AMD stock down 3.6% due to double downgrade by HSBC based on AI market competition

From Nasdaq: 2025-01-08 14:23:32

AMD (NASDAQ: AMD) stock is down 3.6% in Wednesday’s trading following a double downgrade from HSBC, with a one-year price target slash. HSBC analysts believe AMD’s competitive position in AI is weaker than thought, making it hard to compete with Nvidia in the AI data center market.

HSBC downgraded AMD stock from buy to reduce, cutting the price target from $200 to $110. The firm expects AMD to struggle against Nvidia in the advanced GPU market, potentially falling short of Wall Street’s expectations this year. HSBC also lowered its forecast for AMD’s AI GPU revenue.

Advanced Micro Devices is one of the 10 best stocks to buy right now, according to analyst recommendations. With a total average return of 891%, Stock Advisor’s outperformance compared to the S&P 500 is significant. HSBC Holdings, an advertising partner of Motley Fool Money, recommends AMD and Nvidia.



Read more at Nasdaq: Why AMD Stock Is Sinking Today