the shoe is issued at the same time the main issue is. it's sold short by the underwriters as part of the allocation to brokerages. in other words, 16.1 million shares appeared on tuesday last week, not 14 million. the underwriters shorted the 2.1 million themselves. the intent is that they'll buy that much back if the price threatens to drop through the offering price, to prevent panic.
but because the price tanked well below the offering price the instant the market opened, it's unknowable what the underwriters did. did they buy it all at once? did they wait and hope the market would recover? have they covered any at all?
the only thing they haven't done is transport the money to the company. which may be what the IR person meant. if there are any shares the underwriters haven't covered in the market, they'll cover them by buying from the company on the option.
which means there may be 2.1 million shares already taken out of the market, or still floating around, or some portion of them may still be out...nice conditions for guessing the company's value...
Big investors are dumping so they can be far away from this stock when the ER hits.
Anyone with shares to sell can do so safely, even after hours, because AMD is not a good investment.
The shareholders of this company are owed NOTHING.
For 40 years you have sat by while your board of directors and a parade of malfeasant CEOs have taken your money and given you nothing.
This is entirely your fault for believing in obvious lies instead of simple facts.
You will lose everything, and nobody will be required to give you anything in return, not even the time of day.
You are wrong. I would love for nicoboy.boot to follow pluscard into bankruptcy.
Shorts don't need to cover.
Longs need to cut their losses.
Finally found someone who can add.
I have a thousand shares of Brooklyn Bridge, Llc. that I'd like to sell you.
Slight draft from rebound of other semi companies that tanked on Friday.
AMD is not other companies. It will resume crashing through its earnings miss.
Qualcomm is more likely to buy Samsung than either is to buy AMD before it's been through a Chapter 11 court to get rid of the debt.
Don't buy it after earnings. Earnings won't stop the bleeding.
Wait for either a major restructuring involving discharge of over half the staff and closing of all poorly performing product divisions, or buy it post-bankruptcy.
Whoever buys AMD will have to write off 60-70% of the enterprise value before having any ability to compete.
And will end up with no significant advantage in any significant market.
Even the monopoly in gaming console chips is as fallible as the next new gaming console. Samsung would probably rather produce the next new console than buy AMD.
OEMs don't give a damn who they buy chips from. They can sell Intel platforms at higher profits than AMD platforms even if AMD CPUs are cheaper. That's why Intel still dominates at all levels of computing.
Grow up and get a clue. You have led far too many people to ruination.
Any other semi ticker, I'd say you were making a cagy bet.
This one, all you're doing is giving the earthen dam another 65.5 hours to erode as water visibly gurgles from its base...
AMD is down 48% since the day before the last ER.
nicoboy.boot has no sense of reality at all.
can't imagine how much of his cash is in my pocket.
i will never have to cover.
Are you sure about that? December AMD options don't appear to have been released yet.
Intel gets x86-64 IP for free if AMD goes away. Nobody else can make a dime with it, since AMD can't make any money at it.
AMD has been saved by deus ex machina infusions of $billions in cash several times. Each time the much smarter path for anyone helping it would have been to let it hit bankruptcy, dump debt, then pick it up for spare change. Instead they got talked into playing angel, and ended up with mangled wings. In the end, AMD has no assets to speak of, dim product futures, and it's never made a serious run at stopping its cash bleed. The world is out of fools. Well, the world outside this message board...
1. Qualcomm would want nothing to do with AMD and Intel; it's not the kind of diversified company Samsung is.
2. The government let AMD's fabs and a third of AMD get bought by Arabs who were clearly trading with Iran. I can't imagine at this point that anyone other than Iran or North Korea or ISIS would be rejected.
I don't think Samsung is really interested, anyway. Not unless they're sold pieces and kept away from the overall firm's issues.