Analysts praised new server products, and AMD led chip stocks higher
Nov 14,2022
According to searching alpha, AMD's share price led semiconductor higher at the end of this week because analysts praised the company's new server chip, and pointed out that the company led by Dr. Lisa Su continued to put pressure on Intel in valuable markets.Matthew Bryson, an analyst at Wedbush Securities, gave AMD a rating of outperforming the market and a target price of $100. He pointed out that the company could have temporarily grabbed the "pole position" with its latest products in low configuration, and still compete with Intel, but compared with Intel, it provided "major upgrade" products.
In a report to customers, Bryson wrote: "On the contrary, at present, this makes Intel compete more fiercely with Ice Lake platform, which is difficult to maintain its share in the competition with Milan. Although Sapphire Rapids should be more competitive than Ice Lake, we believe that when it comes, its power and performance will still be far lower than Genoa."
AMD rose more than 6.6% to $73 in afternoon trading on Friday, the highest level in more than a month.
In contrast, Intel also gained, rising 2.4% to $30.58. AMD's competitor, Nvidia, rose nearly 3% to trade at $162.52.
Semiconductor equipment manufacturer ASML rose nearly 2.5% to US $574.54 after the investor held the meeting. CEO Peter Wennink said that even if China was excluded, the company's prospects in the next few years would not change.
Wennink told investors that he expected that the geopolitical situation would not make China "absolutely" excluded from any growth, but if so, demand would also shift to other places.
According to Reuters, Wenningke was quoted as saying: "These fabs will be built in other places. There may be temporary problems. But ultimately, these chips still need to be manufactured. So it will not have a great impact on the prospects of 2030."
ASML's competitors also rose on Friday, with Applied Materials, Lam Research and KLA Corp. rising between 3% and 6%.
Shares of Texas Instruments, Micron Technologies, Broadcom and several other companies rose 2% or more.
After announcing the third quarter results, Mizuho, an investment company, said that despite its weak PC sector, it could still see strength from AMD's data center and game product line.
Wennink told investors that he expected that the geopolitical situation would not make China "absolutely" excluded from any growth, but if so, demand would also shift to other places.
According to Reuters, Wenningke was quoted as saying: "These fabs will be built in other places. There may be temporary problems. But ultimately, these chips still need to be manufactured. So it will not have a great impact on the prospects of 2030."
ASML's competitors also rose on Friday, with Applied Materials, Lam Research and KLA Corp. rising between 3% and 6%.
Shares of Texas Instruments, Micron Technologies, Broadcom and several other companies rose 2% or more.
After announcing the third quarter results, Mizuho, an investment company, said that despite its weak PC sector, it could still see strength from AMD's data center and game product line.