Ben RogoffAdvanced Micro DevicesAMDBUYApr 24, 2006

It has been rallying hard because their chips recall Nvidia's and they have a considerable consumer group by supplying Dell and other PCs

It is important to watch the semi conductors. Nvdia is the champion in A.I. He owns both NVDA and AMD. Advanced Micro Devices has some interesting solutions and we should see some very interesting custom chips get built. People are likely to look at others beyond Nvdia. Tech is an important place to be but not the only place.

Intel is in a dogfight with AMD over large customers. Today, Intel sold off hard, while AMD fell, but rebounded and will continue to.

PE multiple is north of 1000. This means that if it maintained its earnings and revenue just where it is, it would take 1000 years to break even. Great example of how market's gotten ahead of itself. He'd buy NVDA or INTC instead, they have longer runways.

He was indecisive and missed this. Regrets it. Too late. He's not sure what to do.

Recent all time high in stock not a bad thing. Momentum good take this stock higher. Over-supply of chips in market a negative. Would recommend a small position. Seasonality a factor - weak time of the year for chip business'.

This election is something to consider, but wouldn't sell it. AMD has had a great run, up 7% in the past month, but will now cool its heels. A great CEO and company.

AI hype is probably real and will change the world, but can't tell how fast it will grow in the short term. Earnings are there, very strong. PE's always been high. Lots of competitors. He prefers software-type names.

A standout stock this earnings season with shares jumping 9.7% after its report. Will become the only true competitor to Nvidia in producing AI chips. Revenue outlook is strong.

Down cycle in the cyclical nature of the business.
A.I. business segment growing.
Current share price too expensive to justify investment.
Would wait to buy on weakness.

Buy both AMD and INTC along with your NVDA shares. NVDA's pretty well sold out into Q3 of 2024, so there's lots of demand. NVDA's going to have competition from these two. Impressed by INTC's CEO and promises on the foundry side, which should translate into accelerator chips and advanced packaging. 

There has been some cooling off in the tech sector and maybe more to come. However there is long term growth which comes from the semi-conductor sector. Since the sector is overheated wait for a better opportunity before buying.