David Stahl
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Concern About AMD's Dependence On Crypto Data Mining?

The fact that Advanced Micro Devices, Inc. ’s quarterly beat was driven almost entirely by the sale of the data-mining graphics processing units for the Ethereum cryptocurrency should be a cause for concern among investors, Barclay analysts said Tuesday.

“This does not mean AMD is going to miss September guidance as GPUs are still widely sold out and there will be a restocking phase, but we believe estimates could be too high next year should this Ethereum tailwind dry up,” analysts Blayne Curtis and Christopher Hemmelgarn said in a note.

Analysts set a price target of $9 and rated the stock Underweight. AMD was trading largely unchanged at $13.35.