AMD stock gunning for sixth straight record high following more data showing market share gains on Intel

MW AMD stock gunning for sixth straight record high following more data showing market share gains on Intel

Shares have rallied 35% since earnings report

Advanced Micro Devices Inc. shares rallied toward a sixth consecutive record high on Wednesday following continued indications that the chip maker is taking market share away from larger rival Intel Corp.

AMD $(AMD)$ shares traded up nearly 9% Wednesday, carving out an new all-time intraday high of $122.49, on their way to a sixth straight day of record high closing prices as well as a sixth straight day of gains of 2% or more. Shares closed at a record $112.56 on Tuesday .

The last time AMD shares had such a streak was June 2, when the stock rose for seven days in a row, according to Dow Jones data.

Coincidentally, AMD's streak began on July 28 shares, which were down 0.3% Wednesday, have gained 1% since July 28.

Read: AMD's stock surges to record high while chip maker takes more market share from Intel

Additionally, the PHLX Semiconductor Index was on track for its fourth record high close in a row having finished at 3,396.66 on Tuesday.

In a note Wednesday, Citi Research analyst Christopher Danley, who has neutral ratings on both AMD and Intel, said data from Mercury Research showed that while total microprocessor shipments had declined 3.1% quarter-over-quarter, AMD's total share of the market increased to 16.9% in the second quarter from 16.1% in the first quarter. Meanwhile, Intel's share fell to 83.1% in the second quarter from 83.9% in the first quarter.

The data showed AMD's gains in the important data-center category over Intel. The Mercury data showed AMD with 8.9% share in servers, up from 5.5% in the year-ago second quarter and 8.2% in this year's first quarter. That's compared with Intel's 91.1% share, down from 94.5% in the year-ago second quarter and 91.8% in the first quarter.

Additionally, a Wednesday report from tech news site wccftech.com noted that AMD CPUs are still outselling Intel according to data compiled from MindFactory, Germany's largest tech retailer,

Another tailwind for AMD shares could be coming from a Bloomberg report $40 billion acquisition of Arm from Japan's SoftBank Group Corp. citing national security reasons, a development that would benefit AMD.

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$(END)$ Dow Jones Newswires

August 04, 2021 13:32 ET (17:32 GMT)

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