Advanced Micro Devices (AMD) concluded 2025 with a strong performance, as its stock price gained approximately 78-83% for the year. Heading into 2026, commentary focuses on the company's strong position, centered primarily on its AI accelerators.
The MI350 series specifically challenges Nvidia’s market dominance. AMD has already secured deployment commitments from major customers, including Microsoft, Meta, and OpenAI.
Optimism is further boosted by speculation regarding a potential deal with Samsung. This agreement would supply 2nm AI chips and could finalize as early as January 2026. Separately, institutional interest remains high; billionaire investor David Tepper acquired a new $153.7 million stake during the third quarter.
Wall Street sentiment remains broadly bullish. Multiple analysts upgraded price targets, citing AMD's successful transition into a key player within the AI and data center markets.