Advanced Micro Devices (AMD) - Get Report received a host of price target increases Wednesday after the chipmaker beat Wall Street's fourth-quarter earnings expectations, but some analysts tempered their praise.
Shares of AMD were down nearly 5% to $90.16 at last check.
Truist analyst William Stein raised his price target on AMD to $101 from $96, while keeping a hold rating on the shares as he noted the company's "robust" earnings beat.
AMD reported adjusted earnings per share of 52 cents a share vs. analysts' expectations of 47 cents for the fourth quarter, and revenue of $3.24 billion vs. expectations of $3.03 billion.
Northland analyst Gus Richard raised his price target on AMD to $84 from $75 after the company reported "strong" fourth-quarter results and guided up for the first quarter and 2021.
However, the analyst said he believes that the company is optimistic about the strength of the PC market in 2021 and he kept a market perform rating on the shares.
While AMD expects the PC market to be up a mid-single digits percentage, Richard forecast it to decline 10%.
Susquehanna Financial Group analyst Christopher Rolland raised his price target to $115 from $110. He said in an investor's note that "despite lofty whisper expectations, AMD delivered results/guidance that hurdled handily."
Rolland added that the results show “broad-based growth across almost all product lines,” along with “substantial” demand.
Barclays analyst Blayne Curtis raised his price target to $120 from $115 while keeping an overweight rating on the shares.
The analyst said the "strong" results and guidance highlight AMD's continued share gain story, which should accelerate as its third generation Milan servers ramp.