Advanced Micro Devices, Inc. (NASDAQ:AMD) announced the expansion of its global ecosystem of partners for its EPYC datacenter processors today at the China EPYC Technology Summit. New datacenter customers – Tencent and JD.com – along with OEM partners Lenovo and Sugon, joined AMD on-stage with new product announcements and to showcase a wide range of systems and performance demonstrations.
“Today we celebrate the AMD EPYC family of CPUs for the datacenter market in China and are excited to announce support from the leading cloud service providers, Tencent and JD.com, while continuing momentum from Baidu, Lenovo and Sugon,” said Forrest Norrod, senior vice president and general manager, Enterprise, Embedded and Semi-Custom products, AMD. “The AMD EPYC family of processors provides incredible performance and scalability for the workloads that matter today and in the future. By partnering with these market leaders, AMD is bringing choice and competition to one of the fastest growing technology markets in the world.”
Additional ecosystem participation at the Summit came from Acer, Asus, Dell, Fiberhome, Gigabyte, HPE, H3C, INVENTEC, Lenovo, Sugon, SuperCloud, SuperMicro, TYAN, and Wistron. Key server hardware and software ecosystem support was provided by partners including Mellanox, Redhat, Samsung and VMware.
Cloud Datacenters Choose EPYC
“Tencent Cloud provides public services to benefit everyone. With our commitment to offer users with more choice and a more convenient user experience, Tencent Cloud is continuously seeking more cores, more I/O interfaces, more secure hardware features and improved total cost of ownership for server hardware products,” said Sage Zou, senior director of Tencent Cloud. “To continue as a leading provider of high-performance and high-value cloud services, Tencent needs to adopt the most advanced infrastructure and the chip industry’s latest achievements. By the end of this year, Tencent Cloud will launch AMD EPYC-based 2P cloud servers, with up to 64 processor cores and superior single system computing capability, to provide the industry with a more diverse portfolio of cloud products and services.”
“China Internet and e-commerce companies need more compute cores and higher memory bandwidth. We saw AMD EPYC processors have up to 32 cores, providing competitive advantage over current 2P server systems, and the eight memory channels enable greater memory bandwidth, which are believed to better match domestic customers’ requirements,” said Andrew Wang, technology leader of hardware system department at JD.com. “AMD EPYC will help JD.com improve the total cost of ownership (TCO) of our server systems. JD.com will collaborate with AMD on Big Data, AI and Cloud Services based on AMD EPYC in the future.”
Featured OEM Platforms
“As a strategic partner, Sugon and AMD have been working together for more than 15 years, AMD’s new EPYC data center processors will bring a new value experience in the datacenter,” said Cao Zhennan, vice president of Sugon. “Sugon will introduce full AMD EPYC processor based product line with nine new products across workstation, rack, blade and super rack systems for high-performance computing, cloud computing, large data analysis and deep learning applications today.”
“AMD EPYC processors present unique opportunities for our customers to lower total cost of ownership via an unprecedented balance of cores, memory bandwidth, and I/O. We are excited to collaborate with AMD and several global Hyperscale customers to develop and deploy single socket and dual socket EPYC-based servers,” said Paul Ju, vice president and general manager, Lenovo Global Hyperscale Business.
Share Price Movement
Shares of Advanced Micro Devices closed yesterday at $12.17, up $0.12 or 1.00%. AMD has a 1-year high of $15.65 and a 1-year low of $5.66. The stock’s 50-day moving average is $13.34 and its 200-day moving average is $12.95.
On the ratings front, AMD has been the subject of a number of recent research reports. In a report issued on August 15, Merrill Lynch analyst Vivek Arya reiterated a Buy rating on AMD, with a price target of $18, which implies an upside of 48% from current levels. On July 31, Wells Fargo’s David Wong reiterated a Buy rating on the stock, without suggesting a price target.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Vivek Arya and David Wong have a yearly average return of 17.5% and 16.6% respectively. Arya has a success rate of 55% and is ranked #271 out of 4611 analysts, while Wong has a success rate of 67% and is ranked #212.
Overall, 3 research analysts have rated the stock with a Sell rating, 9 research analysts have assigned a Hold rating and 9 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $14.37 which is 18.1% above where the stock closed yesterday.
Advanced Micro Devices, Inc. is a global semiconductor company that develops computer processors and related technologies for business and consumer markets. It design and integrate technology for intelligent devices, including personal computers, game consoles and cloud servers. It operates through the following segments: Computing and Graphics, and Enterprise, Embedded and Semi-Custom.