Wells Fargo downgraded Intel today:
[Part of Wells Fargo’s caution on Intel is “driven by our belief that investor sentiment could become more tempered amid increasing visibility into AMD share gain [market share] momentum.” AMD is slated to launch its “Rome” CPU chip by mid-year 2019, which its CEO, Lisa Su, said could deliver massive power to the devices it supplies. Wells Fargo also said it sees accelerating depreciation expenses for Intel, which will pressure margins.]
AMD’s CPU market share in Japan increased from 22% to 41.4% during the last twelve months.
“As a whole, the semiconductor industry has been having it rough as it hit a bottom of 79.2% in January compared to last year. Although it recovered to 126.9% in March, most of the benefits were reaped by AMD, as Intel struggled with 14nm chip shortages which are still expected to continue through 2019.”
TSMC is making excellent progress with 5 nm technology, which bodes well for AMD’s next generation chips.