10 AI News Investors Probably Missed

2. Advanced Micro Devices, Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 107

Advanced Micro Devices, Inc. (NASDAQ:AMD) designs and manufactures semiconductor products, including microprocessors and GPUs, optimized for AI applications. The company offers AI-focused hardware solutions, serving data centers, cloud providers, and system integrators.

On December 9, BofA downgraded AMD from Buy to Neutral, reducing its price target from $180 to $155, as reported by The Fly. The downgrade reflects concerns over increased competition from Nvidia in AI, as well as a growing preference for Marvell and Broadcom’s custom chips in the cloud market, which may limit AMD’s potential for market share growth. Additionally, BofA anticipates a possible correction in the PC processor market in the first half of 2025.