Citi’s recent analysis indicates potential vulnerabilities in the semiconductor sector, particularly impacting stalwarts like AMD (NASDAQ:AMD) and Intel (NASDAQ:INTC). Its assessments in Asia suggest a slowdown in the non-AI data center and analog market segments. The current stock performance in these sectors appears to correlate with this observation, and the real economic implications may become more evident later in the year.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
Analyst Christopher Danely suggests caution, anticipating that semiconductor stocks may encounter market pressures through October due to fundamental weaknesses coupled with high valuations. Nevertheless, projections for 2024 are largely positive, with expectations of the sector rebounding post-inventory adjustments.
Overall, analysts expect more from AMD stock versus INTC stock. Indeed, INTC is rated a Hold with over 9% upside potential, whereas AMD is a Strong Buy with over 39% upside.
