After the last few days, the itinerant shorts will have increased the overall position by 5-10%. I will continue my regular program of selling short, with a slight increase in daily rate due to the sudden windfall pricing.
Free money is free money, after all.
I will never have to cover.
Yes, I can. I've seen AMD investors get overexcited over all sorts of nearly valueless revelations in the past. This one is completely overblown as well.
Intel isn't thinking of buying Radeon GPU technology, it's thinking of licensing minor interoperation and control technology. The rent for this won't pay Lisa Su's salary, much less the interest on the debt AMD owes its bankers and bondholders, and no way does it dent the principal of those loans.
AMD is going over a waterfall and you're giddy that a new bottle of sparkling apple juice has been opened by the steward.
If those are the extent of the IP being discussed in the discussions that Intel and AMD are rumored to be having over payments for IP, then AMD will get paid a couple of a million dollars and I will get paid a lot more.
Keep buying, suckers.
If you mean an announcement of a massive, unguided revenue shortfall, then yes, that's what I'm expecting.
If you mean confirmation of this ludicrous licensing rumor, then no, I'm not expecting that at all. But even if such a thing were to happen, how much do you think it would be worth to AMD?
They would be abandoning their own APU efforts across the board. They can't compete in CPU or discrete GPU at all. So their only choice would be to shut down, cut costs to nearly $0 (just the CEO and a bean counter and a girl to get the mail), and live off the rent Intel is paying for ATI technology. The cash value of ATI is about a billion dollars, if that. Rent on it couldn't be better than a couple hundred million a year.
The stock would drop, it wouldn't rise. Under such a restructuring they'd have to also restructure debt. The creditors would of course insist on cancelling the shareholders' ownership stake. The court could easily agree, given the massive negative equity attributable to those shares. They won't reward people who ruined a going concern.
Oh I never forget it. I just like to ration it so people can enjoy the full flavor without getting jaded.
What makes you think he isn't? What makes you think that I'm not?
"This is like killing chicken to get their eggs."
It's more like renting out your car instead of driving it yourself. You get a little money, but you no longer can get to work.
We'll be finding out soon enough that the whole story is apocryphal. Intel is just fine with the integrated graphics on its chips and interfacing to external graphics cores. APUs haven't done a thing to keep AMD in business.
If Intel is indeed buying Radeon designs, then AMD is positioning itself for a restructuring into a holding company, and the bagholders will be left holding the bag.
The problem is, this Bloomberg report doesn't appear anywhere on the web, except as reports that Bloomberg reported it. The silliest of which is a blog at Seeking Alpha which links to a "report", which consists of nothing but a headline at a no-name website.
Most probable explanation: the market is again being had, a la the rumors of Microsoft talking to Su last year.
Enjoy your gum wrappers, suckers. I'll be enjoying the sound of your cash landing in my vault.
That's a driver and configuration issue. It works fine with DirectX 12, if the software implements it correctly.
AMD will never have a CPU that even approaches Intel CPU performance or performance/price, and anyone can get an nVidia GPU to go with their Intel CPU (in fact, that's exactly what people do, when they really care about performance). AMD's newest, unreleased CPU design is still several design cycles behind Intel's roadmap.
AMD has utterly wasted the 60% of its assets that it put into the ATI acquisition, first by delaying integration of CPU with GPU, and then by integrating third-rate CPU cores with second-rate GPU cores. And then, to top that off, they execute poorly on the chips they do integrate.
This company is beyond pathetic and has earned all the denigration that the market has heaped on it over the past decade.
You are completely wrong. nVidia has world class GPUs that destroy AMD products across the board. Seriously, if you're not cognizant which way is up, stay in your hole.
Irrelevant. AMD could cure cancer and still go bankrupt with this debt structure, declining revenue, and cashflow deficit.
When a company gives guidance in its ER and then doesn't adjust it when material facts indicate it will fail to meet the expectation they set, it's perfectly reasonable to sue them into the ground.
AMD "investors" who don't insist on this company's being 100% transparent, and who don't hold the company to its promises, are just self-destructive losers, or shills for the company trying to camouflage its true intent to drain the company of all assets, owned or borrowed, before leaving the bagholders holding the bag.
In no way does it make sense for AMD to show off a new chip without its new memory technology being a feature.
So either it will never have HBM2, or they are, again, incapable of getting usable parts from their HBM production and integration process.
This is a serious disaster for AMD. It guarantees another year of sputtering in the ditch instead of even running in the race, last place or not.
Warnings have to be imminent. If they don't warn and they post another revenue dump, the lawsuits will have to pile up to the sky.
"Windows PC on your head."
That sounds about as exciting as spreading actual sand on your sandwich.
Whatever news there was, it made the suckers run to sell their impulse buys.