🎁 💸 Warren Buffett's Top Picks Are Up +49.1%. Copy Them to Your Watchlist – For FreeCopy Portfolio

This is the most important semi stock at the moment, not Nvidia

Published 18/04/2024, 15:12
© Reuters.
AMD
-

Analysts at Mizuho said in a research note Thursday that they believe there is one semiconductor chip stock that can turn market sentiment higher or lower quickly.

The firm believes AMD (NASDAQ:AMD) "will be huge for semis and AI basket come April 30."

"This is the semi stock that in my view can turn the sentiment higher or lower, and quickly," wrote analysts at Mizuho.

They note that sentiment and positioning are "way down" as the stock is off 27% in five weeks from its March high on fears of MI300 order cuts, the lack of HBM DRAM supply, and "the view they are toast post NVDA Blackwell launch end '24 and into '25."

"What they say about [the] outlook for MI300 beyond Q2 is critical to support stock and bring any potential buyers back," said Mizuho, which acknowledges the AMD chart is in "absolute freefall," with no one willing to step up and buy on the fear it's like catching a falling knife ahead of a "risky April 30 earnings print."

"I think broader semis react a lot to AMD results and comments and that has biggest chance to rebound sector, or drive it lower quickly," added analysts at Mizuho, who remain AMD bulls.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.