Intel CEO change gives investors buying opportunity in AMD, Jim Cramer says - CNBC

Jan 13, 2021

Shares of Advanced Micro Devices dropped almost 4% after Intel announced that it will replace its chief executive in a month.

Intel stock rallied 7% as investors welcomed the news that current CEO Bob Swan would step down to make way for Pat Gelsinger, an Intel alum who heads VMware, to take over the role in February.

"As much as Intel needs a change, what matters here is that you're now getting a chance to buy Intel's more agile rival, AMD, down more than three bucks, for something that might not even happen: a turn at Intel within the next three years," the "Mad Money" host said.

Stock in Intel, a larger player with a $233.4 billion market cap, declined more than 16% in 2020 as the company reported a delay in new chips under development and lost a key partnership with Apple.

"I'd much rather buy the stock of a company that's beating Intel to a pulp, AMD," Cramer said.