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Boutique research house BlueFin Research Partners’s John Donovan and Paul Peterson today reiterate an upbeat outlook on the personal computer market, which affirms their faith in shares of Intel (INTC) and Advanced Micro Devices (AMD).

After what the duo think were shipments of 25.3 million PCs in the month of March, the tally for Q1 is looking like 65.1 million PCs, boosted by more-desirable “ultraportable” laptops, and by new chips for desktop from AMD that look like they’ll warm up desktop sales for the industry.

That supports the outlook that has been offered by PC makers:

The Q2 shipment forecast outlook by PC OEMs remains at 64-65M. Our independent look from the supply chain and input from multiple suppliers confirms this view. PC suppliers in aggregate are targeting shipments 20-20.5M in April, according to our research. Our 2017 projections have been raised modestly to 266-269M, which would be a decline of only 1-2% from 2016 totals. The 2017 quarterly PC OEM forecasts are as follows: Q1 65.1M; Q2 64-65M; Q3 66.5-67.5M; Q4 70.5-71.5M. Our field checks in Asia indicate that ODM finished goods inventory levels are low, thanks to the relatively predictable PC shipment cadence. PC OEMs note that demand for thin ultraportables remains strong. These MacBook-like models offer compelling features including extended battery life, HD or 4K screen resolution, touchscreen options, etc. in an ultra-thin form factor. Additionally, the mid-April availability of 4 new AMD (AMD) Ryzen 5 SKUs priced from $169 to $249 should propel demand with increased competition in the mainstream market. Importantly, we continue to get feedback from several PC OEMs that a fairly sizable corporate upgrade cycle is likely at the end of the year, which could bolster numbers even further. Note our 2017 shipment forecast does not factor in a corporate ugrade cycle at this time.

The authors like both Intel and AMD:

As Bluefin analyst Steve Mullane highlighted in yesterday’s INTC Update, we continue to like the Intel story with the stable PC environment. We also believe INTC was relatively conservative with their 2017 guidance, as our industry research suggests stronger 2017 PC shipments are expected by the PC OEMs than INTC’s projections. At the same time, we believe the reduced expectations for data center growth will provide a more realistic hurdle for the company, while IoT and memory growth should remain very strong. We see AMD as a share gain story, as we noted in our January 22nd 2017 Semiconductor Outlook. The company has compelling new CPU and GPU architectures with a leading-edge process, and is poised to gain share in PC, graphics, and server in our view.

Shares of Intel are down 10 cents, or 0.3%, at $36.06, while shares of AMD are down 35 cents, or 2.3%, at $14.29.

Previously: Intel: March Trends Looking Strong, Says BlueFin, April 3rd, 2017.