Latest news with #BlackwellB200
Miami Herald
4 hours ago
- Business
- Miami Herald
Analysts reset AMD stock price target ahead of key earnings
Advanced Micro Devices (AMD) stock is on the rise as the chipmaker gains momentum in the AI race, following months of lagging behind Nvidia (NVDA) . It was reported earlier this week that AMD is thinking of raising the price of its Instinct MI350 AI accelerator to $25,000 from $15,000, according to Wccftech's report citing HSBC's analyst note. The nearly 70% increase in MI350's price could mean a notable growth in AMD's future revenue. The price increase indicates that AMD is seeing demand for its AI products, the report said. AMD's stock had tumbled in 2024 and earlier this year on concerns about trading uncertainties and its competitive footing. Now, with news on the company's advanced chips, Wall Street is starting to reconsider AMD's long-term potential in the booming AI space. In June, AMD's CEO Lisa Su said at a developer conference that the MI350 series is faster than Nvidia's. Meanwhile, the MI350 is cheaper than its counterpart product from Nvidia's Blackwell B200, Wccftech reported. Su previously predicted $500 billion in AI accelerators market revenue by 2028, but she now sees it topping that number. "People used to think that $500 billion was very large number," she said. "Now it seems well within grasp." Shares of AMD are up more than 14% over the past five trading days. Image source: Cheng/AFP via Getty Images Three months ago, AMD reported stronger-than-expected first-quarter results and gave a solid forecast for the second quarter, even as it faced challenges from the broader economy and export restrictions on AI chip sales to China. The company then posted adjusted earnings of 96 cents per share on $7.44 billion in revenue, both beating Wall Street's expectations. Its data center business generated $3.7 billion in sales, a 57% increase from a year earlier and also ahead of analyst estimates. Related: Jim Cramer drops blunt 6-word message on Nvidia stock "While we face some headwinds from the dynamic macro and regulatory believe they are more than offset by the powerful tailwinds from our leadership product portfolio," Su said in May. AMD is set to report its second-quarter earnings on August 5. Wall Street expects earnings of 47 cents per share on revenue of $7.41 billion. Several analysts are more optimistic and believe the company may deliver stronger results than expected. Bank of America has raised its price target on AMD to $200 from $175, maintaining a Buy rating ahead of the earnings report. The firm said it expects AMD to beat expectations in both Q2 and Q3, driven by strong demand for its AI GPUs and CPUs, according to a research note published on July 29. BofA sees upside supported by solid demand for CPU and GPU, stronger pricing for AI chips, and a robust cloud capex environment, analyst Vivek Arya wrote. Related: Analysts turn heads with new Alphabet stock price target after earnings The firm said AMD is well-positioned to gain market share in both the PC and server CPU markets over the next two years. The firm also expects AMD to maintain a growing presence in the AI accelerator space, benefiting from its current product momentum and competitive pricing compared to Nvidia. "Longer-term, we expect AMD to reach more than 30% of overall CPU market by CY26, up from just below 20% in CY23, as well as potentially 4-5% of AI GPU market," Arya noted. There may also be additional upside if AMD receives regulatory approval to resume AI chip shipments to China, according to the report. While not yet confirmed, BofA sees that potential as a key factor for AMD's GPU sales outlook. UBS also recently raised its price target to $210 from $150 and maintained a buy rating, citing strength in both the PC and server segments, reported on July 29. More Tech Stocks: Analyst who correctly predicted Rocket Lab stock surge resets forecastVerizon Q2 earnings report surprises with remarks on tax reformFund manager who forecast Nvidia stock rally reboots outlook The firm said it expects upside in AMD's second-quarter results, with guidance likely to beat Wall Street expectations. AMD stock has climbed more than 46% year-to-date. Nvidia is up 30% over the same period. Related: Legendary fund manager has blunt message on 'Big Beautiful Bill' The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Business Insider
2 days ago
- Business
- Business Insider
AMD Stock Surges on Huge Instinct MI350 AI Price Increase Report
Advanced Micro Devices (AMD) stock rallied on Monday alongside reports of a price increase for its Instinct MI350 AI chips. These are special graphics processing units (GPUs) made by AMD for use in artificial intelligence (AI) applications. The latest reports claim AMD will raise the price of these GPUs to $25,000 per unit. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. To put that in perspective, the price for an Instinct MI350 AI GPU prior to this was $15,000. That means AMD will boost the price by $10,000, or roughly 70%. Even so, it's still much cheaper than rival Nvidia's (NVDA) Blackwell B200 AI chip, which starts at $30,000. According to the latest reports, AMD will increase the price of its Instinct MI350 AI chips to match their performance value. The company believes it has reached a point where the Instinct MI350 AI chips are comparable to Nvidia's Blackwell B200 AI chips. Even so, it will keep the price below Nvidia's offerings to attract buyers, a strategy it also employs in sales of its consumer-grade GPUs. AMD Stock Movement Today AMD stock was up 4.34% on Monday, extending a 43.63% year-to-date rally and its 19.12% gain over the past 12 months. Investors will also note that AMD stock received a price target increase from UBS analysts. The firm raised its price target for the shares to $210 from $150 and maintained a Buy rating. The UBS analyst argued AMD is set for strong Q2 performance due to its PC and server operations. AMD will report earnings after markets close on Aug. 5. Is AMD Stock a Buy, Sell, or Hold? Turning to Wall Street, the analysts' consensus rating for AMD is Moderate Buy, based on 26 Buy and 10 Hold ratings over the past three months. With that comes an average AMD stock price target of $145.90, representing a potential 16.08% downside for the shares.
