Monday 30 October 2017

AMD, NVDA - a stark contrast

Whilst the main market leaned broadly weak, there was a stark disparity between two of the key semi-conductor stocks. Advanced Micro Devices (AMD) and Nvidia (NVDA) settled -8.0% and +1.0% respectively. The two companies are similar... except in the key aspect of profitability.


AMD daily



NVDA daily



Summary

Suffice to add, profits do matter.

Recent earnings in AMD were simply... mediocre.

NVDA has earnings Nov'9th, and its safe to say, even if they miss, they'll still be vastly superior to AMD.
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Technically...

AMD: last week saw a key break of support. There is little but empty air to the $10.00 threshold.

NVDA: today saw a new historic high of $206.09, as the m/t trend from early 2016 remains hyper bullish.

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For the record, I happen to favour Micron Tech' (MU) and Intel (INTC) above AMD and NVDA.