Advanced Micro Devices (AMD) stock rose to a nine-year high on Monday amid enthusiasm for the company's next-generation processor line called Ryzen. Meanwhile, shares of memory chipmaker Micron Technology (MU) rose after the company got a price-target increase from investment bank Baird.
Shares of compute and graphics chipmaker AMD rose 7.7% to 15.20 on the stock market today. In intraday trading, the stock climbed as high as 15.35. AMD stock has been on a run since breaking out of a cup-with-handle base with a buy point of 7.63 on Nov. 17.
Rival graphics chipmaker Nvidia (NVDA) saw its stock rise 2.9% to 104.41 during the regular session Monday. It hit a record high of 120.92 on Feb. 7 and has more than tripled in the past 12 months.
Last Wednesday, Sunnyvale, Calif.-based AMD released details of its Ryzen chip for high-performance desktop and gaming PCs. AMD will launch the chip on March 2 at prices well below what Intel (INTC) charges for similarly configured chips.
IBD'S TAKE: AMD stock has an IBD Composite Rating of 86, meaning it has outperformed 86% of stocks in key metrics over the past 12 months. But it is ranked No. 11 out of 38 stocks in IBD's Electronics-Semiconductor Fabless industry group. To see which companies lead the group, visit the IBD Stock Checkup.
"Four years ago we began development of our 'Zen' processor core with the goal to deliver unprecedented generational performance gains and return choice and innovation to the high-performance computing market," AMD CEO Lisa Su said in a statement. "On March 2, enthusiasts and gamers around the world will experience 'Zen' in action, as we launch our Ryzen 7 family of processors and reinvigorate the desktop computing market."
Micron stock rose 2.2% to 23.75 on Monday after getting a bullish report from Baird analyst Tristan Gerra.
Gerra raised his price target on Micron stock to 35 from 25 and reiterated his outperform rating on the stock.
The supply-demand outlook for both DRAM and Nand remain positive for 2017, Gerra said.
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