ADVANCED MICRO DEVICES (#AMD) weekly special report based on 1 Lot Calculation:
AMD: THE COMPANY
- AMD is a chipmaker itself. According to hpcewire.com, the company is delving deeper into the AI world. For the first time, AMD announced the MI400 GPUs, which the company will release in 2026. AMD’s plans for 2024 include the MI325X GPU, followed by the 3-nanometer MI350 next year in 2025, with both based on HBM3E memory. The current series of MI300, that includes MI300X, MI300A and Instinct MI300 are well positioned to compete with Nvidia’s H100, which has been high on demand among tech companies for a long time.
ADVANCED MICRO DEVICES (#AMD) UNDER THE FIRST TRUMP PRESIDENCY (2016-2020):
- DURING TRUMP’S FIRST PRESIDENCY the stock saw the following rise
|
Company |
TICKER |
3 months after the 2016 elections |
6 months after the 2016 elections |
12 months after the 2016 elections |
|
Advanced Micro Devices |
#AMD |
93% |
49% |
74% |
Source: YahooFinance
Please note that past performance does not guarantee future results
- Certain Trump’s policies influenced directly or indirectly AMD’s revenue and stock price growth:
- Corporate tax reform – lowering the corporate tax rate from 35% to 21%
- Deregulation – a whole set of policies making it easier for businesses to operate
- “Made in America” – a push to have products produced in America – especially semiconductors which are seen as strategically important.
AMD: NEW OR OLD POLICIES UNDER A SECOND TRUMP ADMINISTRATION
- POLICY EXPECTATIONS: Certain policies are expected to be renewed in his second term which will probably influence the stock price in a positive way, just as it did in the first term:
- Corporate tax reform – further lowering of corporate taxes
- Further deregulation – making it easier for businesses to operate
- “Made in America” – further reshoring of semi-conducter production in the U.S.
AMD: EVENTS
- TUESDAY, OCTOBER 29th 2024 – Q3 EARNINGS RELEASE – AMD recorded a revenue of $6.8 billion, and a net income of around $800 million. Revenue saw a growth rate of 18% compared to Q3 2023 and 17% compared to Q2 2024 while net income saw a growth of 150% compared to Q3 2023 and 170% compared to Q2 2024.
- THURSDAY, JANUARY 30th 2025 – Q4 EARNINGS RELEASE (EXPECTED) – AMD expects revenue to be approximately $7.5 billion. Net income is expected to be $1.786 million. Revenue could see a growth rate of 11% compared to Q3 2024 and 22% compared to Q4 2023, while earning could see a rise of 123% compared to Q3 2024 and 156% compared to Q4 2023.
AMD: PRICE ACTION
- THE STOCK HAS TRADED AROUND 40% BELOW ITS ALL-TIME HIGH OF 227.20 (March 8, 2024). AMD was last trading around $137, and if a full recovery follows to recent all- time highs, the stock could see an upside of around 66%. However, the price could decline further.
- ANALYSTS OPINIONS: Wells Fargo forecasts $205. HSBC forecasts $200. Wedbush forecasts $200. Citigroup forecasts $200.
#AMD, November 27, 2024
Current Price: 137
|
AMD |
Weekly |
|
Trend direction |
|
|
227 |
|
|
187 |
|
|
152 |
|
|
125 |
|
|
115 |
|
|
105 |
Example of calculation based on weekly trend direction for 1 Lot1
|
AMD |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
90,000.00 |
50,000.00 |
15,000.00 |
-12,000.00 |
-22,000.00 |
-32,000.00 |
|
Profit or loss in €2 |
85,566.38 |
47,536.88 |
14,261.06 |
-11,408.85 |
-20,916.23 |
-30,423.60 |
|
Profit or loss in £2 |
71,400.24 |
39,666.80 |
11,900.04 |
-9,520.03 |
-17,453.39 |
-25,386.75 |
|
Profit or loss in C$2 |
126,436.05 |
70,242.25 |
21,072.68 |
-16,858.14 |
-30,906.59 |
-44,955.04 |
1. 1.00 lot is equivalent of 1000 units
2. Calculations for exchange rate used as of 10:00 (GMT) 27/11/2024
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.