Nov 12, 2025 – AMD (Advanced Micro Devices, AMD.O) shares jumped nearly 5% in premarket trading on Wednesday after the company unveiled aggressive long-term growth targets, aiming for $100 billion in annual data center revenue within five years.

CEO Lisa Su told investors on Tuesday that the market for AMD’s data center chips could expand to $1 trillion by 2030, fueled by AI-driven demand and an intensified software ecosystem strategy.

AMD Targets Nvidia in AI Market

AMD plans to challenge Nvidia (NVDA.O) in AI computing with its next-generation MI400 chips and the Helios rack system, both slated for release in 2026. While Nvidia currently dominates the AI chip market, AMD is betting on performance, efficiency, and ecosystem integration to win market share.

“AMD’s success will come from being better than NVIDIA on whatever metrics matter most to the customers,” analysts at Morgan Stanley said.
“This is a ‘winner takes most’ market, where the best ROI and technology execution decide the leaders.”

Aggressive Growth and Earnings Forecast

Over the next three to five years, AMD projects:

• 35% annual growth across its entire business
• 60% annual growth in its data center segment
• Earnings per share rising to $20

Currently, AMD’s 2025 EPS is estimated at $2.68 per share, highlighting the scale of the expected expansion.

Investor and Analyst Sentiment

Investors reacted positively to the bold growth projections, with AMD shares gaining 97% year-to-date and 16% since October 6, when the company signed a major deal with OpenAI. Analysts, however, caution that execution risks remain, particularly in AI infrastructure spending, supply chain stability, and the challenge of competing with Nvidia’s established ecosystem.

Outlook

AMD’s strategic focus on AI and data centers positions it for substantial long-term growth, but the company will need to navigate supply constraints, power and space bottlenecks, and customer adoption challenges to achieve its ambitious targets.

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Summary:

• AMD aims for $100B annual data center revenue in 5 years.
• Targets AI chip market share from Nvidia with MI400 chips and Helios rack.
• Projects 35% total business growth and 60% data center growth annually.
• EPS expected to rise to $20 per share within five years.
• AMD shares up 97% YTD, boosted by OpenAI partnership.