June 16, 2025 – USA — Advanced Micro Devices Inc. (NASDAQ: AMD) rallied sharply on Monday, gaining nearly 8% and breaking through recent resistance levels. The surge followed a bullish analyst report and renewed optimism in the company’s GPU and AI businesses.
The sharp rise was fueled by an upgrade from Piper Sandler, which boosted AMD’s price target to $140. Analyst Harsh Kumar cited strengthening momentum in AMD’s AI accelerator segment and solid performance in its client processor business.
AMD closed at $125.73, marking one of its strongest single-day moves in recent weeks. The stock has been under pressure over the past year, down more than 24%, but Monday’s rally is a potential signal that sentiment is turning.
Wall Street analysts remain moderately bullish on AMD. The average 12-month price target from 41 analysts sits at $130.84, indicating a modest upside of about 4%. Some forecasts go much higher, with top-end projections reaching $200.
Meanwhile, GuruFocus’ valuation model estimates AMD’s fair value at $165.24, suggesting a potential upside of over 31% from current levels. This model considers historical price multiples, growth trends, and forward-looking business performance.
Monday’s gains come as AMD continues to expand its footprint in the competitive semiconductor space. The company faces intense rivalry from Intel in CPUs and Nvidia in the booming AI GPU market.
Despite a tough year for tech stocks, AMD remains a standout in the long run. The stock has soared over 116% in the past five years and delivered a staggering 26,000% gain since inception.
Today’s rally also provides a psychological boost for investors hoping to see AMD stock break free from its year-long downtrend. The previous close was $116.16, highlighting just how strong Monday’s rebound was.
Investors are now eyeing upcoming product launches and data center developments as key catalysts. AMD’s innovation in gaming, high-performance computing, and AI could power the next leg of growth if momentum holds.
While short-term volatility remains a factor, AMD’s long-term story is still intact — and Monday’s rally may be the beginning of a broader shift in market sentiment.