AMD’s market value topped $1 trillion for the first time on Sept. 21, after its shares rose nearly 10% to close at $615.52. Insider Monkey says AI demand and customer commitments support growth, but argues the valuation depends on AMD taking market share from NVIDIA.
AMD warned partners of a roughly 10% price increase across AI accelerators, consumer GPUs and chipsets. It forecast third-quarter revenue of about $13 billion, up from $11.5 billion in Q2; CEO Lisa Su expects data-center revenue to more than double year over year by 2027. The article cites Anthropic’s commitment for up to 2 gigawatts of MI450 GPUs and a reported 50,000-unit MI450 supply to Oracle.
The article puts AMD’s estimated share of the AI accelerator market at about 13%, versus NVIDIA’s estimated 81%, and says its valuation assumes AMD will gain ground. It also cites nearly $109 million in insider sales over three months and one third-party model that values the stock at less than half its market price. Piper Sandler initiated coverage with an Overweight rating and a $600 target; Stifel reiterated Buy with a $635 target. The article says to watch whether Q3 revenue meets guidance and the company maintains its 56% non-GAAP gross-margin target.
