Here's Why Truist Slashed Price Targets On AMD, Intel, Nvidia - NVIDIA (NASDAQ:NVDA), Analog Devices (NASDAQ:ADI), Intel (NASDAQ:INTC), NXP Semiconductors (NASDAQ:NXPI)

Truist analyst William Stein warned against the sustained semiconductor rally due to a sudden negative shift in demand signals from a wide swath of computer, consumer, and communications OEMs to at least some of their semi-suppliers.
The cuts mainly related to production in the second quarter, but demand throughout the year's second half remained strong.
While a single-quarter adjustment or a temporary headwind was possible, he was concerned that "a combination of just enough demand destruction and just enough additional supply is leading to a traditional cyclical downturn."
Consequently, Stein adjusted his price targets for several key semiconductor stocks, including Advanced Micro Devices Inc AMD, Intel Corp INTC, and NVIDIA Corp NVDA.
His new price target for AMD is $111, down from $144 (7% upside), while he cut Intel's target to $49 from $53 (3% upside). He retained a Hold rating on both the stocks.
Nvidia remained a Buy for Stein, even though he lowered his price target to $298 from $347 (23.1% upside). While he is constructive on the stock and continues to rate it a Buy, he said near-term price effects could become more volatile.
Stein preferred NXP Semiconductors NV NXPI, Analog Devices Inc ADI, and ON Semiconductor Corp ON, as they were more reliant on industrial and auto demand.
Price Action: AMD shares traded lower by 1.74% at $101.92 on the last check Friday.