Intel’s Process Problems Will Create Preconditions for Increasing AMD Market Share

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Last updated on May 1st, 2023 at 07:56 pm

Intel’s Process Problems Will Create Preconditions for Increasing AMD Market Share

In anticipation of the publication of AMD’s quarterly reports, industry analysts have begun to voice their forecasts for a change in the competitive environment. In their opinion, Intel’s problems with the timely development of the 7nm technical process will allow AMD to strengthen its market positions. Forecasts for changes in the share price were also corrected upward.

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Thus, specialists, Susquehanna raise the medium-term forecast for AMD shares to $ 64, although the current value is above this level. The company’s revenue, according to the authors of the forecast, will increase against the backdrop of a favorable environment in the segment of PCs and data centers, as well as in the light of the release of the new generation of Sony and Microsoft game consoles. The technological challenges of a competitor only create additional conditions for increasing AMD’s market share.

Wedbush analysts raised their forecast for AMD shares to $ 75, confidently speaking about the company’s ability to regain market positions from Intel over the long term. Analysts’ expectations related to the key financial indicators of the second quarter are as follows: consolidated revenue of $ 1.86 billion and EPS of $ 0.17. In the first case, the increase in annual comparison should be 21.6%, in the second – immediately 112.5%. AMD’s profit margin, according to experts, in the second quarter will reach 44.4%, which is very good in the historical context.

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