Mizuho analyst Vijay Rakesh lowered his price target for AMD (AMD) to $30 from $33 and for Nvidia (NVDA) to $230 from $245.

The analyst, who keeps Buy rating on both stocks, is taking an updated look at graphics processing unit trends post his November 28 note highlighting the first pricing stabilization and rebound since the peak of the crypto-related bubble earlier this year. Rakesh admits that he's not seeing "any further significant uptick in pricing" since that note. However, he believes price stabilization remains in AMD and Nvidia GPUs.

Revenue at Taiwan GPU component suppliers such as Gigabyte/MSI, while declining, are trending better than last year with Chinese New Year ahead, Rakesh tells investors in a research note.

Further, he believes a potential launch and pricing of a mid-range ray tracing RTX 2060 could drive better gaming sales.