Advanced Micro Devices AMD could deliver stronger-than-expected quarterly results as demand for its server processors continues to accelerate, with Bank of America expecting the chipmaker to beat estimates and raise its outlook.

Bank of America said AMD’s expanding EPYC server processor market share, robust cloud spending and improved supply visibility are expected to support another solid quarter.

The brokerage also raised its price target on AMD to $620 from $550 while maintaining its Buy rating, citing expectations for initial shipments of its MI455X Helios AI rack system in the third quarter ahead of a broader rollout later this year.

The firm added that AMD may further highlight growing demand for agentic AI, arguing the company’s…