• Piper Sandler analyst Harsh Kumar downgraded Advanced Micro Devices Inc (NASDAQ: AMD) to Neutral from Overweight with a price target of $130, down from $140.

  • The analyst is cautious on the broader automotive sector, saying the pace of orders and strong pricing "may come into question" as supply normalizes in the second half of 2022.

  • The price target implies that the stock is fair-priced.

  • Related Content: Here's Why Cowen Sees Notable Upside In AMD

  • Once supply and demand hit parity, it will likely result in a slower pace of orders than the pace seen over the last few years, Kumar notes.

  • His downgrade of AMD reflects concerns about a slowdown in the PC market during 2022, the "earnings and growth headwind" from closing the Xilinx Inc (NASDAQ: XLNX) deal, and the "broader market dynamics around high-multiple, high-growth technology stocks."

  • As such, he feels there is more downside risk than upside risk at this point.

  • Price Action: AMD shares traded lower by 1.52% at $126.32 in the premarket session on the last check Thursday.

Latest Ratings for AMD

Jan 2022

Piper Sandler




Jan 2022




Jan 2022



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  • Here's Why BofA Remains Bullish On Nvidia, AMD

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