AMD asks to double common stock to 1.5 billion shares

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the entity to step in is the FTC and the company that would be investigated is Intel....
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Please don't say that......

This will only restart the "55% market share is a monopoly debate"!! (can't remember whose silly quote that was, though....)

Just kidding, by the way, you're absolutely correct.

Oh... BTW --- I did not read that exact post about 55% marketshare makes a monopoly, but I can almost guaratee it was our own dear BaronMatrix.... it sounds just like his logic.

Jack, sounds like one hell of a debate. LOL. Your debates with BM crack me up to no end. For most of them I am just a silent observer, I am sorry I missed that one.
 
Are you thinking this is going to be a 2 for 1 stock split? (where all holders get an additional share for every share held and the price gets cut in half)?
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The stock splits, AMD issues one paper for every paper the stockholders have. Effectively, the value of the stock will be 1/2 of its previous value.

The only problem is how AMD will get its most needed cash after this transaction. They probably will lose some money because they will have to pay the print shop for the newly issued shares. :)

Tell me that you are married and your wife is taking care of your income, otherwise...
 
yeah,agreeing here, the stockholders have to vote for the isueing of the shares, but if it doesnt clear AMDs troubles, then there will be a witch hunt that hector and crew wont survive
 
Markets open in a few minutes... any crystal balls?

Down 2.5% in pre-market.

If they do dilute, my new entry point goes from $5-7 to $3-4. It all depends on the type of funding they receive and by whom.

White knight?

Stockholders are in major risk for a total stock recapitalization... it's moving closer to Chap 13. AMD survives, but stockholders get wiped out.
 
I've got to say, shorts have made a killing with this stock this year... can't even get a short position in at this point.

Want a laugh, go to the Yahoo finance message boards for AMD... some real characters there.
 
Don't forget a few basic stock market maxims. When all the amatuers are saying a stock will go one way, that's usually when the big pros know it's time to take em out. That's why if you think you know where it's going to go, it's a lot better if you don't hear everyone and their dog saying the same thing you are thinking.

2nd, look at the gigantic trade Friday. That's because they know more than we do. Capiche?

This is why Warren Buffett's ideas are actually quite a good plan.
 
Don't forget a few basic stock market maxims. When all the amatuers are saying a stock will go one way, that's usually when the big pros know it's time to take em out. That's why if you think you know where it's going to go, it's a lot better if you don't hear everyone and their dog saying the same thing you are thinking.

2nd, look at the gigantic trade Friday. That's because they know more than we do. Capiche?

This is why Warren Buffett's ideas are actually quite a good plan.
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Contrarian investing... the herd may be mindless, but you can still get run over by the stampede.
 
As others have pointed out to the potential of me losing 2 1 dollar bets,its probably not a split.its a dilution.
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Technically speaking, AMD's share price can go up and one might make money despite all doomsayers at this board.

The fact that you cannot pay your telephone bill today for not having enough cash where in fact you will receive a big lump-sum from your investments in couple of weeks doesn't make your financials poor (though for this particular case the stock value will probably go down due to the negative sentiment in the market).

One problem I have with financial discussions in this forum is that simple and common transactions are reflected as the end of the world for AMD. It is perfectly fine to issue shares to raise cash or acquiring another company to expand business. Everybody does that.

I read remarks like "AMD is ripping off its shareholders" or "AMD will go bust for not having cash". These sound plain silly and stupid, that's all.

The value of a stock is determined based on investors' expectations. If acquiring ATI improves the profitability of AMD, the stock will reflect this fact and will go up.

No need to worry about lacking cash, issuing shares, taking loans, being taken over, etc.

Believe it or not it's more of a bad financial decision to have lots of cash and sink it in stupid projects like Itanium or Netburst then engage in a senseless price war only because you have plenty of cash to afford it and cannot defeat the competition with technology and product quality.
 
As others have pointed out to the potential of me losing 2 1 dollar bets,its probably not a split.its a dilution.
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Technically speaking, AMD's share price can go up and one might make money despite all doomsayers at this board.

The fact that you cannot pay your telephone bill today for not having enough cash where in fact you will receive a big lump-sum from your investments in couple of weeks doesn't make your financials poor (though for this particular case the stock value will probably go down due to the negative sentiment in the market).

One problem I have with financial discussions in this forum is that simple and common transactions are reflected as the end of the world for AMD. It is perfectly fine to issue shares to raise cash or acquiring another company to expand business. Everybody does that.

I read remarks like "AMD is ripping off its shareholders" or "AMD will go bust for not having cash". These sound plain silly and stupid, that's all.

