AMD price target lowered to $175 from $180 at Goldman Sachs

Goldman Sachs lowered the firm’s price target on AMD to $175 from $180 and keeps a Buy rating on the shares post the Q1 report. While the positive revision to AMD’s 2024 data center GPU revenue outlook to $4B from $3.5B “may have underwhelmed the most bullish of investor expectations,” the company is making the appropriate investments and has the long-term product roadmap in place to benefit from growth in artificial intelligence infrastructure spending over the medium- to long-term, the analyst tells investors in a research note. Additionally, the firm says AMD continues to gain server CPU market share, which could accelerate into 2025 as traditional compute deployments begin to recover.