AMD 'steals the show' with announcement of new PC and gaming chips, says analyst

Shares of Advanced Micro Devices Inc. are up nearly 7% in morning trading after the company announced new PC and gaming chips with competitive specifications and cheaper pricing over the weekend at Computex, an industry trade show. Cowen & Co. analyst Matthew Ramsay said that the company "[stole] the show" with its announcements: "We anticipate these products will drive above-consensus growth, share gains, margin expansion and AMD share appreciation." He rates the stock at outperform with a $36 target price. Wells Fargo analyst Aaron Rakers said that the focus of the latest announcements is AMD's "very compelling price points versus Intel Core i7/i9 processors." AMD also "will leverage a completely new Radeon DNA (RDNA) architecture" with better performance in its next-generation GPUs, Rakers said. He rates the stock at outperform with a $38 target. AMD shares are up 53% so far this year, as the S&P 500 has risen 13%.

Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.