The value of a stock is determined based on investors' expectations. If acquiring ATI improves the profitability of AMD, the stock will reflect this fact and will go up.

No need to worry about lacking cash, issuing shares, taking loans, being taken over, etc.

Believe it or not it's more of a bad financial decision to have lots of cash and sink it in stupid projects like Itanium or Netburst then engage in a senseless price war only because you have plenty of cash to afford it and cannot defeat the competition with technology and product quality.

FYI - 80% of all mergers fail to ADD VALUE to the acquiring firm (to compensate for the premium paid). Will AMD beat the odds... hmmm....
 
zeezee's post is a good one, and can be used as a guide to look for things to learn about if you are interesting in understanding stocks better.
 
No need to worry about lacking cash
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Bull. Companies that are on the path to running out of cash in a matter of months, have crappy balance sheets and are already leveraged to the hilt, and just made an acquisition they can't afford are definitely things to worry about if you are even thinking about buying their stock.
 
No need to worry about lacking cash
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Bull. Companies that are on the path to running out of cash in a matter of months, have crappy balance sheets and are already leveraged to the hilt, and just made an acquisition they can't afford are definitely things to worry about if you are even thinking about buying their stock.
No, it's not Bull.

Firstly, put my above comment in its proper context, don't just take a single sentence and give me your life story. All I'm saying is if the acqusition is financially sound, finding cash is not to worry about.

Secondly, the stock value does not depend entirely on a company's current financial statements, current profitability (commonly used to bash AMD at these boards), earnings per share (EPS), etc.

From the top of my head, I can give you ten stocks which are going up or which have positive outlook with negative profits, negative EPS and "crappy" balance sheets.

Arguments, not empty words mon amis, so that we can discuss...
 
Baron has been quiet so far. I wonder if he's just a little depressed about his stock holdings. 🙁
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A little depressed? We should have BM on a suicide watch.

Why do you guys pick on Baron? If he is holding a lot of AMD stock, no need to rub it in.

geesh.
 
Baron has been quiet so far. I wonder if he's just a little depressed about his stock holdings. 🙁
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I suppose that even the Baron doesn't know how to twist this to the positive.

I did pick up this bit of info from Scottrade, which I wish I had realized earlier. Quote: "No AMD insider has purchased company stock this year. Presumably, insiders expect the stock decline to continue". Further, AMD execs have been steadily selling off stock in the company for a number of months, with reported sales of about 30,000 shares in the past week.

If the insiders are selling off, my guess is that they know something they aren't talking about. Do rats abandon sinking ships? Ok, just an opinion and a question. Don't know if either is true. Oh yes, I abandonded the AMD ship myself, but I consider myself as a passenger and not a crewman rat.
 
No need to worry about lacking cash
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Bull. Companies that are on the path to running out of cash in a matter of months, have crappy balance sheets and are already leveraged to the hilt, and just made an acquisition they can't afford are definitely things to worry about if you are even thinking about buying their stock.
No, it's not Bull.

Firstly, put my above comment in its proper context, don't just take a single sentence and give me your life story. All I'm saying is if the acqusition is financially sound, finding cash is not to worry about.

Secondly, the stock value does not depend entirely on a company's current financial statements, current profitability (commonly used to bash AMD at these boards), earnings per share (EPS), etc.

From the top of my head, I can give you ten stocks which are going up or which have positive outlook with negative profits, negative EPS and "crappy" balance sheets.

Arguments, not empty words mon amis, so that we can discuss...

While it's not the whole story, financials are a critical part of it. In AMD's case a very critical part of it. There are lots of people investing in these stocks on this board with little to no understanding of how to read a balance sheet, who can't even tell the difference between a stock split and a stock authorization. Trying to minimize the importance of a company's financials only plays into that ignorance. The result will probably be more people burned by things they don't understand.
 
You are minimizeing the lack of cash,like it means nothing, although in some cases, you are right, it means simply that...a short term loss. OTOH AMD has many things going, and all of them require cash, and many of them will cost them even more, if they fail to meet the contracts they have. AMD runing low on cash isnt doom for AMD, but it signals hell for the next year or so
 
We don't pick on just BM we also go after DragonSpayer because he is the Intel version of Baron.

I actually like AMD and hope they make it I used to be a stockholder but I sold my 15$ shares off last February when it ran out of gas passing $40. I doubt whoever got my 1000 shares at 40.50/ share enjoyed their purchase as much as I enjoyed the sale. If Baron is a stockholder I don't feel sorry for him because the signs of decline have clearly been there for a long time. If you didn't bail out of this when Intel clearly had a winner in October-November 06 I can't really feel very sorry for you because you clearly made an emotional decision not a financial decision.
 
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