AMD Stock (NASDAQ:AMD)
Friday, AMD (NASDAQ:AMD) shares were the only ones in the semiconductor sector to decline. This was because investment company Morgan Stanley said that AI was causing the chip economy to slow down. As a result, AMD stock declined in the market today.
A team of analysts wrote in a note to investors, “AI investments are crowding out server spending in the cloud. As cloud spending budgets are mixed, the acceleration of AI spending is causing temporary weakness in other cloud supply chains, deflating the overall semiconductor economy.” “We still favor AMD regarding share gains and prospects for recovery in [the second half], though the timing remains a risk.”
On Friday, AMD stock fell by almost 3%, while its rival Nvidia (NASDAQ:NVDA) fell by 1.3%. In addition to AMD, Intel (NASDAQ:INTC), a competitor, experienced marginal losses.
Other semiconductor companies, including Texas Instruments, Analog Devices, NXP Semiconductors, and Broadcom (NASDAQ:AVGO), also had losses of 0.5% or less on Friday.
The deadline for European Union antitrust officials to assess Broadcom’s planned agreement to purchase VMware has been extended to June 26, an increase of three days from the previous deadline of June 23.
Even though Apple (NASDAQ:AAPL) said it was building its first online shop in Vietnam, smartphone-related semiconductors such as Qualcomm, Skyworks Solutions, and Qorvo all had slight losses.
Apple (NASDAQ:AAPL) said on its fiscal second-quarter results call that it established new records in numerous developing countries. This decision to create an online shop, which has traditionally been a precedent for creating a physical store, comes after Apple revealed that it set new marks in several areas.
Around the middle of the trading day, ON Semiconductor climbed 0.5% despite the general downward trend in S&P 500 semiconductor companies.
Featured Image: Unsplash @ Syed Ali
Author Shariq Khan 
