Latest news with #FrankLee
Yahoo
3 days ago
- Business
- Yahoo
AMD (AMD) Gets Boost to $100 Target on AI Hopes, HSBC Upgrade
HSBC upgraded Advanced Micro Devices (AMD, Financials) to Hold from Sell and raised its price target to $100 from $75. The call comes on the back of strong Q1 results and fresh optimism around AI and global trade. Warning! GuruFocus has detected 3 Warning Signs with AMD. Analyst Frank Lee pointed to AMD's rebound in data center revenue and a new U.S.-Saudi AI partnership as signs of improving momentum. He also flagged easing tariff tensions and upcoming AI chip launches as potential tailwinds. Lee called AMD's AI exposure appealing over the long term, even as the stock remains a hold for now. Investors are watching how well AMD delivers on its AI roadmap and how it stacks up against Intel (INTC, Financials). This article first appeared on GuruFocus.
Yahoo
3 days ago
- Business
- Yahoo
AMD (AMD) Gets Boost to $100 Target on AI Hopes, HSBC Upgrade
HSBC upgraded Advanced Micro Devices (AMD, Financials) to Hold from Sell and raised its price target to $100 from $75. The call comes on the back of strong Q1 results and fresh optimism around AI and global trade. Warning! GuruFocus has detected 3 Warning Signs with AMD. Analyst Frank Lee pointed to AMD's rebound in data center revenue and a new U.S.-Saudi AI partnership as signs of improving momentum. He also flagged easing tariff tensions and upcoming AI chip launches as potential tailwinds. Lee called AMD's AI exposure appealing over the long term, even as the stock remains a hold for now. Investors are watching how well AMD delivers on its AI roadmap and how it stacks up against Intel (INTC, Financials). This article first appeared on GuruFocus. Sign in to access your portfolio
Business Insider
6 days ago
- Business
- Business Insider
How Will AMD Compete With Nvidia In China?
Advanced Micro Devices (AMD) isn't going to let rival graphics processing unit (GPU) maker Nvidia (NVDA) corner the Chinese artificial intelligence (AI) market without a fight. Instead, AMD has revealed a new custom GPU based on the Radeon AI Pro R9700 that will be sold to AI firms in China. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter AMD's new graphics card will compete with Nvidia's RTX 50 Series line being sold in China. However, this updated graphics card will likely be weaker than the commercial version that was sold in the U.S. This is due to President Donald Trump's strict export bans on advanced GPUs to China. Getting a GPU at the right power to sell in China can be a difficult task. Nvidia tried this already with its MI308 GPU, but it proved to be too powerful to sell in the country. That cost it hundreds of millions of dollars, a mistake that AMD will likely go to great lengths to avoid. Still, it has to sell a GPU similar in power to Nvidia's Chinese offerings to attract customers. This complicates matters and puts AMD in a tough position. AMD Analyst Upgrade In other recent news, AMD stock shrugged off its only Sell rating earlier this week. Four-star HSBC analyst Frank Lee upgraded the semiconductor company's shares to Hold but didn't offer a price target. AMD stock was down 1.77% on Friday, building on an 8.08% drop year-to-date. The company's shares have also fallen 32.3% over the past 12 months. Is AMD Stock a Buy, Sell, or Hold? Turning to Wall Street, the analysts' consensus rating for AMD is Moderate Buy, based on 22 Buy and 10 Hold ratings over the past three months. With that comes an average AMD stock price target of $126.55, representing a potential 14.05% upside for the shares.
