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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 231.83+1.7%Jan 16 9:30 AM EST

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To: Gopher Broke who wrote (220007)12/11/2006 12:52:09 PM
From: neolibRead Replies (2) of 275872
 
This is all old news so there must already be a lot of down-pressure factored into the stock price. But are things looking bleak enough that we can call the negativity a contrary indicator?

Not IMO. There are still a number of significant positives which are helping support the stock: 1) Dell is buying a lot, 2) AMD is selling all it can make, 3) 65nm is out and about, 4) Quad core demo'ed.

The problem is that Intel has finally reclaimed the performance crown, and further, seems to have laser focus on keeping it this time around with the financial resources to do so. It actually amazed me that little AMD on more or less a shoestring, was able to take the crown as well as they did with Opteron (and fortunately, it made me a nice pile of money :))). I am very careful now however, because I think 2007 is going to be very tough on AMD. I suspect we will see $15, if not worse (sub 10 is possible) much more likely than seeing $30. I love the stock for the price volatility and abundant news gossip. It must be played rather differently from buy and hold IMO.
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