AMD earns IBD credit: AI-chip rival just got stronger
Advanced Micro Devices (NASDAQ: AMD), a leading player in the semiconductor fabless sector, saw its IBD Relative Strength (RS) Rating climb from 65 to 78 today—an impressive signal that AMD’s price momentum is improving compared to peers over the past year.
AI chip buzz sparks upgrade momentum
Only top-performing stocks typically hit 80 or above on the RS scale, so AMD’s move to 78 suggests it’s on the verge of something bigger. The upgrade acknowledges recent gains after breaking above a key buy point in a cup-and-handle setup, setting the stage for further upside—if it can build a new pattern or retrace to the 50-day or 10‑week moving average.
Wall Street backs AI wins and revenue growth
Separately, Melius Research recently lifted AMD’s rating from "hold" to "buy" and raised its price target from $110 to $175, citing AMD’s growing strength in AI accelerators and data center systems. The stock jumped over 2% premarket, highlighting renewed confidence in its competitive position versus Nvidia.
What to watch next
Investors should keep an eye on upcoming technical patterns—like a three-weeks-tight—or a mild pullback toward major moving averages. Also worth watching are AMD’s earnings reports and data center deployments, as sustained growth in its AI chip business may drive the RS rating higher and solidify its spot among top fabless chipmakers.