Fri, Dec 19, 2014, 10:59 PM EST - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

ATI Technologies, Inc. (ATYT) Message Board

you are viewing a single comment's thread.

view the rest of the posts
  • geekcomputing geekcomputing May 2, 2005 4:29 PM Flag

    crude oil inching up

    i see the logic in your reasoning.. but i would counter that assumption on many points. although im sure its valid... it does work probably. but on the flip side...its might nullify any effects of the higher oil prices.

    the first being..

    most graphics cards are manufactured overseas in the tawain area.. and they have to be shipped over here via air/ship.. what ever.. thus higher oil prices hurt the margins of companies like ati b/c of increased fuel charges.

    2nd.. im sure some manufacturing the silicon and gettting it involves some use of oil.. be it power to operate a machine or a gasket that was made using oil in a machine.. so oil will raise manufacturing costs.

    3rd. higher oil prices = less discressionary income to spend on things that you dont need but rather want.

    you dont need a graphics card.. you want a graphics card.

    but anyway.. just something to consider.

    • You wrote ;
      "you dont need a graphics card.. you want a graphics card."

      I say;

      You don't need just a graphics card. You need mobile phone and laptop. Can we live without mordern gadgets? I don't know about you but I can't live without them.

    • "and they have to be shipped over here via air/ship"

      80% of sales are Asia-Pacific. ATYT bought AMI Tech's assets (sales and distribution parter in the region) to help reduce expenses for selling into the region.

    • What I wrote is what I believe what is going to happen. The negative expectation with high oil price, slow GDP growth, inflation, diminishing consumer spending drove down the stock price to 7 months low. I believe your concern about profit margin cut by fuel expense is factored in current price drop. Market is funny place, They overestimate and underestimate the stock price, And I think market will find out later.

 

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.