172.26 -0.43 (-0.25%)
After hours: 7:59PM EDT
|Bid||172.34 x 1400|
|Ask||172.35 x 1000|
|Day's Range||172.28 - 177.85|
|52 Week Range||124.46 - 292.76|
|Beta (3Y Monthly)||2.44|
|PE Ratio (TTM)||38.94|
|Earnings Date||Nov 13, 2019 - Nov 18, 2019|
|Forward Dividend & Yield||0.64 (0.35%)|
|1y Target Est||186.31|
Glassdoor is out with its rankings of the highest paying jobs and companies in the United States. Yahoo Finance's Zack Guzman, Sibile Marcellus, and Reggie Wade are joined by Courtney Dominguez, Payne Capital Management Financial Advisor, to discuss.
When Advanced Micro Devices (AMD) released its 7nm processing chips, the semiconductor world knew the new development would shake the industry. While AMD, for some time now, has increasingly taken market share away from rival Intel (INTC) and has posed a larger threat to Nvidia (NVDA), the release of the new chip has made AMD an even more formidable competitor. Indeed, in a research note issued yesterday, Susquehanna analyst Christopher Rolland remarked that AMD continues to grab market share in the industry. Yet, the analyst remains sidelined on the stock, maintaining a Neutral rating and $34 price target, which implies about 14% upside from current levels. (To watch Rolland's track record, click here)Rolland says “AMD has surpassed 20% CPU share in desktops,” following the release of its 7nm Ryzen CPU. The new chips compete better against Intel’s, and the smaller size (7nm vs 10nm) makes them more energy efficient, while also priced more competitively.AMD is also increasingly threatening Nvidia’s place in the graphics market. While Rolland says AMD’s 7nm Navi GPUs contributed to “modest” share gains, the analyst notes “AMD continues to ramp up their consumer GPU efforts,” which will continue to play a role in competing with Nvidia. However, the big question for Rolland right now is whether AMD has visibility into "massive 4Q sequential growth, or are they setting themselves up for another downward revision?" While the market share story is still progressing, the analyst believes the latter scenario is more likely. Given his skepticism, the analyst remains neutral on the stock.The majority of the Street sides with Rolland's cautious take on the chip giant. Out of 22 analysts polled by TipRanks in the last 3 months, 8 are bullish on AMD stock, 13 remain sidelined, while only one is bearish on the stock. With a return potential of nearly 11%, the stock's consensus target price stands at $33.17. This suggests that, for now, the bulls still win on AMD. (See AMD's price targets and analyst ratings on TipRanks)
The combination of Marvell's (MRVL) gigabit PHY and secure switch products, and Aquantia's Multi-gig automotive PHYs is expected to create an advanced range of high-speed in-car networking solutions.
If you bought Advanced Micro Devices (NASDAQ:AMD) stock at the end of last year, you're probably still pretty happy with its performance. Year-to-date the gain in the AMD stock price has been nearly 65%. Since the end of July, it has been a different story, though.Source: JHVEPhoto / Shutterstock.com After recovering from a post-earnings bath, AMD stock is down 11.5% since its July high of $34.39, after shedding another 1.84% on Wednesday for a $30.42 close. In fact, since the end of July, the stock is being significantly outperformed by both of its key rivals: Intel (NASDAQ:INTC) and Nvidia (NASDAQ:NVDA).If you bought Advanced Micro Devices stock when it crashed last fall after the bottom fell out of the cryptocurrency mining market, that's one thing. Good call. But what about now? Does this slide mean it's time to make a long-term investment in AMD?InvestorPlace - Stock Market News, Stock Advice & Trading Tips Advanced Micro Devices Has Been a Company On the RiseThe story of Advanced Micro Devices over the past several years has been one of a company on the rise with a canny CEO, a focus on leapfrogging the competition and some stellar product releases have paid off in a big way. AMD is once again a serious contender