What happened to AMD?

Tech sector:

What happened to AMD? Advanced Micro Devices Inc. published its Q1 earnings report after market closed on Monday. They increased revenue by 18% compare to last year at $984 millions, which is about $400K shy from wall street estimated figures. Also, earning per share increase to -$0.08 from -$0.14 a year ago. However, AMD’s value dropped 24% since Q1.ER. It’s about $10.11 per share as for today. What’s going on with AMD? AMD is one of the hottest stock in 2016, but a lot of the hype was from investors’ expectation. AMD’s earnings is not bad at all compared to previous year, it is just that wall street and investors have much higher expectation than that. As a result, its share price took a hit. There was also some panic selling contributed to it. I’m still very bullish to AMD in a long term perspective. Vega, its high end GPU is coming out in the end of June. Also, AMD’s server CPU Naples is due to launch some time in Q2. There are a lot of activities going on. AMD recently bought a small VR company which is specialized in wireless technology in VR. They have also been working on AI/Deep learning sector. There is no doubt that AMD is going to be valuable in the long run.

P.S. I have positions in AMD.

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