Friday, July 17th 2015
AMD Now Almost Worth A Quarter of What it Paid for ATI
It's been gloomy at the markets in the wake of the European economic crisis. This along with a revised quarterly outlook released by the company, hit AMD very hard over the past week. The AMD stock opened to a stock price of 1.87 down -0.09 or -4.59% at the time of writing this report, which sets the company's market capitalization at $1.53 billion. This is almost a quarter of what AMD paid to acquire ATI Technology, about a decade ago ($5.60 billion). Earlier this month, AMD took a steep fall of -15.59%, seeing its market cap drop by a quarter.
Intel is now worth $140.8 billion (92 times more), and NVIDIA $10.7 billion (7 times more). Among the issues affecting AMD are decline in PC sales and stiff competition. However, reasonably positive earnings put out by Intel disproves AMD's excuse that the market is to blame for bad performance, and the company could slide even further, hitting its all-time-low at the financial markets. The company will host an earnings call later today.
Source:
Google Finance
Intel is now worth $140.8 billion (92 times more), and NVIDIA $10.7 billion (7 times more). Among the issues affecting AMD are decline in PC sales and stiff competition. However, reasonably positive earnings put out by Intel disproves AMD's excuse that the market is to blame for bad performance, and the company could slide even further, hitting its all-time-low at the financial markets. The company will host an earnings call later today.
136 Comments on AMD Now Almost Worth A Quarter of What it Paid for ATI
It's hard to even imagine how on earth it is in any way negative for AMD.
It brings profit.
It forces game developers to go multi-threaded (AMDs greates weeknes and Intel's greatest advantage is single thread performance)
Intel just can't win... You have a long lived socket and people complain that there are too many options for it. They have their standard fare now lasting ~2 years and its not long enough... I dont get it.
While Intel's overall growth has been pretty much flat, since AMD failed to successfully update their C32/G34 based platforms, Intel's enterprise revenue and profit lines is clear for all to see, while AMD's dithering, slow reactions, and lack of focus have ceded the ARM-based market to companies like Applied Micro and Cavium.
[Source]
Makes me wonder if AMD's enterprise division cringe every time they look back on their bold claims of the past. They'd better pull their finger out if they intend to get that 25% market share - presently they are looking down the barrel at 1.5% of x86, and well under 1% total taking into account RISC and ARM.