against market leaders Nvidia in the graphics card industry, and Intel in PC processors. * 8 Dividend Stocks to Buy for a Recession After falling below 20% of the market for computer processors in 2016, AMD's Ryzen CPUs have helped the company to steadily claw its way up to 30%. A similar pattern has been showing in the market for computer video cards. AMD had dropped to 20% of global sales by 2015, but advanced new Radeon releases have pushed it to 32% of the market against Nvidia's 68%. Advanced Micro Devices has also scored the contracts to supply custom GPUs for the forthcoming PlayStation 5 and Xbox Scarlett game consoles.The out-of-this-world demand for video cards by cryptocurrency miners was a bonus that lit a fire under AMD stock. When the inevitable crash came last fall -- bringing a glut of unsold video cards -- it hurt, but it hit Nvidia just as badly. By this summer, the crypto hangover had been left behind with an AMD stock price that crept past its crypto-era peak. NVDA and INTC Are Currently Outperforming AMD StockThings got a little hairy for AMD stock at the end of July. The company reported Q2 earnings after the bell on July 30. Despite hitting earnings targets and beating analyst expectations for revenue, the fact that revenue declined 13% compared to last year caused some consternation. AMD also revised its full-year 2019 guidance, reducing its revenue gain to a mid-single-digit increase over 2018, after previously setting it at a high single-digit increase.The market did not react well to this news, and Advanced Micro Devices stock was walloped, closing down 10% the next day. Within a week, it had dropped below $28. That was followed by a wild ride in August, when AMD clawed its way back to pre-earnings levels, then went on a roller coaster ride while continually losing ground.At this point, AMD stock is once again down 10% from July 30 -- the day it reported Q2 earnings. During the same period, NVDA is up 2.6%, while INTC has held steady. All three stock have been affected by outside forces (most notably the ripple effects of the U.S. trade war with China), but Advanced Micro Devices stock is definitely underperforming compared to the competition. * 10 Excellent Stocks to Watch for 2020 and Beyond Is the Current AMD Stock Price Attractive Enough to Buy?The question potential investors are asking is whether the drop in AMD stock makes now a good time to get in on the action. Analysts have mixed feelings on that front. The trade war could have further impact on sales of computer components and if it worsens, it could trigger a recession -- further cutting consumer discretionary spending on items like new PCs, component upgrades and game consoles. On the other hand, next year should see a recovery in custom GPU sales as PlayStation 5 and Xbox Scarlett production ramp up.Over the past three months, the number of "buy" recommendations has slipped, while "hold" has become the dominant recommendation. With an average 12-month price target of $32.63, that makes sense. Even after the slide since the end of July, at current prices AMD stock has little upside, just 7% or so. If you're hoping to pick up Advanced Micro Devices on the cheap, it probably makes sense to hold on in the hope that AMD slips further.As of this writing, Brad Moon did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Dividend Stocks to Buy for a Recession * 10 Companies Making Their CEOs Rich * The 7 Best S&P 500 Stocks of 2019 So Far The post The Best Way to Approach Advanced Micro Devices Stock As It Drifts Lower appeared first on InvestorPlace.
Bay Area activist Shannon Coulter announced the campaign, Force the Issue, on Tuesday in order to pressure 900 large, publicly traded companies to stop requiring their employees to sign off on arbitration clauses agreeing not to sue.
The rivalry between NVIDIA Corporation (NASDAQ: NVDA ) and Advanced Micro Devices, Inc. (NASDAQ: AMD ) is heating up. Nvidia, which together with AMD dominates the market for graphics chips, is prepping ...
