Market Overview

UPDATE: FBR Capital Markets Downgrades Advanced Micro Devices to Market Perform on Cash, Margin Concerns

Share:
Related AMD
Benzinga's Option Alert Recap From May 26
AMD CEO Puts Rumors To Rest: 'We're Not Looking At Enabling A Competitor To Compete With Our Products'

FBR Capital Markets reduced its rating on Advanced Micro Devices (NYSE: AMD) from Outperform to Market Perform and reduced its price target from $5 to $3.

FBR Capital Markets noted, "We are throwing in the towel on AMD and are downgrading shares to Market Perform. While we know PC sales are suffering from weak macro demand (including China and Europe), a complete absence of any back-to-school goodness, tablet/smartphone cannibalization, and a production/sales "air pocket" before the Win8 launch, we now have less confidence in go-forward cash burn given rapidly declining ASPs and management's new refusal to provide gross margin guidance. Thus, we worry about the magnitude of intended pricing cuts and gross margin impacts as AMD's cash bleed could intensify."

Advanced Micro Devices closed at $2.62 on Thursday.

Latest Ratings for AMD

DateFirmActionFromTo
May 2017Loop CapitalDowngradesBuyHold
May 2017MacquarieDowngradesNeutralUnderperform
Apr 2017Goldman SachsInitiates Coverage OnSell

View More Analyst Ratings for AMD
View the Latest Analyst Ratings

Posted-In: FBR Capital MarketsAnalyst Color Downgrades Intraday Update Analyst Ratings

 

Related Articles (AMD)

View Comments and Join the Discussion!