AMD’s Q1 Beat Prompts Further Upside as AI Demand Accelerates

Advanced Micro Devices beat expectations in Q1 2026 with revenue of $10.253B (up 38% YoY), GAAP gross profit of $5.416B (up 45%), and data-center revenue of $5.8B (up 57%), while non-GAAP EPS was $1.37 vs. $1.29 expected. Management guided Q2 revenue to about $11.2B. The stock has surged roughly 28% after the earnings call and is up more than 320% in the last year. Top investor Geoffrey Seiler argues the AI-driven shift toward CPUs could sustain upside for AMD, aided by GPU deals with OpenAI and Meta, though the valuation remains rich. Wall Street shows a Strong Buy consensus with a 12-month target of about $442.94, suggesting limited upside room in the near term despite the bullish setup.