Advanced Micro Devices (AMD) failed to beat earnings expectations for its second quarter, with shares falling 6% in premarket trading. The chipmaker reported adjusted earnings of 48 cents per share, missing the 49 cents per share forecast by analysts polled by LSEG.
Despite the miss, AMD’s overall revenue exceeded expectations at $7.69 billion, beating the predicted $7.42 billion. Net income also increased from the year-ago period.
Analysts generally maintained their ratings on the stock, with some raising their price targets. However, many noted that the company’s earnings did not provide any significant upside for investors.
“AMD’s Q2 results were decent at first glance,” said Analyst Stacy Rasgon of Bernstein. “However, the beat was entirely driven by Gaming, with a slight miss in Client and roughly in-line results for Data Center and Embedded.”
Goldman Sachs stands by its neutral rating but raises its price target to $150 from $140. Morgan Stanley keeps an equal weight rating but lowers its price objective to $168 from $185.
In contrast, some analysts remain bullish on AMD’s prospects, including JPMorgan, which reiterates a neutral rating and hikes its price target to $180 from $120. Barclays maintains an overweight rating and raises its price target to $200 from $130, implying 15% upside ahead.
UBS reiterates its buy rating and sets a price target of $210 per share, corresponding to a 20% upside. Bank of America keeps a buy rating but adjusts its price target to $200.
Source: https://www.cnbc.com/2025/08/06/amd-posted-a-second-quarter-earnings-miss-heres-what-analysts-had-to-say.html