Replies to post #40599 on Advanced Micro Devices Inc (AMD)

[upc]

You may wish to consider P/S and PEG, as well as FY04 and FY05 P/E, although a brief scan of your posting history suggests you may not be interested.

upc

[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.

[Tiger64]

nothing...but if AMD starts posting $100 million per quarter then the stock will go up $4-5 dollars...if they continue posting $35 million net earnings the stock will go to $9-10 a share...the only way this stock is going to $5 a share is A) Massive terrorist attacks B)AMD starts losing money due to Intel basically giving flash at cost or below...