AMD Analyst Says Industry Conference, Channel Checks Keep Bull Thesis Intact

Following the Hot Chips conference and a round of customer and industry channel checks, Canaccord Genuity's bullish long-term thesis remains intact on Avanced Micro Devices, Inc. AMD.

With momentum building for Ryszen desktop, EYPC server products and solid gaming GPU demand things are continuing to look positive for one of the hottest stocks in the market.

Canaccord Genuity is reiterating a Buy rating on AMD with a $20 price target following its industry update.

“Our industry checks indicate 7nm chip development timelines remain intact for what should prove even stronger products across AMD’s roadmap versus Intel during 2H/18 and 2019,” said Canaccord Genuity analyst Matthew D. Ramsey.

Another key driver for AMD is the role it plays in crypto-currency, where the market could not be stronger at the moment. AMD continues to have a strong reputation with cyptocurrency miners, who use graphic cards from AMD to mine new coins.

Strong cryptocurrency demand is driving AMD and is expected to bridge the gap from a slightly disappointing Vega launch, according to Ramsey.

“We believe risk/reward is still tilted toward the upside and our long-term bullish target of $1.00+ in EPS remains exceedable by 2020,” said Ramsey.

At last check, shares of AMD were down 3.38 percent at $12.20.

Related Link: What Analysts Want To Ask AMD, Intel and Others