The last 18 months have been hard on the semiconductor industry. Investors sold off chip stocks through the second half of 2018, but a year later the sector is looking better. The turndown was prompted by the US-China trade tensions. That 'trade war' is still simmering, but the two governments are continuing to talk. Investors are less nervous, now that the pattern of tariff-reprisal-delay-negotiate is understood and baked into the affected industries.The current optimism on semiconductor stocks is fueled by the approaching transition to 5G wireless networks. While chip demand is generally low right now, telecom providers are getting ready to switch from 4G to 5G – and that switch will require new chips. Control systems, modems, smartphone devices – companies and customers will see new 5G-compatible models in the next 12 months, and every device will need 5G compatible chips. The chip makers are looking at a resurgence of business next year, and that outlook is starting to lift the chip stocks. Logan Purst, industry analyst from Edward Jones, gave a succinct description of the recent gains in chips: “What’s being priced into these stocks is a rebound next year.”Here we’ve searched for large cap tech stocks and found three upwardly mobile chip stocks in the results. These are companies that have shown solid gains so far this year, as they recover from last year’s malaise. While all will gain from the 5G switchover, their individual paths to success are unique. Micron Technology, Inc.The smallest of the chip makers we’re looking at here, Micron (MU – Get Report) posted $31.8 billion in total sales for 2018, the fifth highest total among the world’s largest semiconductor companies. MU shares are up 59% year-to-date. Much of their momentum has been recent, as the three-month gain is 48%. Indeed we can see that best-performing investors have Very Positive sentiment on MU right now according to TipRanks Smart Portfolio. And analysts expect the recent momentum to help the company’s bottom line in next week’s fiscal Q4 earnings report. EPS is forecast at 43 cents.Longbow analyst Nikolay Todorov sees memory as the catalyst for MU’s future success. He writes, “We are turning more positive on memory fundamentals as we now believe excess inventory will be depleted faster than expected, triggering an improvement in pricing and margin ahead of current expectations.” Todorov’s $66 target suggests a strong upside of 30%.Mark Delaney, from Goldman Sachs, agrees that Micron will benefit from increased memory chip demand during the 5G transition, and that the upcoming earnings report will be the first sign. Anticipating a healthy quarter, he has raised his price target by 5%, to $59, and says that he expects “EPS to be above the mid-point of guidance, as increased bit volumes should help results in the August quarter.” His new price target suggests room for a 17% upside.Overall, MU stock has 15 buy ratings, 6 holds, and 2 sells assigned in the past three months. This gives the stock a consensus rating of Moderate Buy. MU sells for $50.48, and its recent gains have pushed it right up to the average price target of $51.14. Nvidia CorporationNvidia (NVDA – Get Report) is well known to gamers, as the company specialized in the GPUs necessary for a quality gaming experience. The stock, however, took a heavy beating at the end of 2018, reflected in steep quarterly declines reported in February of this year. NVDA shares are turning around, however, and in August reported the third quarter in a row of increasing EPS. Earnings, at 91 cents, beat the 87-cent forecast by 4.4%. Forecasts the November 2019 report show an expected $1.24 per share in earnings. The last time Nvidia reported over $1 in EPS was in November of last year.Share price movement is reflected the recovery in earnings. NVDA is up 34% year-to-date, and as with Micron, the recent momentum is strong. The three-month gain is 17.6%.Writing at the end of August, Benchmark’s 5-star analyst Ruben Roy initiated his coverage of NVDA with a buy rating and a $210 price target. He wrote, “Nvidia is positioned for faster growth relative to semiconductor peers given the increasing use of GPUs across a