Benzinga - by Surbhi Jain, .
In a post echoing their triumphant Nvidia Corp. (NASDAQ:NVDA) prediction, Reddit user 1ncehost turns to Advanced Micro Devices Inc (NASDAQ:AMD), calling it “the nice ugly step sister of hot bae Nvidia.”
Expect the stock to soar to $450, 1ncehost wrote.
DD: I DD’d the nvidia run up last year ($250->$700) and was right. Now I have a new predictionbyu/1ncehost inwallstreetbets
Backed by their track record and due diligence, 1ncehost challenges skepticism surrounding AMD’s valuation and Nvidia’s dominance.
Also Read: What’s Going On With AMD Stock?
AI To Fuel 50% Surge In AMD Revenue The Redditor’s thesis hinges on AMD’s potential for exponential revenue growth, narrowing the income gap with Nvidia. They anticipate a remarkable 50% surge in revenue, fueled by the burgeoning demand for AI accelerators.
1ncehost highlights the imminent release of MI300X reviews as a potential game-changer. “AMD is capable of being as fast or faster than Nvidia,” they asserted.
Capitalizing On Surging Demand For AI Accelerators Furthermore, they view Nvidia’s supply constraints as an opening for AMD to seize market share. With Meta Platforms Inc (NASDAQ:META) poised as a major customer, AMD stands to capitalize on the surging demand for AI accelerators.
The Redditor underscores AMD’s scalability and competitiveness as catalysts for significant market penetration.
15-20% Market Share To Lead AMD Stock To $450
Central to 1ncehost’s forecast is AMD’s potential to capture a substantial portion of the AI accelerator market. They posit that securing 15-20% market share could propel AMD’s stock to $450 by year-end. Anticipation mounts for the post-MI300X reviews, with Q2 anticipated as a pivotal period for AMD’s earnings growth.The Redditor is invested in two call option contracts: one with a strike price of $190 and an expiration date of June 21 and the other with a strike price of $200 and an expiration date of Oct. 18.
It remains to be seen whether AMD will deliver on the bullish ascent that the user anticipates.
Read Next: Nvidia Stock Will Ride AI Wave To $1,000, Goldman Sachs Says After GTC 2024
Image: Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.