300 price target on AMD, while keeping Intel at a Hold rating.
Morgan Stanley analyst Joseph Moore provided a more balanced perspective. Maintaining Equal Weight ratings on both companies, Moore suggested Intel’s earnings outperformance stemmed from supply limitations—not from Intel capturing market share from AMD.
Semiconductor Sector Momentum
AMD wasn’t the only chip stock posting substantial gains. Arm Holdings (ARM) also climbed nearly 15% Friday. Arm recently revealed intentions to manufacture its own CPU, intensifying competition with both Intel and AMD.
The PHLX Semiconductor Index advanced 4.5% during the session, marking its 18th consecutive positive trading day. The benchmark has climbed 43% in 2026 and more than 140% over the trailing 12 months.
AMD shares reached an intraday peak of $352.99 Friday, marking the stock’s highest level in over a year. The 52-week trading range extends from $91.87 to $352.99.
Advanced Micro Devices is scheduled to announce its first-quarter financial results on May 5, with an investor conference call commencing at 5:00 p.m. ET the same day.
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Source: https://blockonomi.com/amd-stock-soars-14-following-intels-strong-earnings-and-d-a-davidson-upgrade/