Business Insider
17-07-2025
- Business
- Business Insider
AMD Stock Rally Is ‘Empty Calories,' Says Citi's Top Analyst
Citi's top analyst, Christopher Danely, calls the recent rally in AMD stock (AMD) 'empty calories' because he believes the chip ban can be reinstated at any time. Yesterday, Advanced Micro Devices rallied 6.4% after President Donald Trump lifted the ban on export of artificial intelligence (AI) chips to China. The news also boosted shares of major semiconductor companies, including Nvidia (NVDA), which rose 4% to reach a new all-time high of $172.40. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Danely has a 'Hold' rating on AMD stock and a price target of $145, which implies 6.8% downside potential from current levels. Danely ranks #588 out of 9,861 analysts tracked on TipRanks. He boasts a 66% success rate and an average return per rating of 11.40%. Here's Why Citi Is Skeptical About the AI Ban Reversal The easing of export restrictions means AMD can now resume shipments of its MI308 AI chips to China. The White House had previously imposed a ban on the export of advanced AI chips to China due to national security concerns. Notably, AMD was expected to take an $800 million hit from the ban, while Nvidia faced a larger $5.5 billion impact. However, the situation has changed following the easing of trade tensions between the U.S. and China. Danely has a rather skeptical view on the news. He noted that the resumption of MI308 chip sales to China is 'not sustainable' as they could be banned again. The U.S.-China trade relations remain fragile, and even a minor incident could prompt substantial policy shifts. Having said that, Danely believes that the Trump administration's $70 billion investment in Pennsylvania for AI and energy could be highly beneficial for chipmakers, including AMD, NVDA, Broadcom (AVGO), and Micron (MU). AMD Is Positioning as a Serious Rival to Nvidia For years, AMD has been seen as secondary to Nvidia, with the latter's advanced AI chips and GPUs (Graphics Processing Units) commanding global attention. However, AMD is rapidly advancing with its own chip innovations to compete more effectively with Nvidia. Recently, AMD launched its new line of MI350 AI chips, which are expected to be nearly 30% cheaper than Nvidia's comparable chips. Also, AMD's MI355X features high-bandwidth memory (HBM), which is reportedly three times that offered by Nvidia's Blackwell B200. Is AMD a Good Stock to Buy? Despite the current optimism surrounding Advanced Micro Devices, analysts remain divided about its long-term outlook. On TipRanks, AMD stock has a Moderate Buy consensus rating based on 25 Buys and 10 Hold ratings. Also, the average AMD price target of $135.97 implies 12.6% downside potential from current levels. Year-to-date, AMD stock has gained nearly 29%.
Bangkok Post
07-07-2025
- Business
- Bangkok Post
Jitters over ban on AI chip exports
Thailand's strategic investment in cloud and data centres could be disrupted by US President Donald Trump's plan to restrict shipments of artificial intelligence (AI) chips from Nvidia Corp to Malaysia and Thailand, part of an effort to crack down on suspected semiconductor smuggling to China, say tech and cloud data centre executives. According to Bloomberg, a draft rule from the US Commerce Department seeks to prevent China, which faces a US ban on sales of Nvidia's advanced AI processors, from obtaining such components through intermediaries in the two Southeast Asian nations, said people familiar with the matter. The rule has yet to be finalised and could still change, said the sources, who requested anonymity. Pathom Indarodom, managing director of SVOA, said this move may result in the US slapping export restrictions on Thailand for high-tech equipment, especially Nvidia's flagship graphics processing unit (GPU) chips such as A100, H100 and the latest Blackwell B200. These chips power AI models globally, from OpenAI and Google to emerging deep tech startups, government agencies and universities, said Mr Pathom. He said if access to these chips is blocked, Thailand could experience major disruptions, mainly in AI development research and local AI startups, which rely on Nvidia GPUs to train and test models. This would also affect Thailand's competitiveness at the global level, said Mr Pathom. Moreover, major Thai cloud providers that utilise Nvidia chips would be impacted as their AI-as-a-service offerings would be unable to scale, he said. Enterprise clients may shift workloads overseas, while national data sovereignty faces rising risks as data processing will move to offshore, said Mr Pathom. The overall effect would chill Thailand's goal of becoming a regional AI hub, he said. If Western technology is inaccessible, Thailand might have to shift to alternative technology from China. Geopolitical tensions demand Thailand devise backup plans by investing in open-source AI models, said Mr Pathom. Thailand should forge strategic tech alliances with other Asian nations to create a resilient AI ecosystem, he said. According to the Board of Investment, from 2022 to 2024 investment promotion applications for data centre and cloud services totalled 27 projects with a combined investment of 290 billion