Can't enable AMD Radeon HD 5650 without a BSOD on a HP Envy 14

[notarealninja]

As the title says, I can't enable my graphics card without having an instant BSOD.
What I've done:
-I formatted my hard drive and did a clean install of Windows 7 with SP 1
-I installed drivers from HPs official site
My computer is functioning well as long as I have my driver as disabled. I can do almost anything except play games like I used to be able to. Without my graphics card, my FPS is well below even 30.
To solve the problem:
-I uninstalled Catalyst and used Driver Sweeper to uninstall my driver. Installing the driver afterwards still led to a BSOD
-Did another clean install of Windows but did not help.
-Tried installing using AMD oficcial install manager.
Any suggestions are appreciated. Could it be a hardware problem? In which case there would be no other solution than buy a new laptop. Thank you all.

Edit: The dump files https/www.dropbox.com/sh/g7cbus32x49474p/AAAeNrYB9-SRc_Wvk7pEltYea?dl=0
Apparently dxgkrnl.sys is the source of the problem.

 

[Phillip Corcoran]

I doubt it's a hardware issue and if you care to try Safe Mode and it runs (albeit with just the basic low-res VGA driver) then there's definitely no faulty hardware.

Either the Catalyst driver is bad or some other driver or piece of software is conflicting with it. Can't think of anything else.

 

[notarealninja]

I doubt it's a hardware issue and if you care to try Safe Mode and it runs (albeit with just the basic low-res VGA driver) then there's definitely no faulty hardware.

Either the Catalyst driver is bad or some other driver or piece of software is conflicting with it. Can't think of anything else.

I can run Safe Mode and my Intel and AMD are disabled. That's how I was able to disable the Radeon card while having it installed. I included a link to the dump files and apparently dxgkrnl.sys is the source of the problem.