|Bid||27.65 x 4000|
|Ask||27.66 x 1100|
|Day's Range||27.05 - 27.85|
|52 Week Range||10.77 - 34.14|
|Beta (3Y Monthly)||4.05|
|PE Ratio (TTM)||86.58|
|Earnings Date||Apr 30, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||25.75|
Advanced Micro Devices (AMD) is expected to benefit from robust demand of graphic processor units (GPUs), which are now widely utilized in industries like gaming, automotive and blockchain.
Intel Stock Drops 7% on $2.5 Billion Cut in 2019 Revenue Guidance(Continued from Prior Part)Intel’s first-quarter earnings are important for investorsInvestors and analysts eagerly awaited Intel’s (INTC) first-quarter earnings results as they
Back Story I kind of like Intel . I kind of always have. I kind of like the story that former CEO Brian Krzanich told. I invested in that story. It was a solid investment in an undervalued large cap in an industry that was taking off that paid a nice dividend as well.
Today we will run through one way of estimating the intrinsic value of Advanced Micro Devices, Inc. (NASDAQ:AMD) by estimating the company's future cash flows and discounting them to their present value. I will use the Discoun...
Intel said China's economy was consuming fewer microchips than it had expected, adding to concerns that an industry wide slowdown could persist until the end of 2019. Intel's outlook follows a similar warning earlier this week from chipmaker Texas Instruments Inc (TXN.O), whose broad lineup of products makes it a proxy for the industry chip industry. Intel marginally beat Wall Street targets for revenue and profit in the fiscal first quarter, but sales in the data centre group unit fell 6.3% to $4.9 billion, hit by weakness in China as customers worked through stockpiles of chips purchased last year.
Advanced Micro's to gain from release of Radeon RX Vega family of GPUs and alliance with companies like Baidu, Amazon, Tencent, Microsoft and JD.com.
TSMC's Q1 Earnings Signal Beginning of Semiconductor Growth(Continued from Prior Part)TSMC’s profitability TSMC (TSM) reported its worst dip in profit in seven years as weak smartphone demand and high semiconductor inventory impacted its factory
Credit has to be given where it's due. Advanced Micro Devices (NASDAQ:AMD) stock has made the comeback CEO Lisa Su promised when she took over the reins in 2014. AMD stock has been a champ too, up nearly 1,500% since its early 2016 low as Su's plans became reality.Source: Matthew Rutledge via FlickrThe financial metrics further confirm the bullishness. AMD is profitable again. Last year's top line of $6.5 billion is remarkably better than 2015's revenue of $4 billion.The turnaround -- perhaps more of a rekindling -- may prove to be the easy part of Su's time at the helm, however. Now past the shell-shock of seeing their upstart rival become a threat again, Nvidia (NASDAQ:NVDA) and Intel (NASDAQ:INTC) have regrouped.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Sell Before They Give Back 2019 Gains That's a problem for current and would-be owners of AMD stock too. The market is pricing in a sales and earnings rebound later this year that may not take shape as expected. No More Low-Hanging FruitThe short version of a long story: Advanced Micro Devices got sloppy. Its string of developments that aimed to chip away at rivals' market share ended up misfiring. Between early 2010 and late 2012, AMD stock had fallen from a price of above $10 to less than $2, reflecting waning fiscal results. Nvidia and Intel, meanwhile, came up with the right GPUs and CPUs, respectively, at the right time.Matters have been different since 2016, when AMD's Ryzen CPU was launched, followed by its Vega GPUs. Almost as good as its competitors' wares in terms of performance, but at a much friendlier price, Advanced Micro Devices restored its stature as a serious player.The next couple of years may not be as compelling as the last couple have been, though.It's difficult to pinpoint the exact cause as more than one may exist. Whatever the case, the earnings report AMD is slated to post next week is expected to log a third consecutive sequential decline in sales as well as earnings. Analysts project revenue to slide almost 24%, from $1.65 billion to $1.26 billion. Additionally, they expect profits to shrink from 11 cents to 5 cents per share of AMD stock. Click to EnlargeAn implosion of the cryptocurrency market is a contributing factor. The upgrade cycle is also in a slow patch now. Many corporate and retail consumers shelled out cash a year ago to take advantage of some technological