AI has been buzzing again on Wall Street since chipmaker Nvidia reported earnings last week. Shares of Nvidia and other chipmakers soared on the back of excitement. Nvidia CEO Jensen Huang said that Nvidia is experiencing a “surge in demand” for its data center products. That prompted investors to pile into other stocks that could benefit from artificial intelligence, leading many of these companies to be among the biggest winners of the week. One of them is rival chipmaker Advanced Micro Devices , which has soared 18% through Friday and 96% so far this year. However, on a one-year basis, it’s only up 19% in 2022 after a sharp decline. Analysts who have been very bullish on the stock believe that, like Nvidia, AMD has the potential to ride the AI wave. Both create graphics processing units that power most generative AI tools. But what’s the outlook for the stock, and is it likely to soar further? CNBC Pro combs through Wall Street research to find out. Not a “primary choice” for AI Eric Ross, chief investment strategist at Cascend Securities, said on CNBC’s “Squawk Box Asia” last week that AMD will do well, but “not as much from the market as people think.” artificial intelligence”. “Even if they do make graphics processors, they don’t have the kind of architecture that Nvidia has,” he said, referring to Nvidia’s Cuda platform, which allows software to use certain graphics processing units. “AMD is doing well, but it’s really not the main choice for AI — it’s a positive choice, but not as good as NVDA,” he said. Still, he said, AMD will see strong data center demand. One bright spot, Ross said, is that AMD is taking market share from Intel. Bank of America echoed this sentiment in a May 22 report: “AMD’s success is due in large part to its innovative design/architecture, strong TSMC foundry partnership, and very important competitive Multiple missteps by rival Intel.” The bank said AMD “is on the verge of another big opportunity” in the $80 billion AI accelerator market, referring to systems designed to accelerate AI or machine learning applications. However, the field is currently monopolized by Nvidia, which has about 75% of the market, according to Bank of America. It raised AMD’s price target to $120 from $105 — a level the stock surpassed last week. But Bank of America still maintains its neutral rating on AMD, because it believes that competing with Nvidia to gain market share may be more difficult than expected. Morgan Stanley is most bullish on AMD, calling it a top pick. The firm said it has become more bullish on the stock due to AMD’s opportunity share in graphics processing units. “In terms of AMD’s share of this opportunity, it appears to be more tangible and durable than we initially expected, with solid revenue forecasts for two of the four hyperscale data centers in the U.S. — and the outlook for the third — took us by surprise at the unit level,” the bank said, referring to the large cloud services companies. But analyst forecasts for AMD paint a less rosy picture overall. Analysts covering the stock give the stock an average potential downside of -16.7%, according to FactSet, though more than half have Buy ratings. — CNBC’s Michael Bloom contributed to this report.