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Advanced Micro Devices beats by $0.02, beats on revenue

  • Advanced Micro Devices (AMD): Q1 EPS of  $0.02 beats by $0.02
  • Revenue of $1.4B (+28.4% Y/Y) beats by $60M.
  • Press Release
This was corrected on 04/17/2014 at 05:32 PM.
Comments (49)
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    Weird. It's responding positively AH to that. I thought for sure anything less than a penny would cause another selloff.

     

    Well, I guess we'll see on Monday.

     

    Good revenue number, though.

     

    -Mike
    17 Apr, 04:25 PM Reply Like
  • User 12115671
    , contributor
    Comments (621) | Send Message
     
    anything less than a penny.... .02?
    17 Apr, 04:34 PM Reply Like
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    SA listed it as $0.00

     

    2 pennies! Excellent!
    17 Apr, 05:35 PM Reply Like
  • User 12115671
    , contributor
    Comments (621) | Send Message
     
    I see, thought I was missing something... :-)
    17 Apr, 06:35 PM Reply Like
  • Tri Duong
    , contributor
    Comments (1496) | Send Message
     
    What's there not to like? beat estimates by a good margin and pretty good outlook for the next quarter.
    17 Apr, 04:32 PM Reply Like
  • Wuttz
    , contributor
    Comments (5) | Send Message
     
    There's plenty not to like.

     

    Despite paying the last $200 million of $700 million total payable to GF, AMD's debt went up considerably in the quarter. Despite loads of new products in the mix in multiple segments, ASPs were flat. Despite promises that margins would improve on console chips after the initial quarter, margins remain miserably low at 35%.

     

    AMD has stalled. It's a one-quarter-a-year winner based on gaming console sales, and a loser 3 quarters in 4. Where's the impetus for growth? Without borrowing, which will definitely suppress the share price, where will material growth come from? How does AMD hit $2 billion in revenues in, say, the next 7 quarters following the current strategy?

     

    Simple. It won't. So why invest now? I'll wait for ARM server chip sales to reach commercial volume before deciding whether to invest in the company. That should be in 2016 assuming AMD is able to stay on track.
    28 Apr, 08:42 PM Reply Like
  • Justin Jaynes
    , contributor
    Comments (3148) | Send Message
     
    @SMM -
    "less than a penny" - you're talking about gaap EPS?
    17 Apr, 04:32 PM Reply Like
  • Chris Lau
    , contributor
    Comments (1794) | Send Message
     
    (AMD) beat on both numbers. Forecast is rosy too. Worst case is flat revenue, with growth expected. Margins are very good too. Pretty soon everyone's going to figure out profits from console growth will support AMD's bottom line.

     

    Looks like the company will finally break the $4 and stay above that number.
    17 Apr, 04:34 PM Reply Like
  • Justin Jaynes
    , contributor
    Comments (3148) | Send Message
     
    @Chris - let's hope. It wasn't a "stellar" report, but it was decent. Revs looked good, and even a little rev growth in Q2 is good. Hopefully something comes out in the CC that makes the short lose their conviction
    17 Apr, 04:38 PM Reply Like
  • djkidm
    , contributor
    Comments (380) | Send Message
     
    So glad I held! Monday should be very interesting. Congrats to everyone who held through earnings :)

     

    Long AMD
    17 Apr, 04:34 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (8358) | Send Message
     
    Algorithms at work, oddball after hours up and down spikes, no? I have seen it three times now: stock goes up, smaller players and retailers lured in, and on Tuesday, after Easter - the big sell-off, as usual. Too bad I can't sell now with a few hundred BK cheeseburgers for profit. Aftermarket trading already closed in Europe and on Tuesday, it will be too late.
    17 Apr, 05:12 PM Reply Like
  • geekinasuit
    , contributor
    Comments (1084) | Send Message
     
    Adreas, be more positive, enjoy dreaming about all those additional cheesburgers you can buy should it keep going up on Monday.
    17 Apr, 05:19 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (8358) | Send Message
     
    I have been fooled three times so far. Earnings releases on NASDAQ, after we in Europe can't trade, on a Friday or the day before a holiday. With AMD, I can only remain skeptical, because of the more-than-thou market movements we have seen over the last 12 months.
    17 Apr, 05:22 PM Reply Like
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    Have faith, Andreas. If you believe in AMD's turnaround, then you're closer to another April 2013 type event than you were before. One of these days... $5+... and then you lighten up if you want and buy a few cheeseburgers.

