UBS Keeps Buy Rating on AMD After Q2 2025 Results

Advanced Micro Devices, Inc. (NASDAQ:AMD) is one of the 11 Best Revenue Growth Stocks to Buy Now. On August 6, UBS reaffirmed its Buy rating for Advanced Micro Devices, Inc. (NASDAQ:AMD) with a price target of $210.

This decision came after Advanced Micro Devices, Inc. (NASDAQ:AMD) reported results for the second quarter of 2025, which showed revenue beat and guidance above consensus.

UBS analyst Timothy Acuri pointed out that while Advanced Micro Devices, Inc. (NASDAQ:AMD) beat revenue expectations and gave guidance above consensus, the results were mostly in line with investor expectations heading into the announcement.

The revenue beat was mainly supported by the gaming segment. In the second half of the year, the company’s data center GPU business is expected to deliver a strong performance.

Even though hyperscaler capital expenditure increased, Advanced Micro Devices, Inc. (NASDAQ:AMD) did not increase its full-year forecast for its data center GPU business. However, UBS noted that excluding sales in China, the company’s data center GPU business is growing at a rate similar to NVIDIA Corporation’s (NVDA) in the second half of 2025.

Additionally, UBS is optimistic about Advanced Micro Devices, Inc.’s (NASDAQ:AMD) market share growth potential in both server and desktop CPU segments. These segments make up about 35% of the company’s revenue and accretive to margins. UBS noted the outlook in these areas is especially strong because Intel Corporation (INTC) continues to face challenges.

Advanced Micro Devices, Inc. (NASDAQ:AMD) is a global semiconductor company that specializes in graphics processing units (GPUs), microprocessors, and high-performance computing solutions. The company serves a range of high-growth industries like gaming, data centers, and AI.

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Disclosure: None. This article is originally published at Insider Monkey.