AMD tumbles 12% but Wall Street still sees $685 target in 12 months

Advanced Micro Devices stock dropped over 12% in July. Yet Benchmark analyst Cody Acree just reaffirmed a Buy rating with a $685 price target, suggesting 37% upside from current levels around $498.

The semiconductor maker faces an earnings report this week. Acree expects revenue of $11.28 billion and adjusted earnings of $1.63 per share, barely different from Wall Street's consensus of $11.306 billion and $1.62. The real mover, he says, will be forward guidance. If AMD signals strength ahead, shares could accelerate from here.

Thirty-four analysts tracked by TipRanks peg a more modest 12-month target of $589.72, implying 18% gains. That gap between individual forecasts and consensus reflects lingering uncertainty about AI chip demand, which has fueled AMD's entire bull case. The July selloff, analysts argue, looks like a healthy pullback in a longer uptrend rather than a warning sign.

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