DAAMIT gets another downgrade

FINANCIAL analysts at Citigroup have cut their target price on shares in AMD down to $14, from their previous estimate of $19.50.

The firm closed on Wall Street last night at $11.66.

The group becomes the latest in a line of analysts to take pot shots at AMD for failing to do anything to shift the market price of shares in the right direction. However, it's not exactly a radical decision, given that shares in Chimpzilla have been in and around $11 for quite a while now.

Citigroup cited a lack of opportunity for marketshare development in the foreseeable future as one of the reasons for the downgrade. Evidently, Wall St isn't too convinced about the ability of Barcelona to counter Intel's bevvy of next-gen quad-cores in the server or desktop segments.

AMD has leveraged plenty of money by banking on the fact its stock price will reach $40 and has promised investors returns on this basis. Creditors will surely be balking at the fact that Citigroup's advice also moved the company from 'Speculative risk' to 'High risk'.

Without a stunning comeback over Yuletide , as well as a win or two in its pending lawsuits, the situation appears to be getting more precarious for the folks in Austin. µ