     

    -Mike
    17 Apr, 05:46 PM Reply Like
  • User 12115671
    , contributor
    Comments (621) | Send Message
     
    The last three times there was a pump before the dump.....no pump this time....no dump
    17 Apr, 06:36 PM Reply Like
  • Arnold Frisch
    , contributor
    Comments (474) | Send Message
     
    As an uninterested observer, what I see makes me even more uninterested - except that I don't comprehend the reaction, which seems like kudos for a flop!
    17 Apr, 05:16 PM Reply Like
  • ATX
    , contributor
    Comments (71) | Send Message
     
    You notice when AMD go up before earning, they usually crash down, but this time around, AMD already crashed down to 3s from 4s, so when the earnings are good, the market made the right correction, it's going to be in the 4s by monday, since market is closed on friday, the smart shorts are covering right now during after hour, since they will lose more on monday.
    17 Apr, 05:18 PM Reply Like
  • jlark303
    , contributor
    Comments (2) | Send Message
     
    Saw the same thing. Hopefully the good news carries over into next week. I wouldn't be surprised if the bears find some way to skew this the wrong way and push the stock down.
    17 Apr, 10:55 PM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    @ATX short covering will not happen. A 2c beat is not going to make 100m shorts cover. Especially in after hours since the market is so thin. I thought about buying shares but if you buy many shares it will be 5 to 10 cents wide
    18 Apr, 07:05 AM Reply Like
  • solarwave33
    , contributor
    Comments (7) | Send Message
     
    It took a long time for MU to break out. Baby steps are behind AMD now. Looks like a runner from here.
    17 Apr, 05:18 PM Reply Like
  • theboys
    , contributor
    Comments (94) | Send Message
     
    Investors have a short memory. MU suffered a very, very, very long time. I know.
    17 Apr, 10:30 PM Reply Like
  • djkidm
    , contributor
    Comments (380) | Send Message
     
    I agree, think MU and Dram last year at this time. $AMD is there now, finally. Though they are not getting accolades, they are not getting beaten up for producing a great turnaround.

     

    We are only half way through the story :)
    18 Apr, 07:16 AM Reply Like
  • rubco
    , contributor
    Comment (1) | Send Message
     
    I held and I am very happy . Monday will be great
    17 Apr, 05:18 PM Reply Like
  • GameKing13
    , contributor
    Comments (332) | Send Message
     
    Andreas:

     

    It's time you sold your stupid cheeseburgers and stop talking about them
    17 Apr, 05:27 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (8358) | Send Message
     
    If we in Europe are allowed to enjoy the upside when trading commences on Tuesday 08:00, I will indeed get out. This is clearly not a stock to hold longer term.
    17 Apr, 06:06 PM Reply Like
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    Most stocks have a 10-15% trading range that they bounce around in depending on news and sentiment. AMD's range is closer to 35%. Not everyone can take that. If you can't, get out. Lost sleep isn't worth a few pennies or dollars.

     

    That said, you can profit hugely by trading it, profit even more by trading options correctly, or you can just buy in and hold and probably squeak out a 100% annual return. (again - since 2012 was roughly that much)

     

    -Mike
    18 Apr, 11:44 AM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    @Stock Market Mike With AMD I do about 30% per quarter trading in and out.
    18 Apr, 12:17 PM Reply Like
  • johnm3202
    , contributor
    Comments (14) | Send Message
     
    In the past, the shorts bet that AMD would fall - just did not know how far. This time around AMD has positive EPS and the shorts are feeling the pinch that there is not going to be a free fall of the past.

     

    Personally, I do not see with a positive future outlook for AMD that there is a reason for a sell off on Monday? Finally the future is positive - why sell now?

     

    I would expect shareholders to hold on for a further up tick before taking any profits. As a long term investor I am holding for a nice long ride.
    17 Apr, 05:31 PM Reply Like
  • wildpig
    , contributor
    Comments (42) | Send Message
     
    Monday amd will gain. feel free to quote me. what say you ashraf?
    17 Apr, 06:29 PM Reply Like
  • geekinasuit
    , contributor
    Comments (1084) | Send Message
     
    The call conference seemed rather positive to me. We're seeing consistent results and realistic targets being met, plus some growth projections starting this year. All around good news. Rory and co. have proven themselves to be a solid team. Diversifying away from the volatile and uncertain PC market was a good move that’s paying off. I look forward to hearing about more semi-custom wins, lots of potential there, and it's stable revenues when they get them. There's no reason to sell and not much for uncertainty anymore.
    17 Apr, 06:40 PM Reply Like
  • geekinasuit
    , contributor
    Comments (1084) | Send Message
     
    ... oh, and Stacy Rasgon was not in the queue! LOL
    17 Apr, 06:48 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (8358) | Send Message
     
    Rory Read and Devinder Kumar were drawling so soothingly confident that I fell asleep during the call, no screeching Stacy Rasgon throwing sonic frags into my dreams of endless ARM server farms, receding all the way to the horizon's curvature. Must be a good sign.
    17 Apr, 07:13 PM Reply Like
  • Justin Jaynes
    , contributor
    Comments (3148) | Send Message
     
