Advanced Micro Devices (NASDAQ: AMD) stock has had a robust performance this year, rising nearly 79% YTD. Its price entered 2025 trading at $120 and plunged to the $80 level after Trump’s Liberation Day market crash. It rebounded spectacularly since then, towering to the $215 range during Wednesday’s opening bell.

Wall Street analyst Joshua Buchalter, Director at TD Cowen Investment Banking, has given AMD stock a buy call. The equity analyst explained that a number of advancements in the AI sector position AMD at a better spot than its competitors. It is also challenging Nvidia in the GPU and AI sector and could come out as superior to its counterpart.

Also Read: Intel (INTC) Finally Beats $40 After Reported Apple AI Chip Deal

The ban on Nvidia exporting its advanced chip to China is preventing the company from achieving new targets. Buchalter stressed that AMD’s upcoming Helios rack-scale AI system could transform the sector, giving it a competitive edge among its peers. According to the analyst, AMD stock is now at an inflection point after the Helios rack-sale AI gets paired with the MI450 chip.

AMD Stock New Price Target

According to the Wall Street analyst, AMD stock could reach a high of $290 next. That’s an uptick and return on investment (ROI) of approximately 35% from its current price of $215. Therefore, an investment of $1,000 could turn into $1,350 if the forecast turns out to be accurate. That’s massive returns, as not every investment generates double-digit gains in less than a year.

The timeline given by Buchalter for AMD to reach the $290 price target is mid-2026. He gave investors the buy call, suggesting that traders must prepare themselves for an upward swing. The tech company is expanding its roadmap, leveraging the global demand for AI. He also added that the earnings call is appealing and will have a strong long-term rally.