Treasury Secretary Bessent announces tariff relief on coffee, fruits
Advanced Micro Devices (NASDAQ:AMD) saw its stock jump over 5% in premarket trading on November 12, 2025, reaching $250.04 at 6:27 AM EST, after the company unveiled ambitious long-term growth targets at its Financial Analyst Day. The semiconductor giant predicted annual revenue growth averaging more than 35% over the next three to five years, driven primarily by explosive demand for its data center and AI products.
CEO Lisa Su declared AMD is “entering a new era of growth” as the company positions itself to capture a significant share of what it projects will be a $1 trillion AI chip market by 2030.
AMD Sees Data Center Revenue Growing 60%+ and AI Revenue 80%+ Annually
AMD’s Financial Analyst Day presentation revealed the company expects its data center business to achieve a greater than 60% revenue compound annual growth rate (CAGR) over the next three to five years. More impressively, the company projects its AI data center revenue will surge at more than 80% CAGR during this period, powered by strong customer momentum including deployments with OpenAI and Oracle Cloud Infrastructure.
The company’s AMD Instinct MI350 Series GPUs represent the fastest ramping product in company history, with next-generation “Helios” systems featuring MI450 Series GPUs expected to deliver rack-scale performance leadership beginning in Q3 2026.
At the corporate level, AMD outlined ambitious financial targets including non-GAAP operating margins exceeding 35% and non-GAAP earnings per share surpassing $20. The company also set a goal of capturing more than 50% server CPU revenue market share, up from its current position, as it continues taking share from rival Intel Corporation.
AMD’s stock has already gained approximately 97% year-to-date as of the market close on November 11, significantly outperforming the S&P 500’s 16% gain, reflecting strong investor confidence in the company’s AI strategy.
AMD Trails Nvidia in AI, but Gains Share in Key Markets
Trading at $237.52 at the November 11 close (down 2.65% for that session), AMD currently commands a market capitalization of $386.69 billion with a trailing P/E ratio of 124.36. The stock’s 52-week range spans from $76.48 to $267.08, and analysts maintain an average price target of $273.43, suggesting potential upside from current levels.
The company reported Q3 FY25 revenue of $9.25 billion with earnings of $1.97 billion, beating estimates with actual EPS of $1.20 versus the $1.17 estimate.
While AMD continues to trail Nvidia Corporation in the AI accelerator market, where Nvidia has generated tens of billions in sales, AMD’s diversified portfolio across data center CPUs, AI GPUs, embedded processors, and client computing positions it uniquely for sustained growth. The company emphasized its leadership across adaptive computing, where it expects to exceed 70% revenue market share, and in client processors, where it aims to surpass 40% market share.
With over $50 billion in design wins secured since 2022 and ROCm software downloads increasing 10x year-over-year, AMD appears well-positioned to capitalize on the expanding AI infrastructure buildout despite concerns about the sustainability of elevated AI spending levels.
***
Looking to start your trading day ahead of the curve?
Get up to speed before the bell with Bull Whisper—a sharp, daily premarket newsletter packed with key news, market-moving updates, and actionable insights for traders.
Start your day with an edge. Subscribe to Bull Whisper using this link.