AMD on the road to recovery.

b0rn2sk8 · 8 Nov 2021 at 18:48

TrixP10 said:
good day for AMD today $150+
almost three times intel

humbug said:
WHAT????????????? Holly ####! That happened far sooner than i had expected

Hate to break it to you but comparing share price between companies is meaningless.

The correct comparison is ‘market cap’ (the cost of all the shares added together). On that point AMD is starting to nip on the heels on Intel now, only about £30b in it.

Eatchipz · 8 Nov 2021 at 18:54

Back in Feb 2020 I came into some inheritance and was reading all the positive things with AMD and also personal experience from using their Products and at this point the stock was growing nicely. I had never invested in any stock before. So I thought I would invest £1000 on AMD and see what happened not expecting it to gain much if anything maybe even loss money.

Well the last 20 months have been stunning. Bought in at $58 and now sitting at $151. If I cashed out now I would get £2320 so £1320 profit roughly.

Since then I have invested in other funds (SMT) but AMD is still my only single stock that I own!

TrixP10 · 8 Nov 2021 at 19:36

b0rn2sk8 said:
Hate to break it to you but comparing share price between companies is meaningless.

The correct comparison is ‘market cap’ (the cost of all the shares added together). On that point AMD is starting to nip on the heels on Intel now, only about £30b in it.

well you learn something everyday -LOL

humbug · 8 Nov 2021 at 21:30

b0rn2sk8 said:
Hate to break it to you but comparing share price between companies is meaningless.

The correct comparison is ‘market cap’ (the cost of all the shares added together). On that point AMD is starting to nip on the heels on Intel now, only about £30b in it.

Yeah, and if the Xilinx deal goes through right now their shares get added to AMD's, that's a market cap currently at $49.21 Billion.

Grim5 · 8 Nov 2021 at 21:38

If AMD's market cap is actually close to Intel's then wow that's quite the bubble aye.

Cause if you can have that market cap but nowhere near the revenue then its a bubble, must be crazy high P/E like Tesla

edit: Yep P/E of 46 LMAO, AMD way overvalued. Hopefully they can convert the goodwill into massive revenue otherwise that share price will eventually pop.

Tesla's P/E means that investors think Tesla will eventually become the biggest car manufacturer in the world and if it doesn't happen those shares are going to pop big time. Similar for AMD, its P/E means that it needs to become bigger than Intel to justify it

humbug · 8 Nov 2021 at 21:49

Grim5 said:
If AMD's market cap is actually close to Intel's then wow that's quite the bubble aye.

Cause if you can have that market cap but nowhere near the revenue then its a bubble, must be crazy high P/E like Tesla

edit: Yep P/E of 46 LMAO, AMD way overvalued. Hopefully they can convert the goodwill into massive revenue otherwise that share price will eventually pop

Revenue and size are not as relevant as you think.

What matters is what people think they will get in return for their investment, how much growth a company has, right now AMD are growing at breakneck speed while Intel are stagnant, in some aspects important to investors Intel are in decline.

There is no such thing as overvalued, look at Apple and Nvidia, Nvidia quite recently, not many years ago were no bigger than an AMD smaller than they are today, but Nvidia was going places, they had explosive levels of investment, much like AMD now, Apple was the same years before that.

If AMD's market cap overtakes Intel it will be because people are confident of AMD's destination, confident enough to put their money on it.

jigger · 8 Nov 2021 at 22:02

Grim5 said:
If AMD's market cap is actually close to Intel's then wow that's quite the bubble aye.

Cause if you can have that market cap but nowhere near the revenue then its a bubble, must be crazy high P/E like Tesla

edit: Yep P/E of 46 LMAO, AMD way overvalued. Hopefully they can convert the goodwill into massive revenue otherwise that share price will eventually pop.

Tesla's P/E means that investors think Tesla will eventually become the biggest car manufacturer in the world and if it doesn't happen those shares are going to pop big time. Similar for AMD, its P/E means that it needs to become bigger than Intel to justify it

Not how things work. Intel and AMD are two very different propositions.