baht. There were eight new data centre projects in the first five months of this year valued at 183 billion baht. According to a report from Cushman & Wakefield, a leading commercial real estate services firm, Malaysia's strong data centre development will see its population per megawatt ratio consolidate faster than any other Asia-Pacific market through 2030, with Thailand ranked second and Japan third for fastest rates of consolidation. Supparat Singhara na Ayutthaya, general manager for Southeast Asia at Damac Digital, a data centre builder, expressed concern over the planned restriction on shipments of AI chips to Malaysia and Thailand, noting it could undermine investor confidence in Thailand's cloud and data centre industry. He said the Commerce Ministry and Digital Economy and Society Ministry need to collaborate to impose stricter export controls in Thailand, while actively engaging with the US government. If left unaddressed, Thailand may find itself excluded from access to the latest technological advancements, said Mr Supparat. NO DIRECT SANCTIONS Somchai Sittichaisrichart, managing director of SIS Distribution, said the planned US regulation does not directly sanction Thailand, instead introducing stricter oversight to prevent Chinese firms from accessing AI computing services or importing chips via Thai nominees. "Thai companies can still import AI chips," he said. "However, once the regulation takes effect, scrutiny will likely extend beyond the importer to the intended use, particularly to ensure chips are not deployed for Chinese customers." A source in the cloud service sector who requested anonymity said his company may consider expanding operations from Thailand to other countries to mitigate potential risks from the planned US rules. Putt Tratkosit, chief executive of Light Up Total Solution Plc (LTS), said the company does not face any risk or direct impact from the US plan to restrict shipments of AI chips to Malaysia and Thailand. He said the company is not involved in importing chips for resale to China. LTS provides design and installation services for AI infrastructure, as well as commissioning services for government agencies and companies in Thailand. The company works closely with Siam AI Corporation, a high-performance cloud and AI infrastructure provider, which is the only certified Nvidia Cloud Partner in Thailand authorised to purchase Nvidia chips directly from the US. Should US export control measures take effect in the future, importing chips may require additional approval. However, the regulation does not prohibit domestic use, meaning AI and data centre services can continue operating normally, said Mr Putt. Demand for AI solutions in Thailand remains strong, and LTS sees a short-term upside as customers may accelerate imports of AI chips, leading to faster deployment of infrastructure projects, he said.
Yahoo
08-04-2025
- Business
- Yahoo
NVIDIA Speeds Up Meta's Llama 4 AI Models With Blackwell GPUs, Hitting 40,000 Tokens Per Second
NVIDIA (NVDA, Financials) said it boosted the speed and efficiency of Meta Platforms' (META, Financials) latest Llama 4 artificial intelligence models by running them on its new Blackwell B200 graphics processors, reaching output speeds of over 40,000 tokens per second. Warning! GuruFocus has detected 3 Warning Signs with NVDA. The two models, Llama 4 Scout and Llama 4 Maverick, are available as NVIDIA NIM microservices and are built with a mixture-of-experts design to handle multilingual and multimodal tasks. Llama 4 Scout has 109 billion parameters, with 17 billion active per token, and can handle up to 10 million tokens in a single context. It's built to run efficiently on a single NVIDIA H100 GPU and is suited for summarizing documents, analyzing user activity, and reading large codebases. Llama 4 Maverick is a larger model with 400 billion parameters and 128 experts, accepting up to 1 million context tokens. It's designed for tasks that require understanding both images and text. Both models are tuned for NVIDIA's open-source TensorRT-LLM library, which speeds up inference for large models. NVIDIA said its TensorRT Model Optimizer lets developers restructure and compress models using bfloat16 and FP4 precision without hurting accuracy. On the Blackwell B200 GPU, Llama 4 Scout delivers over 40,000 tokens per second, while Maverick tops 30,000. The company said this represents a 3.4x boost in throughput and 2.6x better cost efficiency compared to its previous H200 GPU, helped by Blackwell's upgraded architecture and support for precision formats like FP8 and FP4. NVIDIA said its work with Meta continues a broader effort to support open-source AI tools. The Llama 4 models can be customized with the NVIDIA NeMo framework, which helps companies prepare datasets, fine-tune models using techniques like LoRA and PEFT, and test performance using custom or standard benchmarks. To help businesses get started, the models will be delivered as NIM microservices that can run on any GPU-accelerated system. These services support standard APIs and are built to scale across cloud, data center, and edge setups with privacy and security features. This article first appeared on GuruFocus. Sign in to access your portfolio
