AMD vs. Nvidia: Which AI Titan Wins Analyst Hearts After OpenAI Partnerships?

Silicon Valley's AI arms race intensifies as chip giants lock horns over OpenAI's coveted business.

The Hardware Showdown

AMD and Nvidia battle for dominance in the trillion-dollar AI infrastructure market. Recent OpenAI deals fuel speculation about which architecture will power the next generation of artificial intelligence.

Wall Street's Verdict

Analysts dissect every benchmark, every partnership, every manufacturing update. Some chase Nvidia's established ecosystem while others bet on AMD's aggressive pricing and open-source approach.

The Bottom Line

Both stocks trade at premium valuations that would make even the most optimistic crypto trader blush—because nothing says 'solid investment' like betting on which chipmaker will power our robot overlords.

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AMD Gains Ground with OpenAI Deal

AMD recently made headlines with its new agreement to supply 6 GW of compute hardware to OpenAI over several years. The deal links AMD with one of the biggest players in artificial intelligence and signals growing trust in its chip capabilities.

After the announcement, many analysts turned more positive on the stock. Jefferies analyst Blayne Curtis upgraded AMD to Buy and raised his price target to $300 from $170, calling the deal a clear show of confidence in AMD’s AI strategy and proof of stronger demand for its chips. Likewise, UBS analyst Timothy Arcuri lifted his target to $265 from $210 and kept a Buy rating, saying the partnership could help AMD capture nearly one-third of the GPU market, a larger share than most had expected.

Nvidia’s Ecosystem Still Dominates

Nvidia remains the leading name in AI computing. The company powers OpenAI’s data centers and provides chips for many large-scale AI projects. It recently expanded its partnership with OpenAI through a $100 billion investment aimed at boosting AI infrastructure and model training. With its strong lineup of GPUs, CUDA software, and networking systems, Nvidia continues to hold a clear edge over its rivals.

Analysts also remain upbeat about Nvidia’s outlook. Barclays analyst Thomas O’Malley kept his Buy rating and raised his price target from $170 to $200, seeing about 9% upside. O’Malley called Nvidia’s deal with OpenAI a “compute bonanza,” pointing to huge growth potential in AI workloads. Similarly, Evercore ISI analyst Mark Lipacis reiterated his Buy rating and increased his price target from $214 to $225, suggesting. He described Nvidia as a “Top Pick,” noting its position as the key player in AI technology.

AMD or NVDA: Which Stock Offers Higher Upside, According to Analysts? 

Using TipRanks’ Stock Comparison Tool, we compared AMD and NVDA to see which AI stock analysts currently favor. Advanced Micro holds a Moderate Buy consensus rating, with an average AMD price target of $209.15, indicating about 2.67% upside from current levels. In contrast, Nvidia has a Strong Buy rating, with an average NVDA price target of $218.14, implying roughly 17.57% upside.

Bottom Line

Both AMD and Nvidia are major players in the AI chip market, but analysts see more upside in Nvidia, backed by its strong ecosystem and clear lead in AI hardware. AMD, however, is catching up fast. Its new deal with OpenAI could help the company gain more ground in AI chips and make the race between the two much closer in the coming months.