Saad Ullah
AMD just scored a significant vote of confidence from Wall Street. Analysts peg the deal at over $90 billion through 2030, potentially bringing in $22 billion a year by decade's end.
Chart Breakdown
In a recent update shared by Daniel Romero, Mizuho Securities bumped its price target from $205 to $275, driven by AMD's massive contract with OpenAI. The technicals back up the hype. AMD's breaking out of its recent range with solid volume behind it. The $200 level is holding strong as support, while the new $275 target marks the next resistance zone where some profit-taking might kick in. Moving averages are stacked bullishly, and rising volume hints at institutions piling in.
The OpenAI Partnership
This deal puts AMD squarely in Nvidia's crosshairs. OpenAI choosing AMD hardware for AI training and inference isn't just about revenue—it's a credibility boost. AI infrastructure spending is expected to hit $300 billion annually by 2030, and AMD's MI300X accelerators are increasingly seen as a real alternative to Nvidia's GPUs. Getting validation from one of the world's top AI labs matters.
Mizuho's upgrade isn't just about one contract. It reflects AMD's positioning in a market that's about to explode. While Nvidia still dominates, AMD is closing the gap with competitive performance and pricing. Institutional money is flowing into AI plays, pushing AMD higher. That said, execution risk and sector cycles remain concerns worth watching.
Saad Ullah
