NEW YORK, January 1, 2026, 18:01 ET
- AMD starts 2026 near $214, with analysts’ average target implying a roughly 32% upside.
- CEO Lisa Su is due to headline CES days into the new year, a key early catalyst for chip stocks.
- The 2026 setup hinges on AI infrastructure spending and whether customers keep capital outlays steady.
As 2026 begins, Wall Street’s average 12-month price target for Advanced Micro Devices (AMD.O) sits at $282.82, implying about 32% upside from $214.16, according to Investing.com data.
That forecast lands days before a closely watched stage appearance. AMD said CEO Lisa Su will deliver the company’s CES 2026 keynote on Jan. 5 at 9:30 p.m. ET, ahead of the Las Vegas tech show that runs Jan. 6-9.
The broader backdrop is an equity market leaning heavily on artificial intelligence (AI) narratives and corporate profit growth. The S&P 500 rose more than 16% in 2025 and S&P 500 earnings are projected up over 15% in 2026, Tajinder Dhillon, head of earnings research at LSEG, told Reuters. “If companies start to pull back on the capex … the market loses confidence in the returns that the AI investment will generate,” said Jeff Buchbinder, chief equity strategist at LPL Financial. 1
A price target is an analyst’s estimate of where a stock could trade over the next 12 months. It is typically based on expected sales, profit and a valuation multiple.
For AMD, the split between optimistic and cautious forecasts reflects the high stakes around AI accelerators. Investors are trying to judge whether demand for data-center chips will widen beyond the largest buyers and stay resilient through 2026.
AMD has been framing 2026 as a proving year for its next wave of AI hardware. At a November analyst day in New York, the company said it expected annual data center chip revenue of $100 billion within five years and planned to launch its next-generation MI400 series of AI chips in 2026, Reuters reported. 2
In a separate Nov. 11 press release, AMD said its upcoming “Helios” systems with Instinct MI450 series GPUs are expected to begin in the third quarter of 2026. It also said the MI350 series has already been deployed at scale by leading cloud providers, including Oracle Cloud Infrastructure. 3
GPUs, short for graphics processing units, are specialised processors widely used to train and run AI models. “Rack-scale” refers to linking many chips and networking inside a server rack so the hardware operates as one larger system.
AMD’s push puts it in direct competition with Nvidia (NVDA.O), which dominates the market for high-end AI processors. Nvidia’s CES 2026 event page says it will be in Las Vegas from Jan. 5-9 to showcase AI-focused products and partnerships.
Outside AI accelerators, AMD also competes with Intel (INTC.O) in central processors for servers and PCs. Those segments can swing with enterprise budgets and consumer upgrades, adding a cyclical layer to the 2026 outlook.
Investors will listen at CES for any update that tightens the timeline for new chip rollouts and the scale of customer commitments. They will also watch for signals on pricing and supply, which can change quickly when demand surges.
The key downside risk remains a pullback in customer capital spending, particularly at cloud and enterprise buyers funding AI infrastructure. Any sign of slower deployments would pressure the growth assumptions embedded in analysts’ targets.
For now, AMD enters 2026 with a buy-weighted Street view and an early-year spotlight at CES. The next milestones will be measured in product execution and evidence that AI momentum is translating into durable revenue growth through 2026.
