AMD Reports Q1 Results Amid Tightened Export Restrictions
AMD Stock Predictions by Analysts before Earnings Releases
Attention tech enthusiasts! AMD is set to unveil its first-quarter results following market closure on Tuesday. But the chipmaking giant has been on a rollercoaster ride due to the tightened export restrictions from the Trump administration—a bumpy ride that's caused several analysts to adjust their price targets for AMD's shares.
Bank of America Securities slashed AMD's price target to $105 from $110, labeling the new licensing requirements as an "effective shipment ban" on AMD's MI308 chips. In related news, AMD warned of potential charges amounting to $800 million if they can't secure a license. Nvidia, on the other hand, faces a whopping $5.5 billion charge connected to their H20 chip.
Deutsche Bank analysts dropped the price target to $105 from $120, while Wedbush Securities moved to $115 from $150 around the same time. Despite these downgrades, the consensus price target among analysts tracking AMD remains at $123.50, a 25% premium over Friday's closing price.
The tech sector remains optimistic, with six analysts rating AMD as a "buy," five staying neutral, and only one advocating for a "sell." AMD's stock price has taken quite a tumble, dipping nearly 20% in 2025.
AI Spending Continues Unabated
Despite an uncertain tariff environment, Citi analysts remain confident about AI spending. With tech giants like Meta Platforms planning to increase capital expenditures this year to between $64 billion and $72 billion, and Microsoft and Alphabet reiterating their AI spending targets of $80 billion and $75 billion, respectively, it's clear that AI infrastructure buildouts are top priorities for these companies.
Citi believes this trend is positive for AI-exposed stocks like AMD, stating, "We view this as positive for AI-exposed stocks, including AMD."
Analysts anticipate AMD to report first-quarter revenue of $7.13 billion, a 30% YoY growth, alongside adjusted earnings of $1.55 billion, or 94 cents per share, representing more than a 50% increase compared to the year-ago quarter. Data center sales are predicted to soar 55% to $3.63 billion.
Stay tuned for AMD's Q1 results, the resilience of AI infrastructure spending, and the future outlook for this technological powerhouse. Don't forget to check out our website for the latest tech news and insights!
Investors should keep an eye on AMD's Q1 results, as the consensus among analysts suggests a price target of $123.50, despite recent downgrades and export restrictions. Citi analysts also view the resilience of AI infrastructure spending as positive for AI-exposed stocks like AMD.
