) is making its new Ryzen 7000 series chips available at retailers on Sept. 27. Based on a new architecture called “Zen 4,” the chips will offer a double-digit percent increase of up 45% in performance depending on the application, versus what it now offers, the company said.
AMD also is introducing a motherboard platform called AM5 for the Ryzen 7000 processors. AM5 will support several new features, including DDR5 and PCI Express 5.0. The technologies enable faster memory and storage performance, respectively.
Wedbush’s Matt Bryson said AMD’s pricing for its Ryzen 7000 models, which were generally in line with the prior generation and included a $100 price cut for the high-end 7950X chip, was attractive. He reiterated his Outperform rating and $125 price target for the chip maker’s stock.
“Steady to lower MSRP vs. the 5000 series launch suggests AMD is not lifting pricing to offset an inflationary environment,” he wrote. AMD is “rather is looking to drive [market] share gains.”
In midmorning trading Tuesday, AMD shares were down 2.9%, to $85.89.
), has announced plans to raise its prices later this year because of inflation. Both AMD and Intel use the x86 chip architecture in making the processors that act as the main computing brains for PCs and servers.
On Aug. 2, AMD reported better-than-expected earnings, but forecast slightly less revenue than expected for the September quarter, citing softening PC demand.
Bryson sees room for AMD to overcome a tough industry environment with its strong competitive position in the enterprise market.
“We certainly see the larger opportunity as being in the server space, where we believe AMD’s Genoa will continue to enjoy substantial performance advantages vs. Intel,” he wrote.
AMD stock is down 39% this year, compared with a 30% drop for the
AMD’s Aggressive Chip Pricing Will Help It Beat Intel, Says Analyst
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A Ryzen 7000 Series desktop processor will start at $299.
AMD
Advanced Micro Devices will grab even more market share if Wedbush is on the money about the chip maker’s latest lineup of processors.
AMD
(ticker:
AMD
) is making its new Ryzen 7000 series chips available at retailers on Sept. 27. Based on a new architecture called “Zen 4,” the chips will offer a double-digit percent increase of up 45% in performance depending on the application, versus what it now offers, the company said.
AMD also is introducing a motherboard platform called AM5 for the Ryzen 7000 processors. AM5 will support several new features, including DDR5 and PCI Express 5.0. The technologies enable faster memory and storage performance, respectively.
Wedbush’s Matt Bryson said AMD’s pricing for its Ryzen 7000 models, which were generally in line with the prior generation and included a $100 price cut for the high-end 7950X chip, was attractive. He reiterated his Outperform rating and $125 price target for the chip maker’s stock.
“Steady to lower MSRP vs. the 5000 series launch suggests AMD is not lifting pricing to offset an inflationary environment,” he wrote. AMD is “rather is looking to drive [market] share gains.”
In midmorning trading Tuesday, AMD shares were down 2.9%, to $85.89.
Bryson noted that AMD’s chief rival,
Intel
(
INTC
), has announced plans to raise its prices later this year because of inflation. Both AMD and Intel use the x86 chip architecture in making the processors that act as the main computing brains for PCs and servers.
On Aug. 2, AMD reported better-than-expected earnings, but forecast slightly less revenue than expected for the September quarter, citing softening PC demand.
Bryson sees room for AMD to overcome a tough industry environment with its strong competitive position in the enterprise market.
“We certainly see the larger opportunity as being in the server space, where we believe AMD’s Genoa will continue to enjoy substantial performance advantages vs. Intel,” he wrote.
AMD stock is down 39% this year, compared with a 30% drop for the
iShares Semiconductor ETF
(ticker: SOXX), which tracks the performance of the ICE Semiconductor Index.
Write to Tae Kim at [email protected]
Source: https://www.barrons.com/articles/amd-new-chip-inflation-intel-51661872312?siteid=yhoof2&yptr=yahoo