AMD rallies on AI one-click bundle, partnerships to $275 Jan

AMD rallies toward $275 on AI driver launch, enterprise deals and Venice EPYC momentum

  • AMD stock has climbed recently and is being positioned to reach $275 by the end of January.
  • The company released the Adrenalin 26.1.1 driver with an AI bundle that simplifies setting up AI on devices using its Ryzen CPUs and Radeon GPUs.
  • AMD has added enterprise partners including Tata Consultancy Services, HPE, Oracle, Google, Microsoft, Alibaba and IBM, and has deals with OpenAI and Oracle.
  • Analysts cite the Venice EPYC processor built on TSMC’s 2 nm process as a likely driver of CPU share gains and margin improvement.
  • KeyBanc reaffirmed an “Overweight” rating with a $270 target and Bernstein raised its price target from $200 to $225.

AMD shares have risen over the past week and are being positioned to hit $275 by the end of January, driven by new product updates and expanding enterprise deals. On Thursday, the company issued the Adrenalin 26.1.1 driver that includes an AI bundle designed to make one-click AI setup on devices using its Ryzen CPUs and Radeon GPUs, and the stock moved up about 2% that day.

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The company has secured partnerships with firms worldwide, including Tata Consultancy Services, HPE, Oracle, Google, Microsoft, Alibaba and IBM. Tata Consultancy Services will work with AMD to develop industry-specific AI and generative AI solutions that combine TCS’s services with AMD’s computing products.

Analysts point to the Venice EPYC chips, built on TSMC’s 2 nm process, as a potential catalyst for CPU market-share gains and better margins. The company’s AI offerings and recent product updates have helped build bullish momentum and support the stock rally.

Over the past nine months, AMD stock has climbed more than 200% from early-April lows. Several Wall Street firms view the company as an alternative to NVIDIA, and note that AMD continues to compete with Intel and Arm Holdings while maintaining a strong position in server CPUs.

On analyst moves, KeyBanc reiterated an “Overweight” rating and a $270 price target, saying hyperscalers are securing 2026 capacity and that AMD is nearly sold out of server CPUs through the end of that year. Bernstein raised its target from $200 to $225.

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