At this time I don't have an opinion of AMD. But just a simple question: at the end of June, AMD had $1.83 billion cash obligation for the remainder of 2013, but $0.968 cash and marketable securities on hand. How does it plan to deal with the shortfall? Anyone has an idea?
I probably should talk to its investor relations about this...
Okay, which small companies doesn't these days?
Have you seen debt/cash ratio on companies like Sprint, Tmobile, Rite Aid, Wendy's, Radio Shack, Best Buy, Hewlett Packard, etc? They have as bad or worse debt to cash ratio than we do, and half of those companies mentioned above had a great run this year.
Product Refreshes, Design Wins, monopoly in consoles, More AMd PC's and Laptops out there this year vs last...this is a company that has worked hard to drive business, cut expenses, and is moving into a new light. BK isn't in the cards and it is a pathetic, ill informed, and desperate attempt to scare and push doubt into this great turnaround story! If that is all you have to share with the group, get lost or short the stock and get buried like the other shorts on the board that were shouting BK at $2 and under...alot of folks not hanging out on the board now that were so confident at $2 on the short side. See you at $6 and $8 if you are lucky enough to ditch the thesis and cover. Hope you personally lose your shirt on this one as it appears you are too foolish to try to understand the company. New leadership, amazing talent coming on board, and pulling market share in every aspect of their business last quarter shows the right signs as well.
Well rory sold the office building they had , I am guessing to get credit to order the gaming chips . Not much is going on at amd and the fantards are excited over the gaming chips and all the money amd will make on them. Where is the road of products for amd's future .. yeah they all put out new names etc. but nothing much ever happens , Yo Fusion !! Their core business is computer chips and they are hopelessly outclassed and computer sales are falling anyways. My guess is BK , its not like amd has a miracle product !
" its smart to be short "
Obviously if no financing or changes to the cash obligation is made between now and the year end, AMD will bankrupt. Console wins are encouraging but if you are CEO or CFO of AMD, the top priority is keeping the company afloat financially.
I just don't see how it can make it. This may be the reason Goldman Sachs thinks there is 40% downside from the current level.