AMD stock rallies to document shut after CEO sounds constructive notes on 2021 and PC market

In a convention interview with Credit score Suisse analyst John Pitzer, AMD CEO Lisa Su stated she doesn’t see the COVID-19 increase in PC demand falling off in 2021.

“We’ve spent a lot of time talking to our customers and their customers’ customers, and I think what you’ll hear is that, really, we think this is more of a longer-lasting situation where the PC has just become essential,” Su stated.

For extra: The pandemic has introduced the non-public laptop again to life, with assist from Zoom

“And so you know the idea that a household, you could do one PC per household, perhaps if you’re only using it an hour a day, it makes sense,” she continued. “But now it’s really about one PC per person.”

“I think we see 2021 as a growth year for PCs, which perhaps we haven’t heard in a while,” Su stated. “And more importantly, I think the product portfolio that we have is sort of very focused on some of these higher and feature sets as well, that we think will play well for our long-term share gain prospects.”

Su additionally stated she anticipated the historically gradual first quarter to be “a little bit better than seasonal” in 2021.

AMD has slowly however steadily been chipping away at Intel Corp.’s
INTC,
+2.50%
dominance in PCs and now has about 13% of the market in laptops.

Again in late October, AMD not solely reported quarterly outcomes and an outlook that topped Wall Street expectation, however introduced plans to accumulate chip maker Xilinx Inc.
XLNX,
+0.17%
for $35 billion.

For the yr, AMD shares are up 102%, in contrast with a 44% rise within the PHLX Semiconductor Index
SOX,
+1.73%,
a 12% achieve by the S&P 500 index
SPX,
+1.12%,
and a 36% rise by the tech heavy Nasdaq Composite
COMP,
+1.28%.