Advanced Micro Devices Inc (AMD)

[UpNDown]

Quick summary from my viewpoint

Well, September 23rd has come and (nearly) gone. Here's the way I see it:

The Athlon-64, FX and Mobile launches seem to have gone extremely well. The performance is remarkable and should be able to scale up to higher frequencies, with higher percentage frequency gains than Intel will muster with Prescott. The utility of a processor/system that supports 64-bit operations will not be lost on anybody that thinks they need more computing power or dreams of future capabilities. Hell, I'd get one just to have Acrobat Reader more responsive!

The stock price, as expected, surged on rumours and dipped on news. Ruiz has quelled expectations for a huge positive advance in financials, but the background seems to point to some advance. AMD stock price often displays a muted response to really good news. The large funds that make most of the market action in AMD take a while to digest the results.

AMD will have their hands full just to fill demand of Opteron and Athlon-64. Microsoft will be ready when needed. Enough launch partners are about; AMD can't service what they have, let alone a lot more. Yet Sun seems to be getting ready to offer Opterons. And the IBM advertising blitz is not far from here.

With AMD I see points like this as upcoming buying opportunities. This opportunity will be short, with a dip (on no new news expected) probably into the mid-11's to high 10's within the next two weeks. Once October arrives in earnest, though, there will be software announcements for Christmas sales and visibility due to IBM's e325 push. So the stock should resume its advance in full form by mid-October.

Anyone care to critique? I'm not a paying member, so I can't link back to my previous synopsis message, perhaps someone can do a search on it. I'm sure wbmw still has the infamous $6.20 buy recommendation bookmarked :).