Northland Capital Markets upgraded Advanced Micro Devices (NASDAQ:AMD) to Outperform from Market Perform with a $150 price target.

The analysts admitted being late to the party as AMD shares have surged nearly 80% this year but believe they can command an AI multiple. The analysts highlighted the company's strong competition with Nvidia's GPUs and anticipate a 20% market share in the AI GPU market over time. They also expect increased GPU revenue from upcoming products and noted that AMD's IP in AI extends beyond GPUs.