By Sam Boughedda
Advanced Micro Devices, Inc. (NASDAQ:AMD) shares are up more than 7% Tuesday, boosted by comments from KeyBanc Capital Markets analysts, who said in a note to clients that cloud demand strengthened in February, with AMD benefitting the most.
The firm's February results indicate solid cloud growth, which improved on both year-over-year and month-over-month bases, compared with January.
"Sequentially, AMD instances grew the most (+10% m/m), while INTC and NVDA both grew +2% m/m. AMD CPU instance growth of +10% m/m, which is the greatest sequential increase since October 2022, was led by an acceleration in Milan instances (+15% m/m), particularly at GCP," wrote the analysts.
In addition, AMD's processor instances were said to have increased 92% year-over-year compared with January (+2% m/m, +104% y/y).
"AMD growth in February was the strongest we've seen since October 2022. The sequential growth was supported by Milan (+15% m/m, +141% y/y), mostly at GCP. Rome was +5% m/m, +62% y/y, also driven by GCP," added the analysts.