AMD Stock: Buy, Hold or Sell After 97% AI Data Center Growth?

AMD reported strong Q3 results with revenues up 45% to $13.38 billion and Data Center revenues surging 97% to $8.5 billion, driven by AI infrastructure demand. The company projects Q4 revenues of $17 billion (up 66% YoY). However, concerns include weakness in gaming, declining gross margins (55% projected for Q4), and elevated valuation with a forward P/E of 64.09 versus the industry average of 13.99. AMD currently holds a Zacks Rank #3 (Hold) rating.