Advanced Micro Devices Inc (AMD)

[sgolds]

Gordon, stock price is forward looking so you should use the projected profit over the next four quarters when calculating P/E. For a quick estimate I'll use the Yahoo! analyst summary here:

http://finance.yahoo.com/q/ae?s=AMD

Earnings are projected as .60 for FY04 and .73 for FY05. At $11.68 per share price, that gives us a P/E of

11.68/.60 = 19.47
11.68/.73 = 16.00

Doesn't seem high to me.