Shares of Advanced Micro Devices Inc.
hiked up 0.7% in premarket trading Thursday, to buck the selloffs in its semiconductor peers and the broader stock market, after BMO Capital analyst Ambrish Srivastava turned bullish on the chip maker. The stock’s gains come as the VanEck Semiconductor ETF
slumped 0.6%, with 19 of 25 components losing ground, and as futures
for the S&P 500
slid 1.2%. Srivastava raised his rating on AMD to outperform from market perform, while raising his stock price target to $115 from $100. “We’re hearing of continued momentum from our work around the industry, and see AMD’s server share continuing to expand,” Srivastava wrote in a note to clients. “We see a sustainable compute franchise as a result of continued superior execution on all fronts under [Chief Executive] Dr. Su’s leadership,” Srivastava added. AMD’s stock has tumbled 46.1% year to date through Wednesday, while the semiconductor ETF has dropped 33.6% and the S&P 500 has lost 20.2%.