- Bank of America Merrill Lynch (NYSE:BAC) analyst Vivek Arya provides data from the firm’s latest survey of online graphics card sales related to online gaming portal Steam.
- The survey included about 11M Steam gamers from the United States and Europe.
- Arya notes that among those surveyed, 22% were using Nvidia GPUs with 12% using the current-gen Pascal GPU.
- Pascal penetration compares to previous gen Kepler at 25% to 26% overall and nearly half of Nvidia gamers.
- Arya finds the results very positive for Nvidia going into the seasonally strong 2H gaming season with the Nintendo Switch as an additional growth driver in this market.
- Analyst sales guidance 1% to 5% above FY18 and FY19 consensus estimates.
- Reiterates Nvidia with Buy rating and $185 price target, a Street high.
- Reiterates Buy and $16.50 price target for Advanced Micro Devices (NASDAQ:AMD) despite limited GPU headways because of share gains against Intel (NASDAQ:INTC) in PCs and CPUs.
- Nvidia shares are down 1.16% premarket.
- AMD shares are down 2.05% premarket.
- Now read: AMD Ryzen Pro Unexpected Launch Indicates Surprises Ahead
Original article