Advanced Micro Devices AMD received a higher price target from Wells Fargo after the firm raised its long-term forecasts for the company’s server processor business, citing continued demand for data center chips.

Wells Fargo increased its price target on Advanced Micro Devices AMD to $615 from $505 while maintaining its Overweight rating. The brokerage raised its server CPU revenue estimates to $16 billion for 2026, $20.5 billion for 2027 and $25 billion for 2028, while leaving its data center GPU forecasts unchanged. The firm also lifted its earnings per share estimates to $7.15 for 2026, $13.40 for 2027 and $18.75 for 2028.

The brokerage said its valuation is based on a 33-times multiple of projected 2028 earnings. AMD recently began…