To The Moon

The artificial intelligence "bar remains high" for Advanced Micro Devices, and investors are better off with bigger names like Nvidia, say Morgan Stanley analysts who downgraded the chip maker."We like the AMD story, but investor expectations for the AI business still seems too high to us," said analysts led by Joseph Moore in a note to clients on Monday.Cutting the stock to equalweight, or neutral, from overweight, Moore and his team said they see upward revision potential for AMD as "limited," even with a recovery in its core business. Shares of AMD fell over 2% in premarket trading.They view AMD's stock price as expensive relative to other big-cap plays such as Nvidia and Broadcom , "where we have more confidence on upward revisions to AI forecasts.". Moore said their overweight on AMD has been focused on the chipmaker's core business reaccelerating following big downturn across markets, with AI an extra boost. "Through no fault of their own, AMD is facing a high bar given the supp