AMD seen taking ‘material share’ from Intel, Barclays says

AMD (NASDAQ:AMD) is set to report third-quarter results after the close of trading, and Barclays thinks the Dr. Lisa Su-led company is taking “material” market share from Intel (NASDAQ:INTC).

“AMD looks to be taking material share and pricing, but we think Q4 poses some modest risk as it implies a strong server market, PC catch up, and strong [average selling price] and share gains across both,” Barclays analyst Tom O’Malley wrote in a note to clients.

AMD client CPU shipments likely rose 9% sequentially, while Intel CPU shipments were “slightly down,” O’Malley added, which should result in AMD gaining an additional 200 basis points of unit share, which should continue through the first quarter of 2025.

The same scenario exists for the server market, with AMD likely seeing mid-teens growth, while Intel was up low-single-digits, which should result in AMD taking roughly 160 basis points of market share, O’Malley said.

“Given the continued weakness of the general server market this year, we note some risk to consensus [double-digit] growth expectations for AMD’s non-AI server business and expect estimates to come down for Q4, potentially offset by stronger pricing from the Turin launch,” O’Malley wrote. “Baked into the AMD numbers are unit growth of ~7% and ASPs growth of 5%, implying another 200 [basis points] of revenue share gains.”

A consensus of analysts expects AMD will earn $0.92 per share on $6.71B in revenue.