Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?

To: kash johal who wrote (3867)	8/7/2000 1:21:49 PM
From: chic_hearne	Respond to of 275872

Re: They have a HISTORY of not being straightforward. The should have fessed up and then ARTICULATED a recovery strategy and then still be bullish or otherwise on the quarter. Kash, You make some good points, but I would like to also add another. At least AMD has left themselves with some breathing room in their forward guidance. It appears that even with these infrastructure problems, AMD will have no trouble meeting estimates. This is far better than being in the same situation, but not having any breathing room and then end up guiding ANALysts down. It sounds like management is screwing up by not being straightforward, but is being VERY smart by leaving themselves with some room for error. chic

To: kash johal who wrote (3867)	8/7/2000 1:26:30 PM
From: Maverick	Respond to of 275872

Analyst Hans Mosesmann at Prudential Securities reiterated his "strong buy" on the stock, saying the recent selloff on concerns over supply/demand issues for flash products was not warranted. Regarding the Duron processor, Mosesmann said this was not news since the product only launched in June.

To: kash johal who wrote (3867)	8/7/2000 1:35:57 PM
From: andreas_wonisch	Respond to of 275872

Kash, Re: The should have fessed up and then ARTICULATED a recovery strategy and then still be bullish or otherwise on the quarter. I don't think that this would have been a good idea. We investors already know that AMD was/is limited by infracture problems (and we know this for months). The analysts know this, too. So what would have been the point if AMD had blamed VIA for any shortfalls in the quarter? This could have endangered the entire relationship with VIA and the KT-133 ramp would maybe have been even slower. For AMDs "virtual gorilla" strategy to work it needs good relationship with its partners. Currently they depend heavily on VIA (think about what would happen, if VIA shipped only half the KX-133/KT-133 chipsets). And they have no choice but work very close for them -- at least for a while. In Q4/Q1 the situation will be much better with at least for different chipsets available. BTW, when asked AMD stated that with "even better" chipset support they could have sold more Athlon. So when were they lying? They just didn't tell the whole story from the perspective of an impatient investor. Andreas