Advanced Micro Devices, Inc. [NASDAQ: AMD] is back in the green light after starting to deliver on the promise of introducing new competitive products. The stock closed the trading on Tuesday 9.80% higher following a +2.59 relative change while trading at $29.03. AMD had closed the session on Monday at $26.44 but opened yesterday’ session at $27.27 according to the data provided by Yahoo Finance. The intraday range danced between $27.06 and $29.67. It has a 52-week range between $13.26 and $34.14.
The volume of shares that exchanged hands hit 145,568,928 with an average share volume of $68,633,317. The technology company has a market capitalization of $31.39 billion. The company currently has a Beta (3Y Monthly) of 4.00 while the next earnings date falls between July 23, 2019 and July 29, 2019.
Advanced Micro Devices, Inc. caught the investors’ attention following the launch of a new line of chips for PCs as well as gaming devices yesterday. The company’s stock soared impressively at the time when its direct competitor Intel (INTC) plunged. The products had been introduced over the last weekend and will be ready for shipping in the coming six months. Some of these products include a central processing unit referred to as Zen 2, a third generation of AMD’s Ryzen desktop processor featuring 24 threads and 12 cores. The company claims that the new processor is 16% faster for the multi-thread performance in comparison to Intel’s Core i9-9920X.
In addition to that, other newly launched products are the Radeon RX 5700-series and X570 chipset. The cards are specially designed to suit the needs of gamers who prefer to have superior graphic performance. AMD also launched RDNA which will support PC-quality streaming in connection to VR headsets as well as Android and iOS-based devices. The product will offer optimal graphics solutions for other devices in the market like notebooks and desktops. The graphic solutions have been designed to aid in shaping the future of PC, console and even cloud gaming.
With all these products hitting the market in the next six months, we expect AMD to spark growth in terms of revenues. The direction AMD has taken to advance the processor gives the company and edge above competition like NVIDIA NVDA. According to top industry analyst Cowen & Co. analyst Matthew Ramsay AMD new products launch “[stole] the show”:
“Our team attended CEO Lisa Su’s Computex keynote Monday in Taipei that highlighted several 7nm products set to launch over the next six months across all of AMD’s served markets.”
“We anticipate these products will drive above-consensus growth, share gains, margin expansion and AMD share appreciation.”
The analyst gives the stock target price of $36 while Wells Fargo analyst Aaron Rakers said that the launch is AMD’s “very compelling price points versus Intel INTC, -2.04%Core i7/i9 processors.” He added that AMD “will leverage a completely new Radeon DNA (RDNA) architecture” with formidable performance for its next-generation GPU’s. Rakers gives the stock a target price of $38.