Advanced Micro Devices, Inc. (NASDAQ:AMD) is a trending AI stock with a new price target of $246.00 from Morgan Stanley. The firm raised its 2027 datacenter GPU estimates for AMD to $20 billion. Revised projections for 2027 show revenue of $51.2 billion and non-GAAP earnings per share of $8.82.

The outlook for AMD reflects rising demand for AI-related products and confidence in their data center market position. With a new price target aligning valuation with peers like Broadcom and Nvidia, AMD may command an even higher valuation if it secures major AI customers.

AMD develops and sells semiconductors, processors, and GPUs for data centers, gaming, AI, and embedded applications. While AMD shows investment potential, some AI stocks offer greater upside potential and less downside risk. For an undervalued AI stock benefiting from tariffs and onshoring, see the free report on the best short-term AI stock.

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Read more at Yahoo Finance: Morgan Stanley Raises AMD Price Target to $246 on Strong AI Datacenter Outlook