advances.However, analysts don't expect that lull to last much longer. Given the way shares are rallying now, investors appear to believe them.There's the rub. High Hopes for Advanced Micro DevicesAdmittedly, Advanced Micro Devices has some cool tech lined for a latter-2019 launch. Namely, new 7-nanometer chips are on the way. Its "Rome" server CPUs will begin shipping in the middle of this year, while its third-gen Ryzen processors built on Zen 2 architecture should become available later this year.But it remains to be seen just how much pent-up demand is actually waiting for these and other new technologies. Up until the final quarter of 2018, data center spending has remained robust over the past couple of years. Consequently, for the majority of buyers, Intel was the choice provider. Furthermore, enterprises may not be ready for a wave of upgrades or additional capacity just yet. Certainly, they don't want to switch to an altogether new architecture.To that end, Gartner forecasted in November that spending on data centers would only grow 1.6% in 2019.If Advanced Micro Devices is going to meet expectations for the second half of the year, it must win far more than its fair share of that tepid growth. That can only be driven by an AMD-specific feature of its server processors that no enterprise-level buyer has yet to publicly identify.As for consumers, sales of new PCs perked up again late last year, sparking some fresh demand for GPUs.The first quarter's PC sales, however, renewed the years-long downtrend, reaching a multi-year low tally of 58.5 million units. Consumers have arguably upgraded their machines as much as they're going to for a while. This is particularly true in the absence of a new operating system from Microsoft (NASDAQ:MSFT). Bottom Line for AMD StockIt's not a call for the demise of AMD, though some die-hard fans will certainly interpret it as such. Rather, it's simply a caution that the bar is set pretty high for the second half of the year. Nobody is fully fleshing out the actual demand picture that will drive 6% sales growth for 2019. Plus, the ramp-up in AMD's revenue by nearly 21% next year when Intel finally brings its next-gen CPUs to the market seems a tad unrealistic. Click to EnlargeEven "only" growing at half of its expected pace would still be solid results, to be clear. But with AMD stock already priced at 29.5 times next year's expected earnings, anything less than meeting those targets could easily upend this overheated rally.Bottom line: Caution -- even more caution than usual -- is advised. Advanced Micro Devices isn't a story stock any longer. It's graduated to a "show me" state. More critically, it may not be showing the market enough in the very foreseeable future.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Oversold Stocks to Run From * 7 Red-Hot E-Commerce Stocks to Consider * 4 Stocks Surging on Earnings Surprises Compare Brokers The post Investors Are Betting on a Big Second Half for AMD Stock appeared first on InvestorPlace.
TSMC's Q1 Earnings Signal Beginning of Semiconductor Growth(Continued from Prior Part)TSMC’s profit margins TSMC (TSM) is a third-party chip manufacturer and incurs a lot of fixed costs that go into maintaining its fabrications facilities, or
On Thursday, Nick Lowery will begin to defend his position when the 2019 CNBC Stock Draft kicks off on "Power Lunch."
Micron (NASDAQ:MU) will not announce earnings until June. However, with peers SK Hynix and Samsung (OTCMKTS:SSNLF) releasing quarterly reports soon, the focus will return to the chip sector. Moreover, Micron has just released its next generation of chips for cloud and enterprise systems. Such factors could result in the turnaround needed to boost MU stock. However, investors need to pay attention to the actual pricing commanded by memory chips before turning bullish. Source: Shutterstock Despite the fact that MU will not report earnings for two more months, the company remains in the news. The company unveiled the third generation of high-performance NVMe SSDs. These chips will go into both cloud and enterprise applications. ` The company claims the new Micron 9300 SSDs will offer the industry's lowest latency. They bring a read and write capability at 3.5 GB per second. They will also achieve this speed using 28% less power than chips of the previous generation. * 10 Monster Growth Stocks to Buy for 2019 and Beyond Micron chips power data centers, artificial intelligence (AI), virtual reality, and autonomous cars among other things. Such technologies require large amounts of memory. More important, their use in self-driving vehicles makes minimizing latency a matter of life and death.