AMD), I said that AMD stock could easily explode to $100 per share thanks to a significant number of catalysts.” data-reactid=”12″>The last time I weighed in on Advanced Micro Devices (NASDAQ:AMD), I said that AMD stock could easily explode to $100 per share thanks to a significant number of catalysts.
Source: Fabio Alcini / Shutterstock.com
That was on July 30, as AMD stock traded at $76.09.
Not long after, AMD would run to a high of $94.28 before pulling back to $76 per share. The decline of AMD stock came as tech heavyweights fell as a result of a good deal of profit-taking. But don’t count out tech stocks, including Advanced Micro Devices, just yet.
InvestorPlace – Stock Market News, Stock Advice & Trading Tips” data-reactid=”31″>InvestorPlace – Stock Market News, Stock Advice & Trading Tips
Instead, use every dip in the shares as a buying opportunity. I still strongly believe that AMD is heading to $100, due to the company’s sizable catalysts.
INTC) losing market share to AMD, but NVIDIA (NASDAQ:NVDA) is as well.” data-reactid=”34″>Not only is Intel (NASDAQ:INTC) losing market share to AMD, but NVIDIA (NASDAQ:NVDA) is as well.
In late August, for example, AMD launched its Radeon RX 5300 GPU graphics card, which will compete directly with NVIDIA’s GeForce GTX 1650.
AMZN) to AMD chips, as reported by Motley Fool contributor Joe Tenebruso.” data-reactid=”38″>More importantly, Advanced Micro Devices is quickly taking market share from Intel. AMD’s gains come as Intel continues to struggle with costly production delays that are hampering its next-generation chips. Intel’s issues are even driving companies like Amazon (NASDAQ:AMZN) to AMD chips, as reported by Motley Fool contributor Joe Tenebruso.
Wilson said:
“he now finds that regional data center availability for AMD’s (AMD) latest-gen Zen 2 processor has doubled on Amazon Web Services (AMZN) to 14 regions from 7 regions in his previous count,”
MSFT) and Sony (NYSE:SNE). The sales of graphics chips for consoles should meaningfully lift the stock going forward.
” data-reactid=”42″>Moreover, later this year, AMD’s chips will be in new gaming consoles from Microsoft (NASDAQ:MSFT) and Sony (NYSE:SNE). The sales of graphics chips for consoles should meaningfully lift the stock going forward.
profit of $157 million in the second quarter, up from $35 million during the same period a year earlier. It also reported revenue of $1.93 billion, which was up 26% year-over-year.
For 2020, the company expects revenue growth of 32%, which is up nicely from the 25% increase it predicted a few months earlier.
CEO Lisa Su, as quoted by CNBC.
Catalyst No. 3 – AMD Is Capitalizing on Working and Schooling from Home
Maribel Lopez, the principal analyst of Lopez Research, as quoted by MarketWatch.
Zacks’ Ritujay Ghosh.
analyst Mark Lipacis. He added that AMD could achieve EPS of $4.50 if it captures 30% additional market share and EPS of $6.50 if it can pick up 50% of the market from Intel.
analyst Matthew Ramsay raised his price target on AMD stock to $100 from $90. After speaking with AMD CEO Lisa Su, he noted:
“Messages of road map consistency, execution dependability and much closer collaboration with key customers shone through. With Intel’s road map in flux, but in larger measure due to AMD’s own product innovation, we forecast share gains and strong revenue/margin growth.”
Use every dip in AMD as a buying opportunity. With plenty of near-term catalysts, including strong earnings growth, high analyst expectations, excitement about gaming consoles, and its ability to chip away at Intel and NVIDIA, AMD is the stock you want to own.
More From InvestorPlace
Advanced Micro Devices Could Still Soar to $100. Hereâs Why. appeared first on InvestorPlace.” data-reactid=”68″>The post Advanced Micro Devices Could Still Soar to $100. Hereâs Why. appeared first on InvestorPlace.
