Advanced Micro Devices (AMD) stock has surged 116% in the last year, benefiting from the AI wave. Analysts are bullish on the company’s earnings, expecting growth through 2026. With a strong financial performance, AMD’s stock has risen 44% in the last six months.

AMD expects significant growth in the compute market, aiming for a $1 trillion market size by the end of the decade. The company has outlined long-term growth targets, projecting top-line growth exceeding 35% over the next few years, with a focus on the data center business.

Strategic partnerships with OpenAI, Oracle, Meta, and the U.S. Department of Energy are set to drive growth for AMD. The company reported a robust financial position with $7.2 billion in cash reserves and a strong free cash flow potential, supporting continued investments for growth.

Analysts have a consensus “Moderate Buy” rating on AMD stock, with a mean price target of $286.49 and an upside potential of 16.3%. Expectations for 77% earnings growth in FY26 and a forward price-earnings ratio of 45.5 indicate positive momentum for the company.

Read more at Yahoo Finance: Should You Buy AMD Stock Before Q4 Earnings?