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Chip Pricing and Micron StockThis need should ensure robust demand for its new chips. Nonetheless, the critical question for MU investors will hinge on chip pricing. Despite the increased importance of memory chips, MU stock has not escaped its dependence on memory prices to move the equity higher. Since the beginning, Micron stock has risen during times of high memory prices and fallen when memory prices crashed.MU stock investors have become accustomed to this. Despite a price-to-earnings (PE) ratio of only 3.9, MU struggled over the last year. To be sure, memory prices have fallen, taking the forward PE to about 9.1. While the adage of "it's different this time" did not pan out, one thing has indeed changed.In previous price cycles, MU stock would fall into losses. However, memory demand has grown exponentially since the PC era. For this reason, Micron remained profitable when memory prices fell. Also, MU did not fall into single digits as it did in previous memory price downturns. In the recent memory price crash, Micron stock bottomed at $28.39 per share.The rock-bottom PE ratio may have helped take MU stock back to the $43 per share range. Nonetheless, the company reported a 28% drop in DRAM memory sales and just a 2% increase in sales for NAND memory. Consequently, profit estimates have continued falling.However, if SK Hynix and Samsung show price improvements, it could mean profit estimates stop falling. As my colleague Bret Kenwell reported, firms such as Taiwan Semiconductor (NYSE:TSM) and AMD (NASDAQ:AMD) expect higher second-half sales. Moreover, if this new generation of memory chips lead to higher pricing, it could mean the Micron stock price resumes its climb. Final thoughts on Micron StockThe release of next-generation chips could help to boost MU stock, but investors still need to focus on memory pricing. Thanks to the advent of data centers, VR, self-driving cars, and other applications, memory chips have become more essential than ever.While this does not change the cyclical nature of MU, it will probably lead to improved revenues. Moreover, with its South Korea-based peers about to release earnings, traders can see revenue results and company forecasts on memory prices.Nonetheless, the success of Micron still depends on memory pricing. Other chip companies believe pricing will improve soon. If that comes to pass, I think higher chip prices combined with Micron's low PE ratio could boost MU stock. Still, until chip prices show improvement, I would expect little upside in Micron.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 Oversold Stocks to Run From * 7 Red-Hot E-Commerce Stocks to Consider * 4 Stocks Surging on Earnings Surprises Compare Brokers The post Better Pricing, New Product Release Could Boost Micron Stock appeared first on InvestorPlace.
TSMC's Q1 Earnings Signal Beginning of Semiconductor Growth(Continued from Prior Part)TSMC’s second-quarter revenue guidance TSMC’s (TSM) revenue hit the bottom in the first quarter of 2019 due to weak economic demand, smartphone seasonality, and
While semiconductor stocks have rallied nearly 40% this year, top names like Nvidia and Micron are still far from their 52-week highs.
TSMC's Q1 Earnings Signal Beginning of Semiconductor Growth(Continued from Prior Part)TSMC’s revenue by applicationTSMC (TSM) is the world’s largest foundry and manufactures chips for all major end markets. The foundry divides its revenue into
TSMC's Q1 Earnings Signal Beginning of Semiconductor GrowthTSMC’s first-quarter earnings bottom out TSMC (TSM) is the world’s largest semiconductor contract manufacturer. It serves a host of chip designers including Apple (AAPL), NVIDIA (NVDA),
Strong earnings pushed the S&P 500 to a record Tuesday. The comeback is led by the technology sector, the first group to put 2018's year-end drop behind it and the best performer among S&P 500 sectors with a nearly 37% gain since Christmas Eve. Oil and gas company Hess is the biggest winner in the S&P 500, rebounding more than 85% from its December low.
The Latest Buzz from the Semiconductor Sector: QCOM, INTC, AVGO(Continued from Prior Part)Omnitek technology to complete Intel’s programmable chips businessThis month Intel (INTC) announced the acquisition of British programmable chip maker
Advanced Micro Devices (AMD) closed the most recent trading day at $27.97, moving -0.75% from the previous trading session.
