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Fly News Breaks for June 20, 2018
NVDA, INTC, AMD
Jun 20, 2018 | 07:56 EDT
Morgan Stanley analyst Joseph Moore see servers producing minimal near term revenue for AMD (AMD), but with the potential to ramp to a $1.2B run rate by the end of FY19 as it sees substantial benefit from Intel's (INTC) manufacturing challenges. However, this upside needs to be balanced against the potential risk in graphics, which is a larger business, added Moore. AMD's graphics business faces a potential 25% decline due to a drop-off in cryptocurrency mining, as well as an imminent Nvidia (NVDA) product launch for which AMD may not have an answer for another year, said Moore. He raised his price target on AMD shares to $11 from $8 but keeps an Underweight rating on the stock.