AMD stock jumps as Morgan Stanley throws in the towel on "obviously" wrong bearish call
The Advanced Micro Devices Inc. bears the camp shrank Thursday, as Morgan Stanley analyst Joseph Moore upgraded the stock after long doubted chip company.
AMD shares
AMD, + 6.63%
increased more than 5% in the Thursday trade after the upgrade to underweight equilibrium, where Moore admitted that his bearish attitude on the stock "obviously has been the wrong ring." He put his underperformance at the end of October 2017; shares have risen 165% since then.
"While our earnings problems over the past 1[ads1]2 months have played out and 2H numbers still look high, the table is set well for 2020, and there are positive short-term catalysts," Moore wrote. "We still believe there is too much short-term optimism, but we are struggling with catalysts to remain underweight, especially in the E3," a major game conference that will take place next week.
Opinion: AMD and Cray are trying to develop the fastest supercomputer in the world
Cloud gaming can be a major catalyst for AMD, according to Moore, who expects the company to announce a partnership with Microsoft Corp.
MSFT, + 0.55%
during the event.
"The bottom line is that due to a combination of the way AMD implements virtualization, Nvidia's