How Will Intel's Business Decisions Impact Investors?(Continued from Prior Part)About Omnitek Intel (INTC) is expanding its data-centric businesses organically and through acquisitions, and its recent acquisition is in the PSG (Programmable
Intel (NASDAQ:INTC) reports earnings on Thursday afternoon on an absolute roll. Intel stock touched a 19-year high this week. And after stumbling toward the end of last year, INTC stock now has gained 25% so far this year.Source: Shutterstock Even what looks like bad news is good news. The surprise settlement between Apple (NASDAQ:AAPL) and Qualcomm (NASDAQ:QCOM) last week meant the end of Intel's efforts to develop its own 5G modem. But analysts actually saw the loss of business as a positive, and INTC stock jumped higher.The question at this point, however, is just how much good news is priced in … and how much good news is left to report. Intel stock admittedly doesn't look that expensive, at a little over 12x 2020 earnings-per-share estimates. But the big run so far this year, in turn, has raised expectations and that means Intel earnings on Thursday need to be quite strong just to keep the stock at its current, elevated levels.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Intel EarningsOne plus for Intel is that expectations for the first quarter aren't particularly high. Consensus estimates project a modest decline (0.3%) in revenue year-over-year, with adjusted EPS equal to last year's 87 cents. Those estimates almost exactly match Intel's guidance for the quarter, given with Q4 results back in January. * 10 High-Yielding Dividend Stocks That Won't Wilt So if Intel was being conservative with its guidance, the company should be able to post a headline beat on Thursday afternoon. But there's more to the report than just meeting -- or beating -- expectations. Any beat means Intel was able to grow revenue and earnings -- growth that, even with the big gains of late, isn't quite priced in.And it would show that the company's "data-centric" strategy, as the company terms it, is working. Data-centric revenue accounted for 48% of the 2018 total, per the 10-K, and likely over half this year. The remainder -- sales related to PCs -- is unlikely to grow, putting pressure on the data side of the business.To be sure, Q1 earnings alone won't make or break the case for Intel stock. But they can certainly impact the narrative, particularly in the near term. An earnings beat means Intel is growing. It means the shift to data-centric products is working. And it suggests that the earnings multiple assigned to INTC could expand, moving Intel stock higher.On the other hand, however, any stumble looks dangerous. Again, Intel is up 25% this year; it has added over $50 billion in market capitalization. While the stock isn't particularly expensive, bulls clearly are looking for good news from earnings. If they don't get it, INTC stock could struggle on Thursday … and beyond. INTC Stock Looks ExpensiveI wrote at the end of 2018 that INTC stock didn't look like the best chip play for 2019, and that has actually been the case. Nvidia (NASDAQ:NVDA) has risen 41%. Shares of Intel rival Advanced Micro Devices (NASDAQ:AMD) have gained 52%. Given the optimism toward chip stocks and the pessimism with which the market closed 2018, INTC's gains this year aren't quite as much of an outlier as they might seem.That said, it does look like Intel is going to have to post a big beat on Thursday to keep this rally going. Intel stock has actually outpaced Wall Street, whose average target is just $54.59, suggesting 7%+ downside; 12x+ earnings might seem cheap, but half the business is likely to decline as PC unit sales continue to fall. While the valuation here might not seem prohibitive, there doesn't seem to be much room for error here.That's true in terms of earnings Thursday, but it's also true beyond the report. Intel is a wonderful company, but the reliance on PCs and the cyclical nature of the semiconductor space both suggest that Intel stock should be rather cheap. Earnings on Thursday are likely to provide further evidence, and that probably won't do much for INTC stock.As of this writing, Vince Martin did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 High-Yielding Dividend Stocks That Won't Wilt * 4 Energy Stocks Soaring as Trump Tightens on Iran * 7 Tech Stocks With Too Much Risk, Not Enough Upside Compare Brokers The post It Will Take a Huge Earnings Report to Move Intel Stock Higher appeared first on InvestorPlace.
