Thoughts on AMD

[Spiffster]

THIS IS NOT INVESTMENT ADVICE, JUST MY THOUGHTS ON AMD, SO DO YOUR OWN RESEARCH.

Just recently I tried to purchase a high end AMD graphics card (R9 290) and found that they are either sold out or somewhat overpriced (obviously driven by demand). Having dabbled in cryptocurrency "mining" I already know that the AMD graphics cards are by far the card to go with for this purpose, but didnt realize that the popularity of cryptocurrency mining would result in such a widespread shortage. About 4 months ago I had no issues picking up two 7850 GFX cards...

That said there are a few other developments that I feel are going to benefit AMD at least in the near term:

Recently released Mantle Drivers (Somewhat revolutionary for the gaming industry)
Huge Demand for AMD GFX driven by Cryptocurrency popularity exploding in the last 3 or so months.
Chipsets for the late PS4, XBOX One, and Wii-U are all provided by AMD (Huge win over Nvidia)

Investment opportunity? Quite possibly IMO.

AMD is currently trading at 3.90.

[Tabs]

The surprising uptick of sales for crypto currency is nice, but it does not a fundamental make. If anything, it's more like a sign for short-term traders to be shorting this stock.

However, the universal adoption of their Fusion APUs for current generation consoles is quite the coup, though I would think it is already baked into the price by this point. About the only thing that I would think rally the stock any further would be if they manage to beat expectations in a quarterly report... which is also a short-term trading thesis.

Bottom line, I think AMD is speculative right now, though I am really glad to see them still hanging in there somehow. I don't know what their financials look like, but I don't usually look at that until I feel bullish about their future prospects.

That said, I am looking intently on what they are going to say about steamroller....

That's also just my personal opinion by the way.

[humandraydel]

AMD is a tough one - they have been beaten down for so long (and rightfully so). They had to sell their headquarters to raise money! They do seem to have a good thing going with the console sales and their GPUs, however, their CPU business has gone downhill a lot in the past 4 years.

I had a friend that bought AMD in 2004 at something around $8. By 2006 they were up to $40+ dollars and he never sold. In fact, I think when they dropped to $20 he bought more.

[Tabs]

Yeah, that's the thing. AMD has literally no traction in the mobile market right now, and that's where all the business is at this time. I really hope the Steamroller will succeed somehow, but just that's a further push into the desktop performance market. Still nothing for the mobile market. So, I am rather bearish about their outlook at this point.

And there is already an editorial of this in further detail.