AMD downgraded to Sector Weight from Overweight at KeyBanc

KeyBanc analyst John Vinh downgraded AMD (AMD) to Sector Weight from Overweight without a price target The firm has increasing concerns regarding the sustainability of company’s China artificial intelligence business and sees increasing risk to gross margins given a potential price war with Intel (INTC). Further, AMD has limited opportunities to gain additional share versus Intel given the progress Intel is making on 18A, the analyst tells investors in a research note. While AMD shares are relatively inexpensive, semiconductor stocks rarely work with risk to gross margins, contends KeyBanc.