AMD and Arm Holdings show 41% stock upside potential

Wall Street analysts see potential for significant gains in two AI-related stocks. Advanced Micro Devices (AMD) has a price target of $148.34, suggesting a 51% increase from its current price of $98. The company reported a 14% revenue growth in 2024. Arm Holdings also shows promise, with an average price target of $158.43, indicating a 41% upside from its recent price of $112. The company’s revenue grew 19% year over year, driven by demand for its energy-efficient processors. Both companies face challenges. AMD's sales momentum is uncertain, while Arm's high valuation may limit stock performance despite strong demand.