Advanced Micro Devices Inc (AMD) has already rallied more than 30% over the past month but a Mizuho analyst remains convinced that it’s not done pleasing its shareholders just yet.  

In a research note this morning, analyst Vijay Rakesh reiterated his bullish view on AMD shares and raised his price target on the AI chips giant to $135, indicating potential upside of nearly 20% from here. 

Despite recent gains, AMD stock is down over 12% versus its year-to-date high.

Mizuho Cites Humain Deal for Bullish View on AMD Stock

Mizuho raised its price target on AMD shares today primarily because the chipmaker has recently signed a multi-year AI infrastructure deal with Saudi-based startup Humain. 

According to Vijay Rakesh, the $10 billion agreement could deliver a significant boost to AMD’s data center business that’s already been growing at a fast clip in 2025. 

In Q1, that segment brought in a total of $3.7 billion for Advanced Micro Devices, up a more-than-expected 57% on a year-over-year basis. 

Plus, the company’s upcoming accelerator (MI355x) could help AMD stock retain strength in the back half of this year as well, the analyst told clients in his research note on Monday. 

AMD’s $6 Billion Stock Buyback Program Warrants Investment

AMD shares remain worth owning despite a massive rally since early April also because the firm’s management announced a sizable $6 billion stock buyback program last week. 

The share repurchase authorization is meaningful for investors as it may reflect management’s belief that AMD stock is undervalued at current levels. 

Investors should also note that Advanced Micro Devices currently expects its full-year sales to print at $7.4 billion with a gross margin of an exciting 43%. Analysts, in comparison, had called for $7.25 billion only. 

What’s the Consensus View on AMD Shares for 2025?

Following the Humain deal, Mizuho is not the only Wall Street firm that sees significant further upside in AMD stock. 

The consensus rating on Advanced Micro Devices also currently sits at “Moderate Buy” with the mean target of a tad above $128 indicating potential upside of nearly 13% from current levels.