diverse set of markets.” Roy’s target implies an upside of 16% for NVDA shares.UBS analyst Timothy Arcuri weighed in on Nvidia more recently, also with a buy rating. He sees the company showing steady profitability going forward, saying, “On gaming, we see ~$1.25-1.3B core gaming (ex-Switch) as very do-able for FQ3:20 (Oct) and seasonality should add a big FQ4 tailwind. Additionally, the ~$1.4B/Q normalized revenue is backward looking, and a forward-looking number should likely be as high as ~$1.7-1.8B/Q given annual unit growth.” Arcuri’s price target indicates room for an 8.3% upside to Nvidia’s stock.Nvidia’s analyst consensus is a Moderate Buy, derived from20 buys, 5 holds, and 2 sells set by top analysts in the last three months. The stock’s $187 average price target suggests an upside potential of 4.4% from the current share price of $179. As with Micron, the company’s recent share price gains have pushed the stock up to the price target faster than the analysts could react. Qualcomm, Inc.Holding the seventh spot for revenues among the chip giants, Qualcomm (QCOM – Get Report) posted $16.5 billion in total sales for 2018. The company has shown robust growth year-to-date, with gains of 38%, with a three-month gain of 10.7%. In addition to strong recent momentum, Qualcomm has continued to payout a generous dividend of $2.48 annually. The yield, at 3.14% is more than 50% higher than the average dividend yield in the S&P 500. Qualcomm has had a share of legal ups and downs in recent months. Earlier this year, the company reached a settlement with Apple (AAPL – Get Report) over a patent dispute. As part of the agreement, Apple agreed to pay out a cash settlement of $4.5 billion. In addition, Apple agreed to pay royalties on future use of Qualcomm’s chips. In the FTC v. Qualcomm case, however, the company was handed some bad news – Judge Koh ruled that Qualcomm was violating antitrust laws with its requirement that customer’s sign licensing agreements to use the company’s products. That ruling was stayed by the appellate court in August, giving Qualcomm a reprieve and a chance to prepare new legal arguments.Writing form Canaccord Genuity, 5-star analyst Michael Walkley sees the recent stay as reason for a bullish stance on QCOM. He writes, “The 9th Circuit Court granted a partial stay from Judge Koh’s FTC ruling by placing on hold the provisions requiring Qualcomm to grant patent licenses to rival chip suppliers and end its practice of requiring its chip customers to sign a patent license before purchasing chips.“This stay, along with the recent successful licensing renegotiation with LG Electronics, as evidence Qualcomm’s current licensing business practices could have limited long-term impact from the Judge Koh ruling.”Walkley sets a price target of $87 on QCOM, suggesting a 10% upside to the stock.Like its peers, Qualcomm currently holds a Moderate Buy from the analyst consensus. This is derived from the 6 buys, 9 holds, and 1 sell given the stock in the past 90 days. QCOM shares sell for $78, and, also like its peers, the stock’s recent gains have pushed its share price right to the average price target.Visit TipRanks Analysts’ Top Stocks page, and find out which stock the Street’s top analysts are talking about now.
Should investors consider buying Micron (MU) stock with the chipmaker set to report its quarterly financial results on Thursday, September 26?
Nvidia (NASDAQ:NVDA) stock has seen a nice bump since August. Shares have popped from a low of $148.77 on Aug. 15 to $180.24 at the close Sept. 17. With positive developments in the U.S.-China trade war and improving fundamentals for the GPU space, Nvidia's fortunes may be turning around.Source: michelmond / Shutterstock.com But is there enough left in the tank to send NVDA stock higher? Based on valuation, it seems most catalysts are priced in the stock. Nevertheless, NVDA sells at a discount to GPU rival Advanced Micro Devices (NASDAQ:AMD).So what's the verdict? Let's take a closer look at Nvidia stock, and see why now may not be the time to buy.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Key Developments Driving the Nvidia Stock PriceWeak GPU demand and the U.S.