TrixP10 · 16 Nov 2021 at 20:52

Another all time high!
https://www.google.com/search?client=firefox-b-d&q=amd+stock

Freddie1980 · 16 Nov 2021 at 21:33

Grim5 said:
If AMD's market cap is actually close to Intel's then wow that's quite the bubble aye.

Cause if you can have that market cap but nowhere near the revenue then its a bubble, must be crazy high P/E like Tesla

edit: Yep P/E of 46 LMAO, AMD way overvalued. Hopefully they can convert the goodwill into massive revenue otherwise that share price will eventually pop.

Tesla's P/E means that investors think Tesla will eventually become the biggest car manufacturer in the world and if it doesn't happen those shares are going to pop big time. Similar for AMD, its P/E means that it needs to become bigger than Intel to justify it

Yeah so many overvalued stocks around at the moment but it will likely continue whilst governments continue with printing money from central banks making cash less desirable.

TrixP10 · 16 Nov 2021 at 21:44

Freddie1980 said:
Yeah so many overvalued stocks around at the moment but it will likely continue whilst governments continue with printing money from central banks making cash less desirable.

where as Intel is so poor that they have asked the White House for financial help to build Fabs.

Freddie1980 · 16 Nov 2021 at 23:25

TrixP10 said:
where as Intel is so poor that they have asked the White House for financial help to build Fabs.

Under the last administration they were concerned the US was becoming to reliant on imports from abroad and wanted more fabrication plants built in the US combine that with local state incentives (lower taxes) the business case for Intel to invest in the US made sense. Besides it's not cheap to build these state of the art plants don't think for one second TSMC hasn't had financial help from the Taiwanese government over the years.

TrixP10 · 16 Nov 2021 at 23:55

Freddie1980 said:
Under the last administration they were concerned the US was becoming to reliant on imports from abroad and wanted more fabrication plants built in the US combine that with local state incentives (lower taxes) the business case for Intel to invest in the US made sense. Besides it's not cheap to build these state of the art plants don't think for one second TSMC hasn't had financial help from the Taiwanese government over the years.

but I thought Intel was loaded with cash. Anyway it was Intel's choice to build Fabs all over the world - not just in the US.

Freddie1980 · 17 Nov 2021 at 00:55

TrixP10 said:
but I thought Intel was loaded with cash. Anyway it was Intel's choice to build Fabs all over the world - not just in the US.

They are loaded but why risk your own when a government wants to help out. It's all politics at the end of the day, for the US government it's a question of national security whereas for Intel it's all about good business.

NinjaCool · 18 Nov 2021 at 09:27

AMD tops the charts with a projected 65% growth rate in sales for 2021!!
https://www.icinsights.com/news/bulletins/Annual-Revenue-Growth-To-Skyrocket-Among-Top-25/

AMD is highlighted for becoming the leading supplier for CPUs used in data center servers in addition to serving the mass markets for consumer PCs and game consoles.

humbug · 18 Nov 2021 at 12:52

I've just noticed something.... If AMD shares reach $170 ($20 / +13%) they will have overtaken Intel's market cap.

thebandit · 18 Nov 2021 at 14:56

$10B off Intel Market Cap today..... closing in.

humbug · 18 Nov 2021 at 16:57

thebandit said:
$10B off Intel Market Cap today..... closing in.

Holly crap you're right, they hit $158 today. Market can does update at the same time or even on the same day but would be about $193 Billion.

jigger · 19 Nov 2021 at 20:24

thebandit said:
$10B off Intel Market Cap today..... closing in.

Not much faith in shareholders lake.

humbug · 19 Nov 2021 at 21:19

They seem to be sticking at $155 for now, $150+ is thought to be the new normal for AMD.

For now, all it takes is one or two more big ticket item good news stories for AMD and they could find themselves overtaking Intel in value terms.

TrixP10 · 19 Nov 2021 at 22:31

humbug said:
They seem to be sticking at $155 for now, $150+ is thought to be the new normal for AMD.

For now, all it takes is one or two more big ticket item good news stories for AMD and they could find themselves overtaking Intel in value terms.

A lot of investors / traders are waiting for the Xilinx deal to complete. Lisa said by end of year - so any time now. Mkt Cap then, who knows.