Citi Reiterated Neutral Rating On Intel, AMD - Read Why

• Citi analysts Christopher Danely and Kelsey Chia observed that May notebook shipments were up 22% month on month, below Citi's expectation of up 29% due to demand deceleration. 
• This is the fifth consecutive month where notebook shipments were below expectations. 
• Carrie Liu, Citi's Taiwan notebook analyst, lowered 2Q22E notebook shipments from down 3% Q/Q to down 11% Q/Q, well below seasonality of up 5%-10% Q/Q. 
• The new forecast implies a 13% Y/Y decline for 1H22E. 
• Citi reiterated Neutral ratings on Intel Corp (NASDAQ:INTC) and Advanced Micro Devices, Inc (NASDAQ:AMD) as they expected a contraction in the PC market to impact both negatively. 
• Price Action: INTC shares traded lower by 2.29% at $38.28 on the last check Monday.