To Buy Or Sell AMD Following Downgrade? It Depends On Your Approach

Zinger Key Points
  • The Barclays analyst sees corrections across several end markets dampening AMD's growth. 
  • It isn't clear how competitive Intel Corporation and Arm Holdings will be in the years ahead.

Advanced Micro Devices Inc AMD was featured as the call of the day Thursday on CNBC's "Fast Money Halftime Report."

What Happened: Barclays analyst Blayne Curtis downgraded AMD from an Overweight rating to an Equal-Weight rating and lowered the price target to $115 from $148.

The Barclays analyst sees corrections across several end markets dampening AMD's growth. 

Brown's Take: "I think it's a reasonable note and sentiment that the analyst is expressing," said Ritholtz Wealth Management's Josh Brown.

It all depends on what an individual's intentions are in the market, Brown said. 

"On the one hand, you can say Lisa Su is doing a great job and AMD is a great company and I don't think anybody could really argue that," he said. "But you also sometimes would have to say all of that might be true and 2022 just might not be a great year for the stock."

Related Link: AMD Plunges, But Here's Why The Pullback Could Offer Opportunity

Brown's point is that you have to know whether you are an investor or a trader. Traders don't have time to stick around and wait it out, but for investors, the right move might be to just hold, he explained.

Brown noted the analyst is concerned that things may be as good as it gets for now. Moreover, it isn't clear how competitive Intel Corporation INTC and Arm Holdings will be in the years ahead.

"So I think you have to know what you are," Brown stressed.

AMD Price Action per Benzinga Pro: AMD has traded between $72.50 and $164.46 over a 52-week period.

The stock was down 8.29% at $109.34 at market close Thursday.

Photo: Courtesy of AMD

Posted In: Blayne CurtischipsCNBCJosh BrownLisa SusemiconductorLong IdeasDowngradesPrice TargetAnalyst RatingsMediaTrading Ideas

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.