-China trade war. These two factors hammered Nvidia stock. But a turnaround in chip sales and optimism over a trade deal have mitigated these concerns. Improved investor sentiment is driving NVDA stock higher. The question is: Will it last?With regards to GPU demand, Nvidia's sales results for the past quarter show promise. For the quarter ending July 30, revenue rose from $2.2 billion to $2.6 billion quarter-over-quarter. Gaming sales rose 24% from the prior quarter, from $1.1 billion to $1.3 billion. But sales remain down year-over-year. Overall sales were $3.1 billion in the prior year's quarter, including gaming sales of $1.8 billion. Nvidia has a long ways to go before reaching the high water mark set in the prior year. * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars How about the U.S.-China trade war? Investors are optimistic, but corporate America remains bearish. The unpredictability of the trade war could continue to impact Nvidia's business. It could also impact an upcoming acquisition. As InvestorPlace's Tom Taulli wrote on Sept. 12, China could block Nvidia's proposed acquisition of Mellanox (NASDAQ:MLNX). The Mellanox deal is seen as a positive catalyst for NVDA. The deal would bolster Nvidia's data center business, and help it diversify away from GPUs.But what about artificial intelligence? The rise of AI could be Nvidia's saving grace. On Sept. 13, InvestorPlace's Jamie Johnson pointed out how Nvidia's automotive AI business saw sales grow 30% in the past quarter. AI has yet to reach critical mass, but in the next decade could emerge as a major industry. This would give Nvidia stock a clear pathway to growth.However, as seen below, this growth potential is clearly reflected in the valuation of NVDA stock. Does this mean shares are overvalued? Let's see how Nvidia's valuation compares to peers. NVDA Stock Remains OvervaluedDespite declining sales since 2018, Nvidia stock remains richly priced. The company's forward price-to-earnings ratio is 25.5. Nvidia's enterprise value/EBITDA is 40. But shares continue to trade at a discount to rival AMD. AMD stock trades at 28.3 times forward earnings, and has an EV/EBITDA ratio of 67.Does this mean Nvidia stock is undervalued? Possibly, but it could indicate AMD remains overvalued. Both stocks trade at premiums to broad-line chip makers like Intel (NASDAQ:INTC) and Broadcom (NASDAQ:AVGO). Intel's forward P/E is 11.6, and its EV/EBITDA ratio is 7.6. Broadcom trades at a forward P/E of 12.4, and a EV/EBITDA ratio of 14.3.As I have stated before, I do not understand the high premium assigned to GPU makers relative to broad-line chip makers. As seen from the global GPU glut, substantial sales growth is uncertain. Long term, I can easily see both NVDA and AMD trade at valuations similar to INTC and AVGO. Maybe not as cheap as Intel stock, but certainly at similar EV/EBITDA ratios as Broadcom. It's Tough To Predict Nvidia Stock's FutureAll bets are off with Nvidia stock. While the company has seen improvements in its overall business, sales remain down from the prior year. There's light at the end of the tunnel for the trade war, but uncertainty remains. Nvidia next announces results in November. The analyst community sees quarterly sales at around $2.9 billion. China could give their blessing to the Mellanox deal. If so, the deal could close at the end of 2019.So what's the play with Nvidia stock? I have been on the sidelines since July, and shares have traded sideways since. If the company can reach the high water mark set last year, shares should see material improvement. But until then, sideways trading between $150-$200 per share is likely. Continue to stay on the sidelines with Nvidia stock.As of this writing, Thomas Niel did not hold a position in any of the aforementioned securities More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars * 5 Stocks to Buy With Great Charts * 5 Goldman Sachs Stocks to Buy with Over 20% Upside Potential The post All Bets Are Off With the Nvidia Stock Rally appeared first on InvestorPlace.
The salary totals are yet another example of the bruising battle Bay Area employers face for talented workers, especially in the tech industry.