Yahoo
28-05-2025
- Business
- Yahoo
PLAB Q1 Earnings Call: Revenue Miss and CEO Transition Amid Industry Uncertainty
Semiconductor photomask manufacturer Photronics (NASDAQ:PLAB) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 2.8% year on year to $211 million. Its non-GAAP EPS of $0.40 per share was 16.7% below analysts' consensus estimates. Is now the time to buy PLAB? Find out in our full research report (it's free). Revenue: $211 million (2.8% year-on-year decline) Adjusted EPS: $0.40 vs analyst expectations of $0.48 (16.7% miss) Revenue Guidance for Q2 CY2025 is $204 million at the midpoint, below analyst estimates of $220 million Adjusted EPS guidance for Q2 CY2025 is $0.38 at the midpoint Operating Margin: 26.4%, in line with the same quarter last year Inventory Days Outstanding: 42, up from 38 in the previous quarter Market Capitalization: $1.28 billion Photronics' first quarter results were shaped by continued softness in demand for mainstream photomasks and the impact of customer wafer fab utilization, particularly in segments tied to power, industrial, and consumer applications. Management attributed the performance to a combination of muted demand in older-generation nodes and a shift in product mix, emphasizing the need to focus on higher-end photomask offerings. CEO Frank Lee noted, 'The mainstream market still remains weak, mainly because a lot of our age fab customers still have very low wafer fab utilization.' The quarter also saw stability in gross margins, supported by long-term agreements with major customers that provided pricing stability despite broader market headwinds. Looking ahead, management emphasized caution due to ongoing macroeconomic uncertainty, especially related to tariffs and subdued demand visibility. Outgoing CEO Frank Lee and newly appointed CEO George Makrokostas highlighted that near-term growth will be challenged by customer hesitancy and the timing of advanced node projects, with the outlook for recovery pushed further into next year. CFO Eric Rivera said, 'We are seeing customers feeling the uncertainty that's reflected in the market... the current tariff environment is creating that uncertainty.' The company's capital allocation will remain balanced between capacity investments and share repurchases, with an ongoing focus on expanding high-end capabilities and responding to regional shifts in semiconductor manufacturing. Management pointed to weak mainstream demand, ongoing node migration, and a major leadership transition as key themes influencing the quarter and near-term outlook. Mainstream segment softness: Demand for photomasks in legacy nodes declined as wafer fab customers operated at low utilization rates, particularly in power and industrial end markets. Management described this as a broad-based trend rather than one isolated to Asia or new market entrants. High-end node migration: The company continued to see customer designs move toward higher-end nodes, which require more complex and higher-value photomasks. This trend was especially evident in the United States and Asia, where capacity expansion is being targeted. Leadership transition: Frank Lee announced his retirement as CEO after three years, with Chairman George Makrokostas stepping into the role. Makrokostas emphasized continuity and a dual focus on operational discipline and market share growth. Capital allocation priorities: Photronics repurchased $72 million in shares during the quarter, demonstrating a commitment to shareholder returns while also investing in capacity and technology upgrades, particularly in the U.S. to support reshoring initiatives. Tariff and macroeconomic impacts: The ongoing tariff environment and global macro uncertainty were cited as reasons for cautious near-term guidance, with management noting the company's diversified manufacturing footprint as a tool to mitigate supply chain and cost risks. Management's outlook centers on cautious demand expectations, with future performance driven by advanced node adoption, regional manufacturing shifts, and ongoing supply-demand imbalances. Demand uncertainty persists: Management flagged continued hesitancy among customers due to tariffs and macroeconomic uncertainty, resulting in reduced visibility and shorter order backlogs. This environment is expected to weigh on revenue until industry conditions stabilize. Strategic capacity investments: The company is prioritizing capital expenditures for high-end node capabilities in the U.S. and Asia, aiming to capture growth tied to advanced semiconductor applications, including those supporting AI ecosystems. This focus reflects a shift away from legacy nodes toward higher-value segments. Market share and cost discipline: Newly appointed CEO George Makrokostas stated his intention to balance cost containment with efforts to grow market share, especially given the finite size of the photomask market and the need to respond to competitive and regional shifts in the industry. In the upcoming quarters, our analysts will monitor (1) the pace and impact of high-end node adoption across regional markets, (2) progress on U.S. capacity expansions and the effectiveness of these investments in capturing reshoring-related demand, and (3) stabilization or recovery in mainstream mask utilization rates. Developments in tariff negotiations and broader semiconductor industry demand will also be important signals for Photronics' outlook. Photronics currently trades at a forward P/E ratio of 9.7×. Is the company at an inflection point that warrants a buy or sell? See for yourself in our full research report (it's free). The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
28-05-2025
- Business
- Yahoo
HSBC Upgrades Advanced Micro Devices (AMD) Stock to Hold, Lifts PT
On May 28, HSBC upgraded the rating on Advanced Micro Devices, Inc. (NASDAQ:AMD) stock from Sell to Hold, increasing its price target from $75 to $100. Frank Lee from HSBC made this upgrade on AMD, citing the recent Saudi Arabia AI deal and easing of tariff tensions to be a positive development for the company. AMD posted better-than-expected results for the first quarter of 2025, driven by upbeat growth in the data center revenue. The Q1 results have revived investor sentiment for AMD stock. AMD posted a 36% increase in its Q1 revenue compared to the same period a year ago, reaching $7.4 billion. The revenue was driven by robust growth in the data center and client segments. The company experienced a 55% growth in net income, fueled by a higher percentage of data center product sales and a robust Ryzen processor mix. Data center segment revenue soared nearly 57% year-over-year, with major contributions from EPYC CPU and Instinct AI accelerator sales. Lee sees potential upside for AMD in the future from the deal between the U.S. and Saudi Arabia. The analyst also cited that AMD is 'appealing in terms of long-term total addressable market (TAM) opportunity.' Lee is optimistic about AMD's upcoming AI chips and said that the company can gain from the new product launches, getting in a position to fight competition from Intel. Advanced Micro Devices, Inc. (NASDAQ:AMD) is a global semiconductor company focused on high-performance computing, graphics, and visualization technologies. AMD operates four segments, including Data Center, Client, Gaming, and Embedded. While we acknowledge the potential of AMD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMD and that has 100x upside potential, check out our report about this cheapest AI stock. Read Next: and . Disclosure. None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