Advanced Micro (AMD) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Intel (NASDAQ:INTC), a giant within the almost-$500 billion global semiconductor industry, has recently seen a 52-week high at $59.59. INTC stock is expected to release earnings on April 25, after the close.Source: Shutterstock I believe that the relatively strong recent performance of the stock has been based on robust fundamentals, which I expect to continue in the rest of the year. With earnings season in full swing, let us look at the catalysts that are likely to provide tailwinds to INTC stock price. Intel Has Leadership and Robust FundamentalsIn 2018, Intel faced some challenges. At the time, the pain in INTC stock coincided with the sudden resignation of its CEO in June 2018, and Wall Street was not been impressed with how long the process to replace the interim CEO took. Finally in January 2019, the company named Robert Swan as the new CEO.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIts quarterly results released on Jan. 24 showed that Intel missed on revenue and the company gave weak guidance. However, many analysts highlighted that the tech giant was still delivering impressive double-digit growth at around 10% and enjoyed a dominant position in key markets. * 10 High-Yielding Dividend Stocks That Won't Wilt Intel's two largest segments are the client computing group (CCG) and data center group (DCG). Together they contribute almost all of Intel's operating profits.CCG includes Intel's PC and mobile-device chip business. The Central Processing Unit (CPU) is the "compute" in the computer. Intel's CGC segment makes the CPUs. INTC controls nearly three quarters of the CPU market, and Intel processors are the main component in most of the personal computers and servers globally.On the other hand, Intel's DCG segment makes CPUs that are optimized for enterprise-grade hardware, namely for data-center servers. On Apr. 2, the company held its Data-Centric Innovation Day, when it reaffirmed performance leadership in data center products and unveiled its next-gen processors as well as platform technologies.Intel currently holds a 99% share of the data center server market, which has been a consistent growth driver for the company. In 2014, about a third of Intel's revenue was data-centric; now it's half.Many investors believes that Intel's technological innovations will increase its ecosystem in diverse growth segments, including artificial intelligence (AI), 5G and autonomous driving (AD). These emerging sectors all require data in enormous quantities and at extremely high speeds.Although the tech titan is a mature company, Wall Street is seeing further growth opportunities as Intel re-orients itself to rely less on PCs and improves its revenue model to capitalize on the growth of the data business. Intel Stock Offers Strong Dividend Yield and Share BuybackOn March 14, Intel declared a quarterly common stock dividend of 31.5 cents per share, payable on June 1, 2019, to shareholders of record on May 7, 2019. INTC's dividend yield is a respectable 2.15%. Only a handful of established technology companies offer investors stable and growing dividends -- an important reason why Intel stock belongs to a capital-growth portfolio.Intel management has also been rewarding investors with share repurchases. In November 2018, the company announced a $15 billion increase in its stock repurchase program -- another indication of proactive management that aims to deliver higher stock returns for long-term investors. Short-Term Technical Analysis Year-to-date, Intel stock is up over 25%. As a result of the recent impressive run-up in the stock price, short-term technical indicators have become somewhat overextended. Investors who pay attention to short-term oscillators should note that INTC's technical message has also become "overbought."So, following its earnings report, there might be some profit-taking in INTC stock. Furthermore, if the industry or the broader market decline as companies release earnings, the Intel stock price may also be adversely affected. Several of Intel's competitors include Advanced Micro Devices (NASDAQ:AMD), Qualcomm (NASDAQ:QCOM) and NVIDIA (NASDAQ:NVDA) and as the market reacts to news and numbers from any of these companies as well, Intel's share price is likely to become choppy, too.If you already own Intel shares, you might want to hold your position. That said, if you are worried about short-term profit taking, then within the parameters of your portfolio allocation and risk/return profile, you may consider placing a stop loss at about 3%-5% below the current price point, to protect your profits to date.If you are an experienced investor in the options market, you may also consider using a covered call strategy with approximately a two-month time horizon. In that case, you may, for example, buy 100 shares of INTC at a limit price of $58.82 and, at the same time, sell an INTC June 21 $57.50 call option, which currently trades at $3.The $57.50 option is slightly in-the-money, offering downside protection in case of volatility and a decline in Intel stock. This call option would stop trading on June 21, 2019, and expire on June 22.In other words, I would not advocate bottom-picking in case of near-term price weakness. Yet, I find INTC stock to be a compelling buy candidate and by the end of 2020, I'd expect the shares to reach $70. The Bottom Line on INTC StockIntel's first-quarter earnings release will give Wall Street a chance to analyze the company's latest results and assess whether the stock's recent run-up in price can continue the rest of the year.Investors who are interested in INTC stock but do not want to commit all their capital to a single stock may also consider investing in various exchange-traded funds (ETFs) that have Intel as a holding. Examples of such funds include the VanEck Vectors Semiconductor ETF (NYSEARCA:SMH), the iShares PHLX Semiconductor ETF (NASDAQ:SOXX) or the Invesco Dynamic Semiconductors ETF (NYSEARCA:PSI).As of this writing, Tezcan Gecgil did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 High-Yielding Dividend Stocks That Won't Wilt * 4 Energy Stocks Soaring as Trump Tightens on Iran * 7 Tech Stocks With Too Much Risk, Not Enough Upside Compare Brokers The post Should Long-Term Investors Buy into Intel's Earnings Results? appeared first on InvestorPlace.
The Latest Buzz from the Semiconductor Sector: QCOM, INTC, AVGO(Continued from Prior Part)Qualcomm launches smart speaker chip Efforts by Qualcomm (QCOM) to diversify outside the smartphone market moved a notch higher recently. Last month, the