Advanced Micro Devices (NASDAQ:AMD) stock is up over 66% in 2019. This is higher than rivals Nvidia (NASDAQ:NVDA) at 36.6% and Intel (NASDAQ:INTC) at 14.1%. AMD stock is also outpacing at least one popular sector exchange-traded fund, the VanEck Vectors Semiconductor ETF (NYSEARCA:SMH) is up about 40%. AMD stock is also besting the S&P 500 index, which is up 20% in 2019.Source: Grzegorz Czapski / Shutterstock.com However, the semiconductor business is notoriously cyclical. Plus, AMD stock has been trading in a tight range for the entire summer. As fall approaches, the smart play may be to place strategic option contracts that will help you take advantage of short-term price movements. Softer Revenue Growth Is Not UnexpectedPrior to the second quarter of 2019, AMD posted soft revenue growth (on a sequential basis) for the prior three quarters. However, on a year-over-year basis, the Q2 results still showed a double-digit revenue decline. Furthermore, analysts suspect that the company will likely face declining revenue due to softness in gaming consoles that could affect its revenue for the rest of 2019.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFor its part, AMD has cut its revenue guidance into the mid-single digits for YOY growth rate. AMD is scheduled to report Q3 earnings on October 29. Analysts are projecting an 8.9% increase in revenue to $1.8 billion. * 7 Momentum Stocks to Buy On the Dip This is not completely unexpected. AMD has not had new products to get investors excited. But that story looks to be changing. New Product Launches Sound LikelyOne of the factors depressing AMD stock has been a product line that is growing long in the tooth. AMD's 400 Series Polaris line of graphics processing units (GPUs) hit the market in 2016. A refreshed 500 Series was introduced in 2017.However, in 2019, rival Nvidia released a competing GPU, the GTX1660 that is helping NVDA rapidly gain market share in the gaming space. A refreshed line of Navi GPU cards, priced competitively at under $250, should help AMD recapture some of this lost share.In the CPU market, the tech publication Techquila reported that AMD has plans to release new 7-nanometer products in the second half of 2019. The first product to launch will be its Ryzen 9 3950X desktop CPU (scheduled for September 30).Then in early October, it plans to launch its third-generation Threadripper CPU line-up (extending to as many as 64 cores). These come on the heels of the Rome EPYS server CPUs in August. These new processors are generating high demand from enterprise and cloud customers (and are potentially stealing market share from Intel). There is Real Growth for AMD Stock Coming in 2020Microsoft (NASDAQ:MSFT) and Sony (NYSE:SNE) are expected to launch their next generation of gaming consoles in late 2020. Pent-up demand from gamers should give the consoles a lift.This sets up well for AMD stock. Wall Street analysts are extremely optimistic about the company's 2020 revenue growth. They expect its revenue to grow more than 24% next year. What's next for AMD stock?Advanced Micro Devices stock is just coming down from its 52-week high of $35.55. And the company's forward price-earnings ratio of just under 29 makes the stock expensive. However, AMD is projecting earnings increases of 37% for 2019 and 68.3% in fiscal 2020 which could account for the elevated ratio.The question for investors is whether the new product launches and higher revenue growth can generate enough momentum to push the AMD stock price higher. Right now, many investors seem to be in "wait and see" mode. That makes some sense. Why buy the stock now if the real growth won't occur until 2020?However, between now and then, there could be a lot of macro-economic catalysts that may give the stock a boost. The Federal Reserve is cutting interest rates. And there may be a breakthrough, or at a least a continued pause in the ongoing trade war with China. And for its part, AMD must post numbers that show the high demand for their servers is not an anomaly.This is where trading options on AMD stock can be an effective trading strategy. Sell puts at a price slightly below the current price and place call slightly above the current price. The puts pay you for buying the stock. In the case of the calls, you can get a weekly or monthly premium.As of this writing, Chris Markoch did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post It May be Time to Call an Option on AMD Stock appeared first on InvestorPlace.
There is an old and very important saying for ETF investors: know what you're buying. With crude oil (WTI and Brent) up about 13% on Monday, one might expect huge gains in oil stocks. The largest Energy ETF (XLE) was up only 3.4%. On the other hand, oil-sensitive ETF's like XOP and OIH were up 9% and 11%, respectively. Why?
