AMD earned price-target hikes from Jefferies and Susquehanna this morning
The shares of Superior Micro Units, Inc. (NASDAQ: AMD) are sticking near breakeven this morning, final seen down 0.1% at $88.06, after Jefferies and Susquehanna raised the semiconductor concern’s price goal to $110 and $105, respectively. The latter of the 2 brokerage companies famous larger demand from PC and gaming, in addition to additional laptop computer power within the fourth quarter of 2020, because the shift to distant work continues to drive a necessity for at-home computer systems.
On the charts, the safety has been carving a channel of upper highs over the previous yr. Shares are simply now cooling off from a Jan. 11 all-time-high of $99.23, although the stock’s 80-day shifting common seems poised to comprise this pullback. Yr-over-year, AMD sports activities a 73.4% lead.
Analysts have been already optimistic in the direction of Superior Micro Units stock coming into as we speak. Of the 25 in protection, 15 carried a “robust purchase” ranking, whereas 10 known as it a tepid “maintain” or worse. Plus, the stock’s 12-month consensus goal price of $93.34 is a 5.8% premium to present ranges.
The choices pits lean bullish as nicely, with a powerful urge for food for calls. That is per the fairness’s 50-day name/put quantity ratio of three.59 on the Worldwide Securities Change (ISE), Cboe Choices Change (CBOE), and NASDAQ OMX PHLX (PHLX), which sits larger than 88% of readings from the previous yr. This implies calls are being picked up at a quicker-than-usual tempo.
For these trying to weigh in on AMD‘s subsequent transfer with choices, now could possibly be the proper alternative. The fairness’s Schaeffer’s Volatility Index (SVI) of 35% sits within the comparatively low 18th percentile of its annual vary. In easier phrases, choices gamers are pricing in low volatility expectations proper now.