In the last days of November, AMD stock prices dropped below US$10.00, and yesterday the company’s shares closed at US$6.77. This is a dangerously low number, and Wall Street is disappointed with AMD's performance over the last few months. Many major analysts downgraded the company from "neutral" to "sell," and that's probably one of the factors which is causing this huge drop.
The good news is that it cannot get much worse than this, as AMD will do something right in the next month of two. It has worked hard to re-launch its Phenoms at higher speeds and with the spring, it will launch the dual and triple cores in a few months, which probably makes more sense and can get to the hearts of consumers a bit easier.
Wall Street doesn’t like the credit problem that hit America, and even the stock prices of Intel and Nvidia, who are doing exceptionally well, are going down in the last few weeks. Our message to analysts is that all went wrong with AMD in 2007, and 2008 has to look better than the last year; and we are quite sure that AMD can execute it. Otherwise, it's history.
Published in Processors
AMD lost 1/3 of its value
by Fuad Abazovic on04 January 2008
In a month