AMD shares rose 3.15% to $528.60 in Thursday premarket trading. Bernstein analyst Stacy Rasgon raised the price target to $600 from $525. The firm maintained its Outperform rating on the chipmaker.
Rasgon cited continued strength in the server processor market for the upgrade. Increasing demand for artificial intelligence infrastructure also drove the higher valuation.
The note boosted investor sentiment across the large-cap technology and semiconductor sectors. AMD remains a primary beneficiary of the ongoing growth in AI infrastructure.