TXN - Nvidia AMD lead chip decline as Truist finds 'hard evidence of order cuts'
Nvidia (NASDAQ:NVDA), Advanced Micro Devices (AMD) and Broadcom (AVGO) led declines across the semiconductor industry, as investment firm Truist slashed price targets across the board, telling investors it has found "hard evidence of order cuts." Analyst William Stein said that he learned of a "sudden negative shift" in demand for a number of manufacturers, including those for computing, consumer and communications to "some" of their semiconductor suppliers. While first-quarter results are likely to remain strong for the semiconductor industry, and perhaps even second-quarter guidance, cracks are starting to form for the second-half of the year and 2023. Stein added that two of his industry contacts are seeing order cuts, with both saying that the cuts are related to second-quarter production, but second-half demand is still "robust." "While a one-off quarter adjustment is possible, we stick to the adage we developed while selling components during the tech bubble: 'today's push-out is
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Nvidia, AMD lead chip decline as Truist finds 'hard evidence of order cuts'