Zhitong Financial APP learned that Piper Sandler, an investment bank, issued a research report saying that it would$Advanced Micro Devices Inc (AMD.US) $Upgraded its rating from "neutral" to "overweight" and raised its target price from $90 to $140.

Harsh Kumar, an analyst at Piper Sandler, pointed out that the slowdown in the PC market and the drag on earnings from AMD's acquisition of XLNX.US did not affect the company. Kumar also noted that AMD has several "medium-and long-term catalysts", including a strong server trend, a strong semi-custom trend, commercial PC growth, increased earnings from Cyrus, and an investor day early next month.

"from our point of view, the company's core business is working well and continues to benefit from long-term trends," Kumar said. AMD's share of the broader PC market is growing and is "very attractive in the commercial market," he added.

Kumar found that the development of server chips is accelerating, and super-scale companies such as Facebook Inc and Alphabet Inc-CL C's parent company Alphabet are also moving further. "the development of cloud computing and enterprise is the key factor to promote the sustained growth of market share."

In addition, Kumar explained that from a consumer and data center point of view, AMD's graphics cards seem to be gaining appeal to compete with industry leader NVIDIA Corp.

Kumar noted that the acquisition of Sailing appeared to have made a solid contribution from the start, with 3/4 of its business revenue growth of more than 20 per cent ", while AMD's recent guidance suggests that Selin will grow by 20 per cent or more for the rest of the year.