Why AMD Shares Are Jumping Today

June 6 - Shares of Advanced Micro Devices AMD climbed nearly 10% on Monday trading after Piper Sandler raised its price target, citing growing optimism in the company's graphics processing unit (GPU) segment.

In a note to clients, analyst Harsh Kumar said AMD's core client business is showing signs of recovery, pointing to early demand strength. Piper Sandler increased its price target on AMD to $140 from $125 while maintaining a Buy rating.

The note follows recent updates from AMD, which unveiled its new MI350 series of AI accelerators last week and gave an early preview of the next-gen MI400 platform. These products are designed to compete in the fast-growing artificial intelligence hardware market.

The rally in AMD comes amid heightened investor interest in chipmakers focused on AI workloads, a space where competitors such as Nvidia NVDA, Intel INTC, Marvell Technology MRVL, and Broadcom AVGO also operate.