2021-01-14 04:58:14 AMD AMD
Intel
01/14/21 01/1404:58 01/14/2104:58 | AMD downgraded to Underperform from Market Perform at BMO CapitalBMO Capital analyst Ambrish Srivastava downgraded AMD (AMD) to Underperform from Market Perform with a price target of $75, down from $80. The "richness of experience" that Pat Gelsinger brings from his prior tenure at Intel (INTC) as well as his experience running VMware (VMW) makes him the right person who can address the "daunting, but not insurmountable challenges" that Intel faces, Srivastava tells investors in a research note. Conversely, AMD has done a "tremendous job" under its CEO, and the stock's valuation reflects the "near flawless execution under her watch," says the analyst. However, Srivastava thinks a large part of AMD's "rich valuation is also attributable to how poorly Intel has executed." The analyst's scenario analysis suggests that AMD's share gains in servers should moderate out in 2022. Thus, consensus estimates will prove to be optimistic, says Srivastava. AMD
Intel
VMware
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