The PC market sales will definitely get worse and worse, which is determined by the global economic environment, so this is definitely not good news for AMD and Intel.
According to Barron’s Financial Weekly,Intel and AMD, the two giants of the world‘s personal computer (PC) central processing unit (CPU), both admitted that the current PC market situation is worse than the low ebb in the previous financial report. The original earnings forecast has deteriorated by about 15%.
In addition, Bank of America analyst Vivek Arya published a research report, lowering the performance expectations of Intel and AMD,And pointed out that the PC consumer market is “deteriorating further” and will continue to solve the problem of excess inventory, so there is no good way to attract users other than price cuts.
Currently, the analyst has an “underperform” rating on Intel and a “buy” rating on AMD. Arya now expects Intel’s revenue in 2022 and 2023 to be $64.95 billion and $66.66 billion, respectively, down from previous expectations of $66.5 billion and $68.5 billion.
For AMD, Arya now expects 2022 and 2023 revenue to reach $25.76 billion and $28.09 billion, respectively, down from previous expectations of $26.05 billion and $28.68 billion.
However, Arya said: “While another downward revision is unacceptable, our sense is that the PC-related downward revision, especially for AMD, is nearing its end.” He pointed out that the bank’s current expectation is that the PC business is in An 11% year-on-year decline in 2023.
In addition, Arya noted that Intel may face “continued strategic, financial and competitive challenges,” but AMD’s valuation is attractive, and the company is likely to continue to gain more share in the data center space and continue to gain execution. promote.