AMD (NASDAQ:AMD) received an upgrade from Moody's right before the weekend. This should help reduce the company's debt costs. Later on, it could even help bolster AMD stock.Source: Shutterstock However, while AMD looks like a solid buy on the surface, issues have appeared that should create some doubts. Unless and until these issues resolve themselves, investors should hold out for a discount before buying. The Moody's Upgrade HelpsMoody's took AMD's debt rating to Ba2, up from the previous Ba3. In raising the rating for the AMD corporate family, Moody's cited the company's "design wins" and gains in market share as reasons for the improved performance outlook. AMD stock rose by almost 1.6% to $30.48 per share following the news.InvestorPlace - Stock Market News, Stock Advice & Trading TipsI cannot argue with Moody's rationale on the improved debt rating. Long known as the lower-cost, less-regarded semi manufacturer, analysts should now regard AMD as a full-fledged player in the semi industry. However, the question on the minds of traders is whether that will improve the performance of the stock. * 7 Tech Stocks You Should Avoid Now On the surface, I see few reasons not to buy AMD. The forward price-to-earnings (PE) ratio of just under 29 is not cheap. However, projected earnings increases of 37% this year and 68.3% in fiscal 2020 make the slightly elevated PE ratio worthwhile. Heed AMD's rangeHowever, markets often run up against stubborn price limits, and this has happened to Advanced Micro Devices stock. As I have stated in previous articles, the $34 price ceiling continues to plague AMD. This limit has left it range-bound and the current price of just over $30 per share places the equity in the middle of the range first established in May.Will this range break eventually? In all likelihood, yes. Lisa Su continues to do an outstanding job in taking market leads over Intel (NASDAQ:INTC) and keeping it competitive on the graphics side against Nvidia (NASDAQ:NVDA). That will bolster profit growth and eventually push AMD stock through the price ceiling. AMD Stock Is More Than Just RangeboundHowever, the baffling aspects of AMD stock go well beyond a stubborn price ceiling. Our own Will Ashworth found another issue, namely the lack of insider buying.Over the last year, not a single insider has purchased any Advanced Micro Devices stock. Moreover, insiders sold over 39 million AMD shares during the previous 12 months. That comes in far ahead of the roughly 2.27 million shares sold by Intel insiders and the 491,317 shares of Nvidia sold.InvestorPlace feature writer James Brumley believes that AMD will more than likely move with the market. Much like AMD, the overall market seems to trade in a range as well. The S&P 500 continues to flirt with record highs despite a trade war and a lengthy economic expansion.Brumley also made a point in a previous article about the 7nm Rome processor not living up to the performance expectation. Like Boeing (NYSE:BA) and the 737 MAX, AMD may have caused performance issues by rushing its 7nm processor to market.Many reports have surfaced about Rome not performing as advertised. While I do not think this stops the AMD recovery story, it may make some investors wary of AMD for now. The Bottom Line on AMD StockAMD is not as great a buy as it may appear. When comparing both the Moody's upgrade and the forward PE ratio to the expected profit growth rate, Advanced Micro Devices stock looks like a definite buy on the surface.However, it seems concerning that insiders have not bought into the story. Moreover, doubts about the performance of 7nm Rome could place further pressure on the stock. As a result, traders have seen the same thing happen over the last year--AMD stock reaches the $34 per share range and then sells off.Furthermore, it has remained below the 50-day moving average since August 13th. Unless it breaks out of the current range, investors should only consider buying near the $26 per share level.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Insiders Are Laying off AMD Stock and So Should You appeared first on InvestorPlace.
NVIDIA stock has fallen more than 1% as of 10:21 AM ET. The stock fell after DZ Bank analyst Ingo Wermann downgraded it to a “sell” from a “hold” rating.
America's nearly two-year-old trade war with China, as well as salvos with Europe and Mexico, has battered a wide swath of stocks. President Donald Trump's tariffs (and retaliatory duties) have weighed on companies in various forms, such as higher input costs and unsold inventory.The pinch is being felt on a wide scale. Global growth was already slowing, though market analysts and foreign leaders alike think the trade war is making things worse. Here at home, manufacturing is thinning, reflecting waning demand. ISM's purchasing managers' index reading for August was just 49.1. Anything under 50 signals a contraction in activity, meaning August was the first month in three years that American manufacturing receded.The result has been a pullback in numerous stocks. Buying these tariff-assisted dips is risky because some of the companies face headwinds outside of trade uncertainty. But a resolution between the U.S. and China would bring much-needed relief to many companies, and perhaps a bounceback in their shares. You can see the potential every time the market rallies on the smallest of optimistic hints."(These) value stocks will deliver attractive returns after the tariff resolution, like a coiled spring that pops up," says Michael Underhill, chief investment officer of Capital Innovations in Pewaukee, Wisconsin. He thinks the market could continue to move higher heading into October's negotiations. If more concrete progress is made, a sustained rally will continue, he says.Here, then, are 14 stocks that have already felt the burn from President Donald Trump's tariffs (and retaliatory taxes). Some represent potential should Washington reel in its tariff threats, but they may continue to suffer any time trade tensions reignite. And a few are trying to pivot their businesses out of harm's way. SEE ALSO: 25 Dividend Stocks That Analysts Love the Most
Moody's Investors Service ("Moody's") upgraded Advanced Micro Devices, Inc.'s ("AMD") corporate family rating to Ba2 from Ba3 and senior unsecured rating to Ba3 from B1. The speculative grade liquidity rating of SGL-1 remains unchanged.
