2024-04-30 02:44:00 ET
Analysts at Susquehanna are sounding a note of caution ahead of Advanced Micro Devices ' (NASDAQ: AMD) first-quarter earnings report due on Tuesday after the market close.
The firm maintained a positive rating on the shares but lowered its price target from $200 to $185. The analysts expect the company to issue weaker guidance in the upcoming report that could limit the stock's near-term upside. Here's why.
Investors are anticipating great news from the company's data center business, where revenue surged 43% in the fourth quarter of 2023 over the previous quarter. AMD has previously guided for its data center graphics processing units (GPUs) , which are in high demand for artificial intelligence (AI) , to rake in around $3.5 billion in revenue this year.
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1 Wall Street Firm Thinks Advanced Micro Devices Stock Is Going to $185 Instead of $200 -- But Is It Still a Buy?