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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 260.58+9.7%11:58 AM EST

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To: minnow68 who wrote (1018)7/17/2000 11:17:23 PM
From: wmwmwRead Replies (2) of 275872
 
minnow68,
I saw a calculation by you:
epscontest.com
Considering both flash memory and high end CPU sales in Q2 may exceed the bottomline figure in your calculation, it seems the .15 odds to be $2.00 EPS is too conservative. I would put it at 50%.
As to market reaction, NASDAQ was at about 3700 on last earnings date and now we are at 4270, and a possible rally towards 4500 if tomorrow CPI is ok.
AMD traded at $76 after hour on the day of last Q earnings release, which is 66 x $1.15. I would assume AMD trades at least at this ratio when this time earning is out, considering current market condition and positive forward looking CC, so $2.00 gives a price of $132.
If we get $2.00 this Q, an $8.00 EPS for Y2000 is very likely, and taking 20 x 8.00 we would trade at $160.
Even if we get something like $1.80, I still see above 50% chance that we could see $120.
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