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Strategies & Market Trends : ahhaha's ahs

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To: gpowell who wrote (164)10/6/2000 4:18:03 PM
From: TimFRead Replies (2) of 24758
 
Yes, I friend of mine is a big supporter of AMD. But I can't find any compelling reason to purchase and hold stock in a cpu manufacturer

In the past AMD might have been weak but that isn't true anymore. They produce more 1ghz+ chips now then Intel, and they are pulling in money hand over fist. AMDs forward P/E (P/E based on current price and FY2000 estimates for earnings) is about 7.5. Its not just in to CPUs, its also sells a lot of flash memory. Its profits for Q1 and Q2 where the highest in the companies history. Q3 should continue the increase, and in Q4 they will have the ability to sell even more (plus Q4 is traditionally the best quarter for CPU sales).
What's wrong with having stocks in cpu manufacturers?

Tim
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