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AMD Announces New Gaming Chips at CES

AMD also receives a price target upgrade from Wedbush on Tuesday.

Advanced Micro Devices  (AMD) - Get Advanced Micro Devices, Inc. Report CEO Lisa Su announced on Tuesday at CES a new generation of mobile and desktop gaming chips - the Ryzen 5000 Zen 3 series.

Su claimed that the capabilities of the new Zen 3 CPU architecture made the Ryzen 5000 series the “fastest processors in the world for gamers and creators.”

The chip is expected to launch in roughly 150 laptop models this year starting in February, and provide 17.5 hours of normal use on one charge, according to Dow Jones.

AMD shares initially rose on the news but recently were trading down 1.68% to $95.63. Shares have more than doubled over the past year, while those of longtime rival Intel  (INTC) - Get Intel Corporation (INTC) Report have declined about 11.6% over the same time period.

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At CES on Monday, Intel announced a slew of new microprocessors focused on the business, education, gaming and mobile markets. And its autonomous-vehicle division, Mobileye, said its technology would make self-driving cars cheap enough to mass produce and sell to retail buyers by 2025.

Intel shares were up 3.75% to $53.47 on Tuesday.

Meanwhile, Wedbush raised its price target on AMD to $110 from $100 on Tuesday, citing optimism about the chipmaker’s fourth-quarter results, which are due out later this month.

“We would be surprised if AMD does not exceed our expectations,” wrote analyst Matt Bryson.

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