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Quick Take

• Goldman Sachs raised AMD’s price target from $450 to $640 this morning, maintaining Buy, implying roughly 13% upside from current levels around $560
• Nvidia’s Kyber NVL144 rack-scale system was reported delayed by over 12 months to 2028, per SemiAnalysis, due to PCB midplane manufacturing problems
• AMD’s Q1 2026 Data Center revenue hit $5.78 billion, up 57% year-over-year, crossing 50% of total company revenue for the first time
• Q2 2026 guidance came in at approximately $11.2 billion, up 46% year-over-year, with server CPU revenue guided to grow more than 70% year-over-year
• AMD’s Advancing AI event runs July 22-23 in San Francisco, with CEO Lisa Su expected to detail the Helios rack-scale platform and MI450 roadmap
• Q2 earnings are confirmed for August 4, 2026, after close
• Cantor Fitzgerald holds the highest Street target at $700, with UBS at $670 and Wells Fargo at $615
• AMD stock is up roughly 150% year-to-date, trading near $560 with a forward P/E around 74 and trailing free cash flow of $8.6 billion

Two things landed this morning that you really shouldn’t read separately.

Goldman Sachs analyst James Schneider raised his AMD price target from $450 to $640 before 10 a.m., keeping his Buy rating intact. AMD had sold off nearly 11% late last week from its all-time high. Goldman used that dip to quietly upgrade rather than pull back. That’s worth noting on its own.

But the more interesting thing happened on the Nvidia side.

SemiAnalysis reported this morning that Nvidia’s Kyber NVL144 rack-scale system, unveiled by Jensen Huang at GTC just three months ago, has been delayed by more than 12 months to 2028. The problem is a specialized PCB midplane at the center of the design that remains too difficult to produce reliably. Nvidia’s backup approach, a back-to-back rack configuration called NVL72x2, was also scrapped after cloud providers rejected it as too costly. Nvidia did not respond to requests for comment.

For anyone watching where the AI infrastructure buildout goes in 2027, that delay matters more than a price target bump from any bank.

What’s interesting is how cleanly this opens a window for AMD. The delay forces hyperscalers to either extend their current-generation Nvidia deployments or evaluate alternative architectures. AMD’s Helios rack-scale platform and the MI450 GPU ramp in H2 2026 are exactly the products sitting in that window. Lisa Su told investors after Q1 that lead customer forecasts for Helios were already exceeding AMD’s initial plans. That sentence lands differently now.

The reason analyst price targets keep landing below where AMD already trades is not that Wall Street is behind the story. It’s that the stock has moved faster than the models. The consensus average target of around $515 sits below the current price. That’s a catch-up dynamic, not a bearish one. Over 20 brokerages raised targets after Q1 earnings in May. More are coming.

The financial foundation underneath all of this is real. AMD reported $10.3 billion in Q1 2026 revenue, up 38% year-over-year, with Data Center alone contributing $5.78 billion at 57% growth. Free cash flow more than tripled to $2.6 billion that quarter. Management guided Q2 to approximately $11.2 billion, roughly 46% year-over-year growth, with server CPU revenue specifically expected to grow more than 70% year-over-year. That server CPU number is the part most people are still underweighting.

Wells Fargo’s Aaron Rakers put it plainly in his note raising AMD to $615: the server CPU story is where the new earnings upside actually lives, not just the GPU side that dominates the headlines. His model has AMD server CPU revenue reaching $25 billion by 2028, up from $16 billion this year. AMD’s 2nm EPYC Venice chips entered production ramp in May and are validating faster than any prior EPYC generation.

Goldman’s Schneider specifically flagged new customer commentary as what could move 2027 data center estimates higher. He called out Meta and OpenAI engagement as key items to watch on the August 4 earnings call. He also called the July 22-23 Advancing AI event a positive catalyst, expecting AMD to present a constructive outlook for server CPU demand sustainability and show more on Data Center GPU customer adoption.

The risk is the same one it’s always been.

AMD trades at more than 170 times trailing earnings right now. The forward multiple drops to around 74 on next year’s estimates, which assumes near-flawless execution across the MI450 ramp, Venice CPU volumes, and hyperscaler deployments all hitting on schedule. Any one of those slipping in August guidance and this multiple gets repriced fast. Export control uncertainty around AI chip sales to China is another real variable that doesn’t show up cleanly in the bull case.

The question most people keep asking, whether AMD has already priced in the upside, may be the wrong frame entirely. Cantor’s $700 target. UBS at $670. Wells Fargo at $615. Goldman now at $640. Those aren’t the numbers of a thesis that thinks the move is finished. They’re the numbers of analysts still catching up to a stock that keeps making new arguments for itself.

July 23 is the preview. August 4 is the test.