Originally posted by: kenji4life
Originally posted by: Euklid
Ouch this is a risky investment..unless AMD comes out with a CORE 2 DUO killer. Also they need to diversify more.
Hardly a risky investment.
AMD is indeed a high quality stock. You don't need analysts to tell you that.
AMD has been gaining marketshare strongly for the past few years and has nowhere to go but up. Diversify? Ever heard of ATI?
ATI has rarely if ever turned a profit in its history.
ATI basically is the AMD of gpus financial wise.
that said, 15.30 for AMD is not hot. Sure they are gaining market share, but they are getting killed on margins. And the whole ATI acquisition like all acquisitions paints a huge "we dont know if it will work out" sign on top of AMD.
I would wait until its $11 or 12.
AMD has fallen to as low as $7 in recent years and as high as $42. It seems like its in one of its downward moods.
AMD also really really pissed off the investment community because they basically told everyone everything was giong great, so that they could secure loans for new fabs and then a month later had a huge profit shortfall (and then their stock fell like $5 a share). Deservingly so, but you do not become a hot deal of a stock, by pissing off the investment community AND getting into a price war that you cannot win with a competitor that can cut costs faster than you while also buying a money losing graphics firm (and yes the ati part of it lost money last quarter too)