AMD stock falls, demand for crypto mining will fade

AMD will experience continued stock troubles, with cryptocurrency mining demand to 'fade'

Anthony Garreffa

Gaming Editor

Published Oct 31, 2017 10:37 PM CDT
Updated Nov 3, 2020 11:53 AM CST

45-second read time

AMD has had a huge year with Ryzen and Ryzen Threadripper CPU launches, but the release of Vega was lukewarm, and the main driver behind GPU sales for AMD has been the huge cryptocurrency mining phenomenon.

AMD stock falls, demand for crypto mining will fade | TweakTown.com

AMD share prices were trading at just over $6 late last year, readhing heights of around $14-$15 this year, and now they've sliding back down to $11. Morgan Stanley downgraded AMD to "underweight" status, with expectations that the console busines will decline, and graphics card sales due to cryptocurrency mining will "fade from here".

Joseph Moore, an analyst with Morgan Stanley, writes: "We believe that AMD's graphics surge has been caused by a sharp increase in sales of graphics chips to cryptocurrency miners. We expect this to meaningfully decelerate next year". Morgan Stanley downgraded their price target for AMD from $11, down to $8 per share.

News Source:ft.com

Anthony Garreffa

Gaming Editor

Anthony joined TweakTown in 2010 and has since reviewed 100s of tech products. Anthony is a long time PC enthusiast with a passion of hate for games built around consoles. FPS gaming since the pre-Quake days, where you were insulted if you used a mouse to aim, he has been addicted to gaming and hardware ever since. Working in IT retail for 10 years gave him great experience with custom-built PCs. His addiction to GPU tech is unwavering and has recently taken a keen interest in artificial intelligence (AI) hardware.