The past year has been an incredible one for Advanced Micro Devices (NASDAQ: AMD) investors as shares of the chipmaker have shot up an impressive 130%, outperforming the PHLX Semiconductor Sector index's gains of 57% by a huge margin. Investors have been buying the stock hand over fist in anticipation of a rapid acceleration in the company's growth thanks to artificial intelligence (AI)-driven chip demand.

Even Wall Street has been upbeat about AMD's prospects. The stock received three upgrades earlier this month from Barclays, Susquehanna Financial Group, and KeyBanc Capital Markets. Barclays upped its price target on AMD to $200 from the earlier estimate of $120, while KeyBanc and Susquehanna increased their price targets to $195 and $170, respectively. AMD closed Jan. 23 at $168.

Analysts aren't always right, but these price targets suggest that AMD stock is set for healthy gains. However, an analyst at Northland Capital Markets think otherwise. The investment banking firm recently downgraded AMD stock from "outperform" to "market perform," pointing out that the company's AI business may not grow as fast as investors are expecting.

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Source Fool.com