    Rasgon is likely setting fire to Global Foundries. I kid, I kid.
    17 Apr, 07:56 PM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    Um I would not party right now http://bit.ly/1qQXf0w Here is a pic of the action
    17 Apr, 06:57 PM Reply Like
  • Gino Rizzotti
    , contributor
    Comment (1) | Send Message
     
    maybe 4.50 by may
    18 Apr, 04:24 AM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    I think end of 2nd quarter 4.50 is dooable but I think they have to have good earnings. 2c is not going to cut it. I am excited about AMDs future.
    18 Apr, 07:07 AM Reply Like
  • ivousa
    , contributor
    Comments (647) | Send Message
     
    $5 I would say is very close and realistic now....the key on this Q1 ER was more growth forecasted the MAIN reason stock did not sell off and actually went up is this forward outlook-it's always about the future of course and the future looks bright now and investors want that security to feel safe and not sell.This will add up to the price upside for sure.
    18 Apr, 02:30 PM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    @ivousa I now need the market to dip so I can have a better entry point.
    19 Apr, 04:20 AM Reply Like
  • ivousa
    , contributor
    Comments (647) | Send Message
     
    @Fiberton,

     

    market can dip at any time but AMD is flying high today $4.20 high already today.
    21 Apr, 10:13 AM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    @ivousa Watchign Down to 4.12 now and S&P is not doing so good. I will wait.. I think its going to roll over.
    21 Apr, 10:20 AM Reply Like
  • ivousa
    , contributor
    Comments (647) | Send Message
     
    @Fiberton,

     

    yes at this point just wait.....it will settle down eventually but today everybody is shifting shares because of the ER so not a good day to make major decisions.
    21 Apr, 10:28 AM Reply Like
  • Fiberton
    , contributor
    Comments (1761) | Send Message
     
    @Ivousa Yea, I will wait. Just people getting suckered in. S&P is very shaky. Nasdaq has gone negative already. Nasdaq will continue to pull the market down or drive it up.
    21 Apr, 10:34 AM Reply Like
  • Andreas Hopf
    , contributor
    Comments (8358) | Send Message
     
    The € is up 5,73% since one year, one year I started to accumulate AMD. The €/$ FX is part of the problem for us European investors.
    21 Apr, 10:52 AM Reply Like
  • ivousa
    , contributor
    Comments (647) | Send Message
     
    @Andreas,

     

    I don't like the €/$ being at $1.38 also,as I travel to Europe almost every year and it is painful to spend $$$ in EU at this rate. In fact we are going to Europe in August and have to prepare to spend a good chunk of my AMD profit now.
    I'd love it if it can go down to €/$ 1.15 at least too
    21 Apr, 11:42 AM Reply Like
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    Andreas - Are you still holding on?

     

    I'm waiting to see if this or next quarter is another April 2013 type event.

     

    -Mike
    21 Apr, 11:46 AM Reply Like
  • Andreas Hopf
    , contributor
    Comments (8358) | Send Message
     
    I held my shares for a fourth time. When markets open in Europe on Tuesday morning, I will have to see, if AMD can rise to €2,77 (my average). Like several others here, I should have traded AMD over the last 12 months instead of steadily accumulating it. I will probably try to trade it from now on, too.

     

    Not having too much spare time, I tried to get behind the € rise over the last 12 months, but have not found any well explained reasoning why it did.
    21 Apr, 12:29 PM Reply Like
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    With AMD and BBRY, when expectations are down the reaction is more positive. When there's a lot of hype... get out of the way.

     

    So if you're really positive going into an ER, there's probably more danger than if you're bummed and considering selling to protect meagre gains. Hence, do the opposite?

     

    I held on and went in naked (formerly bull call spreads) - glad I did. May re-initiate the spreads at some point, but I'd really like to wait a few days to see if we're going to get an institutional slow-grind like April-May 2013.

     

    AMD is holding up very well this morning. It looks like it might end up being a 100m+ volume day.

     

    -Mike
    21 Apr, 01:30 PM Reply Like
  • Wuttz
    , contributor
    Comments (5) | Send Message
     
    Wow, look at AMD today. Back under $4 just like that.

     

    Guess the report wasn't so good after all, eh?
    28 Apr, 08:41 PM Reply Like
  • Stock Market Mike
    , contributor
    Comments (2122) | Send Message
     
    Earnings took it from ~$3.72 to ~$3.92. Then it rose on strong up days with the general market to $4.34, before coming down on strong down days.

     

    INTC was $27+ before earnings, now $26.50. I'd rather be up 10% than down 2%.

     

    -Mike
    29 Apr, 01:25 PM Reply Like
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