Advanced Micro Devices upgraded at Daiwa, firm sees brighter days ahead
Advanced Micro Devices (NASDAQ:AMD) shares are getting some positive commentary from Wall Street, as the investment firm upgraded the stock, citing bright days ahead for the Lisa Su-led semiconductor firm.
Analyst Louis Miscioscia upgraded the stock to buy from outperform, while raising the price target to $150 from $140, citing the pending Xilinx (NASDAQ:XLNX) acquisition, as well as the recent quarterly results that showed the semiconductor industry is not seeing a slowdown anytime soon. 
"With AMD's prospects looking good for 2022/2023, and the recent share price decline, we move to a 1-Buy rating, from a 2-Outperform," Miscioscia wrote in a note to clients.
AMD shares were up nearly 2% to $130.48 in premarket trading on Wednesday.
AMD's Su said that 2022 would be aided by strong demand for its server chips.
"We've been working on the supply chain for the last four or five quarters, knowing the growth we have from a product standpoint," Su said on the earnings call. "We've made significant investments in wafer capacity and substrate capacity and backend capacity. We feel very good about our ability to meet the guidance."
"Our goal is to have enough supply to meet the demand out there," Su added.
On Wednesday, the HSR regulatory review period on AMD's (AMD) $35 billion acquisition of Xilinx (XLNX) ends, which could clear a path for the highly-anticipated merger to settle shortly.
Last month, China gave its approval of the deal, which was seen as one of the last regulatory hurdles for the deal.
AMD's recently reported fourth-quarter results and 2022 guidance were well-received by investors, with Wedbush Securities analyst Matt Bryson recently saying the commentary and numbers provided "zero red flags" for investors.