Citi Boosts AMD Price Target Following Meta Muse Launch

Atif Malik of Citi has increased the price target for AMD shares, moving the figure from $575 to $800. Malik points to the rollout of Meta Muse, Meta’s personal AI agent, as a potential driver for higher chip sales for AMD. The analyst noted: “Following the release of Meta Muse and our subsequent CPU TAM raise, we are raising estimates on AMD given our belief that AMD will be the primary beneficiary of the CPU renaissance and our belief that Meta is one of the largest customers of AMD’s server business.“

Can Meta Muse Deliver On Citi’s Stock Price Target For AMD?

In Citi’s view, AMD is positioned to play a major role during the era of agentic AI. In contrast to generative AI, which leans heavily on Graphics Processing Unit (GPU) capabilities, agentic AI relies to a greater extent on Central Processing Unit (CPU) power.

Malik projects that AMD’s total addressable market (TAM) for CPUs will expand dramatically, jumping from $29 billion in 2025 to $300 billion by 2030. This growth translates to a Compound Annual Growth Rate (CAGR) of 60%. As Malik observed, “We still expect AMD to be the key beneficiary of the CPU renaissance and Intel as a secondary beneficiary.“

Throughout the ongoing AI boom, AMD has ranked among the top-performing equities. The enterprise has consistently surpassed Wall Street earnings forecasts, most recently posting a nearly 50% year-over-year revenue surge to reach $11.5 billion, beating the roughly $11.34 billion anticipated by analysts. This trajectory is expected to persist as demand for data centers and AI chips climbs.

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Furthermore, AMD disclosed plans to purchase World Labs, a prominent AI model laboratory, in an $8.2 billion transaction. This buyout could bolster Wall Street’s confidence in the valuation of AMD stock. On October 5th, 2026, the equity touched a fresh all-time peak of $658.52. Additionally, the corporation’s market capitalization surpassed the $1 trillion threshold in late September, placing it among a select group of global entities to achieve this milestone.

Frequently Asked Questions

What is Citi’s new price target for AMD stock?

Citi analyst Atif Malik raised AMD’s stock price target from $575 to $800.

Why is Meta Muse expected to help AMD?

The launch of Meta Muse, Meta’s personal AI agent, is linked to an expected increase in CPU demand, and Meta is identified as one of the largest customers for AMD’s server business.

What is the projected growth for AMD’s CPU TAM by 2030?

AMD’s CPU total addressable market (TAM) is forecasted to grow from $29 billion in 2025 to $300 billion in 2030, representing a 60% CAGR.

How much was AMD’s recent revenue?

AMD reported a year-over-year revenue surge of nearly 50% to $11.5 billion, topping analyst projections of approximately $11.34 billion.

Which company is AMD acquiring for $8.2 billion?

AMD announced it will acquire World Labs, a leading AI model lab, for $8.2 billion.

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