Stock price when the opinion was issued
Although she doesn't own it she has traded it. She is cautious on the run-up and AI sector but it could show good growth and there is still room to run in the sector. It scores 8 out of 10 fundamentally. There is a mix of buy and hold on the street and analysts see an upside of 12 to 13% in valuation. You could keep holding it but also do some trimming.
Likes to watch the semiconductors as an indicator for economic expectations. This group has led the rally over the last number of years, regularly checking back to the 200-week MA (as in March/April of this year). Rallied nicely since then. NVDA is obviously the leader and making new all-time highs. Semi index in the US has not made a new high, and that's a little something to think about especially when the market it. Its RSI has come off the deep low, so there's no issue in the short-term.
This name is performing very well. Semis are giving good messaging right now. He'd really love to see the semiconductor index make a new high, and that's the caveat. This one will pick up market share, but he'd prefer to be with the leader NVDA.
He bought this during the July sell-off, down 40% from its highs currently and is the third-worst-performing chipmaker in the S&P. Their fundamentals haven't changed. AMD is a close second to Nvidia. Demand for their AI chips is strong. They raise predictions for demand for these chips from $2 billion for 2024 to $3.5 billion and in late July to $4.5 billion. Their last quarter boasted a modest top and bottom line beat with better than expected guidance. The street doesn't give them credit for 2 deals last summer for ZT Systems and an AI company which will help AMD close the gap with Nvidia. He firmly believes in the CEO and says this is a strong buy the dip.