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Politics : Formerly About Advanced Micro Devices

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To: Paul Engel who wrote (120396)7/17/2000 2:35:31 PM
From: Maverick  Read Replies (2) of 1582530
 
ML:expects AMD to top 1.8 M K7 in Q2;new K7s ramp up very well
Advanced Micro Devices, 7/10/00
(AMD, C-2-1-9, $77 5/16)
We are expecting AMD to deliver $1.15 billion in
revenues this quarter, up 93% YoY and up 5%
sequentially. We forecast that the microprocessor division,
which will comprise 54% of total revenues or $619
million, will have the largest increase, up 147% YoY and
9% sequentially; the flash memory business follows with
113% YoY growth and 8% sequential growth. Growth of
the MPU business will be driven by continued strong
performance of the K6-2 products as well as the smooth
transition to the newer K7 Athlons. Our checks in the
channel, and with chipset vendors, indicate that AMD’s
ramp of the updated Athlons has gone extremely well this
quarter. We expect AMD to top our 1.8 million units K7
estimate for the quarter, up from 1.2 million units last
quarter.
Our EPS estimates stand at $1.18 for the quarter and $5.75
for the year. Note that these numbers do not take into
account an income tax provision that AMD will take start
to take this quarter. Were we to apply a tax rate of 15% to
the rest of the year, our quarter estimate would decline to
$1.01 for the quarter and $5.08 for the year.
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