QRVO - AMD leads chips higher as hedge funds pile in during Q1

2023-05-16 12:00:24 ET

AMD ( NASDAQ: AMD ) shares led semiconductor stocks higher on Tuesday as a number of prominent hedge funds bought positions in the Dr. Lisa Su-led company during the first quarter.

AMD ( AMD ) gained nearly 5% after it was disclosed that hedge funds Third Point , Duquesne Family Office and Hudson Bay bought or added to previous stakes during the period.

Shell Asset Management, the asset management arm of global energy giant Shell plc, also added to its stake in AMD ( AMD ) during the first quarter.

On the flip side, hedge fund Viking Global, run by Ole Andreas Halvorsen, exited its position in the name during the period, according to its 13-F filing.

Separately on Tuesday, investment firm Bernstein said the PC market looks to be "normalizing" at levels seen prior to the COVID-19 pandemic.

Analyst Stacy Rasgon, who rates both AMD ( AMD ) and Intel ( NASDAQ: INTC ) market perform, noted that overall PC shipments were down nearly 30% year-over-year in the first-quarter, but they only look exceptionally bad when compared to levels seen during the pandemic.

Point72, the hedge fund run by New York Mets owner Steve Cohen, took the other side of the equation and added to its stake in Intel ( INTC ) during the period.

Intel ( INTC ) shares slipped around 0.4% , while AMD competitor Nvidia ( NVDA ), rose nearly 2% .

Santa Clara, California-based Nvidia ( NVDA ) is set to release quarterly results on May 24.

Micron Technology ( NASDAQ: MU ) shares hugged the flatline as the company announced the release of two solid-state drives, the Micron 6500 ION NVMe SSD and the Micron XTR NVMe SSD.

In a statement, Micron ( MU ) said these drives provide a "major advancement for data centers by lowering operating costs and improving storage efficiency."

ON Semiconductor ( NASDAQ: ON ) shares rose around 0.8% after the company announced a deal to give Kempower silicon carbide and diode technologies for its electric vehicle chargers.

Several other S&P 500 semiconductor stocks were mixed on Tuesday, as Broadcom ( AVGO ), NXP Semiconductors ( NXPI ) and Analog Devices ( ADI ) saw fractional gains, while Qualcomm ( QCOM ), Texas Instruments ( TXN ) and Microchip Technologies ( MCHP ) were lower.

Smartphone-connected chip stocks, including Qorvo ( QRVO ) and Skyworks Solutions ( SWKS ) were also weaker on the session.

More on semiconductors and investing

• AMD's opportunity in AI may be much bigger than first believed: Morgan Stanley
• Nvidia Is Overvalued Under Every Fundamental Scenario
• AMD: Time To Jump Ship After Q1 Earnings

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