AMD Rallies On Micron Earnings, Rumors Of Replacing Intel In Microsoft Surface Devices

Advanced Micro Devices, Inc. AMD shares — which rallied to a 13-year high of $34.30 in early June on the news of Microsoft Corporation MSFT using the former's chips in its next-gen Xbox gaming console — have cooled off in the interim.

The stock was regaining some of the lost momentum Wednesday on the back of two catalysts.

Micron Beats The Ban

Micron Technology, Inc. MU reported Tuesday after the close with earnings and revenue beats for its fiscal third quarter. 

The company suggested that it has resumed shipments to Huawei after reviewing the legality of the export ban. 

Micron shares reacted with a strong move to the upside, and other chipmakers followed suit. 

Intel's Loss, AMD's Gain?

Microsoft could be looking to replace Intel Corporation INTC chips in its Surface devices, according to an unconfirmed report on Petri.com.

The report suggested the software giant is likely to host an event focused on Surface in the fall where it will announce major changes to the product lineup.

Microsoft could slowly transition from Intel, with which it has a decades-old relationship, and try out AMD and an ARM chip, according to Petri.com. 

AMD shares were up 4.66% atm $30.20 at the time of publication Wednesday. 

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