The trade war between the U.S. and China has been hard on many U.S. companies but it has been especially difficult for the semiconductor industry. Chipmakers like Nvidia (NASDAQ:NVDA) rely heavily on the Chinese market so the trade war created additional uncertainty for these companies -- and Nvidia stock. Source: Pe3k / Shutterstock.com In short, Nvidia stock has been all over the place over the past year. 2018 was a breakout year for the company and a year ago, NVDA was nearing $300 per share. The stock is down 32% since then and it started 2019 at a new 52-week low of $124.46. However, the overall sentiment from analysts seems to be mostly positive when it comes to Nvidia. According to TipRanks, Nvidia stock is considered a moderate buy. 20 analysts gave the company a buy rating and the average price target is $189.27.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Discount Retail Stocks to Buy for a Recession The trade war will continue to cause headwinds for NVDA and no one knows when that situation will improve. But if you take a long-term perspective when it comes to NVDA stock, there are signs that the chipmaker can turn things around. Nvidia Stock is Recovering From Crypto-Mining CrashNvidia's rocky year can't entirely be blamed on trade war problems. The chipmaker has been recovering from the 2018 crypto-mining crash that left it with an excess of inventory and declining sales. Of all the companies affected, the crash hit Nvidia the hardest, in part because it focuses solely on graphics processing units (GPUs). The company's GPUs are used for competitive gaming, data centers, and the automotive industry. Its competitor, Advanced Micro Devices (NASDAQ:AMD) also sells CPUs so the crash didn't affect it in the same way.The most recent earnings report showed that the company's fundamentals are starting to improve. Nvidia experienced growth across all of its segments. And while revenue still isn't back to where it was a year ago, this signals that the company is beginning to turn things around. NVDA's Automotive Business Shows PromiseFor investors, one of the bright spots of Nvidia's most recent earnings report is its growing automotive segment. Its revenue grew by over 30% during the most recent quarter. This segment is still just a small percentage of the company's total business but there is significant potential there.Self-driving vehicles are inevitable and Nvidia's GPU chips can power these systems. Of course, there's still a lot of work to do before self-driving cars are ready for the road. But companies are investing a lot of money in this industry so it provides an incredible long-term opportunity for Nvidia. Nvidia's Gaming Strength is ReturningNvidia's real strength is in its gaming segment and it's where the company makes most of its revenue. Last year, the company released an updated version of its graphics cards which used a technology known as ray tracing. This technology improves the images in online gaming.Nvidia's gaming revenue is slowly starting to bounce back, though it's still down from a year earlier. This should continue to improve during the second half of the year as the holidays approach. All in all, the company isn't out of the woods just yet and the current market volatility could cause Nvidia stock to fall again. But the company has many opportunities it can capitalize on. This could make it a good long-term growth stock.As of this writing, Jamie Johnson did not hold a position in any of the aforementioned stocks. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Big IPO Stocks From 2019 to Watch * 7 Discount Retail Stocks to Buy for a Recession * 7 Stocks to Buy Benefiting From Millennial Money The post 3 Reasons the Nvidia Stock Comeback Story Will Continue appeared first on InvestorPlace.