- The stock price of Advanced Micro Devices, Inc. (NASDAQ: AMD) increased by 2.82% as the stock price went from $94.58 to $97.25. This is why it happened.
The stock price of Advanced Micro Devices, Inc. (NASDAQ: AMD) increased by 2.82% as the stock price went from $94.58 to $97.25. One of the mains reasons why the stock price went up is due to IDC’s PC device tracker report.
According to IDC, global PC shipments increased by 26.1% year-over-year to 91.6%. These gains were largely driven by the shelter-in-place orders associated with the COVID-19 pandemic. IDC also pointed out that the demand for gaming consoles also helped drive the growth in PC sales.
“Demand is pushing the PC market forward and all signs indicate this surge still has a way to go,” said IDC’s Worldwide Mobile Device Trackers program vice president Ryan Reith. “The obvious drivers for last year’s growth centered around work from home and remote learning needs, but the strength of the consumer market should not be overlooked. We continue to see gaming PCs and monitor sales at all-time highs and Chrome-based devices are expanding beyond education into the consumer market. In retrospect, the pandemic not only fueled PC market demand but also created opportunities that resulted in a market expansion.”
The fourth quarter of 2020 saw global shipments grow 26.1% year over year to 91.6 million units. And to put things into perspective, the last time the PC market saw annual growth of this magnitude was 2010 when the market grew 13.7%.
Disclosure: I have a small AMD position in my stock portfolio.