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

To: combjelly who wrote (226447)	2/20/2007 11:29:00 AM
From: Petz	Read Replies (2) \| Respond to of 275872

Hmmm, 1990's Magellan Fund manager Jeff Vinik is "loading up on AMD?" -- Stockpickr: Trade Like Prince Al-Waleed By James Altucher RealMoney.com Contributor 2/20/2007 7:14 AM EST URL: thestreet.com Value investor Prince Al-Waleed has been called by many the "Warren Buffett of the Middle East" ever since his prescient and humongous bets in the mid-1990s on two floundering companies, Citigroup (C) and AOL. ... Another large investment of his, dated from 2002 and one he's still holding on to, is Priceline (PCLN) . Al-Waleed bought it at approximately $25 a share, directly from Priceline founder Jay Walker. Priceline's growth has been nothing short of phenomenal in recent years, with 250% year-over-year earnings growth in the past year. Analysts expect the company to earn $3.22 a share in 2008, up from $2.80 a share in 2007, giving it a forward P/E of just 15 and change. Other investors in Priceline include Jeff Vinik, who took over for Peter Lynch at Fidelity Magellan in the 1990s. He then started his own fund, accumulated a net worth of several billion through investing and now primarily invests his own money. He's been loading up on tech giants such as Advanced Micro Devices (AMD) and Google (GOOG) . One longtime Al-Waleed stock that could come under activist attack is Saks (SKS) ... Check out Prince Al-Waleed's other holdings at Stockpickr. We regularly update the portfolio and the analysis whenever he takes additional active positions. Petz

To: combjelly who wrote (226447)	2/20/2007 12:16:26 PM
From: eracer	Read Replies (4) \| Respond to of 275872

Re: The point was, even with the highest priced X2 processors, the BOM allows for a competitively priced system without discounting. So? AMD offered much better performance, performance/watt and performance/$ compared to P4 over the past few years and made little progress in the business desktop market. A few potential dollars saved by moving to DTX won't get AMD in the door. Dell is charging big $ for SFF Core 2 systems because they can, not because Intel SFF systems are incredibly expensive to build. Sure, if Dell was willing to accept giveaway prices and drastically lower margins for SFF business desktops then they may want to offer a $650 X2 5600+. But I highly doubt that will happen. Until dual-core K10s arrive AMD will get their foot in the door by continuing to ramp up production and slashing prices to keep up with and/or surpass Intel's price cuts. By the time AMD gets the equivalent of a 65W 65-nm X2 5600+ out the door the retail price will be $225 or less, and Dell's price will likely be under $150. Even when K10 launches Dell won't be offering sub-$650 SFF business desktops based on AMD K10 CPUs with a list price >$300.