News AMD CEO Lisa Su is First Woman to Top AP CEO Pay Analysis

Given what massive gains AMD has made in technology and the market with her at the helm. She certainly earned it. If AMD continues to improve. That $53 million stock award will grow in value considerably.
 

Deicidium369

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Given what massive gains AMD has made in technology and the market with her at the helm. She certainly earned it. If AMD continues to improve. That $53 million stock award will grow in value considerably.
Massive gain is from MASSIVE 200:1 P/E ratio. Market average is 16:1 - Intel is 12:1. AMD stock should be in the low single digit range.
 
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Massive gain is from MASSIVE 200:1 P/E ratio. Market average is 16:1 - Intel is 12:1. AMD stock should be in the low single digit range.
Your P/E ratio for AMD is off by a lot. The NASDAQ rates their 2019 P/E Ratio at 109.88 with 2020 Estimates at 63.54. Does that mean that AMD has a large P/E Ratio, yes. However, as AMD continues to come out of the red that ratio will lower as the EPS goes higher.
 

cyrusfox

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The article acts like they can't google search to see what Bob Swan's compensation was for 2019, Pretty easy to see here in the first link it was 66.9M. Lisa is doing pretty well at a tenth the revneue of Intel that year. a few million off and if she continues to out execute, I would bet her salary will surpass that of the head of Intel. Lots of growth potential.
 

JarredWaltonGPU

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The article acts like they can't google search to see what Bob Swan's compensation was for 2019, Pretty easy to see here in the first link it was 66.9M. Lisa is doing pretty well at a tenth the revenue of Intel that year. a few million off and if she continues to out execute, I would bet her salary will surpass that of the head of Intel. Lots of growth potential.
Does that compensation include any "first two years" bonuses, though? I think that's part of the reason for omitting the direct comparison.
 
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Your P/E ratio for AMD is off by a lot. The NASDAQ rates their 2019 P/E Ratio at 109.88 with 2020 Estimates at 63.54. Does that mean that AMD has a large P/E Ratio, yes. However, as AMD continues to come out of the red that ratio will lower as the EPS goes higher.
https://ycharts.com/companies/AMD/pe_ratio

120.56 right now for AMD. Intel at 12.03. You can nitpick the numbers, but his overall point is valid. Bringing AMD in line with Intel at 1/10, it is well in the single digits for stock price.
 
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bit_user

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Massive gain is from MASSIVE 200:1 P/E ratio. Market average is 16:1 - Intel is 12:1. AMD stock should be in the low single digit range.
I'm still not sure you're reading this correctly. What the high P/E reflects is investors' confidence in AMD's future performance.

It's fair to point out, but it doesn't necessarily mean they're overvalued, or at least by as much as you suggest. If you go back and look at historical market data, you'll find that P/E tends to be a leading indicator.
 
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bit_user

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The article acts like they can't google search to see what Bob Swan's compensation was for 2019,
You act like you didn't read the article! It clearly says the list is by AP, and that they excluded CEOs who have been in the position for 2 years or less.

Now, I don't mind pointing that out, because I was already going to ask just how many CEOs that knocked out of the running. Since the tenure of S&P 500 CEOs is often rather short, I wouldn't be surprised if at least a 3rd didn't qualify for the rankings.
 

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We should not forget that Intel's foundry issues also added to AMD's gain. If intel was on track with 10nm without the need for 14++++++++++, we dont know in what position AMD would have been today. Intel would have brought out several interations of 10nm as well as 7nm by now if everything went right.

But I believe, whatever has happened till date has happened for good. we need competition.
 

bit_user

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We should not forget that Intel's foundry issues also added to AMD's gain.
True, but that's life. If AMD were run by someone less competent, perhaps they wouldn't have been able to capitalize as well on Intel's stumbles. Let's not forget what poor shape AMD was in, when she took over.

The real test will be whether AMD and TSMC can continue to keep up/ahead of Intel, as they bring their 7 nm online, and beyond.
 

Deicidium369

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We should not forget that Intel's foundry issues also added to AMD's gain. If intel was on track with 10nm without the need for 14++++++++++, we dont know in what position AMD would have been today. Intel would have brought out several interations of 10nm as well as 7nm by now if everything went right.

But I believe, whatever has happened till date has happened for good. we need competition.
No not really. Intel HAD issues with 10nm.. but the 14nm was more than good enough that demand outstripped supply. AMD has not been able to capitalize on Intel's "issues" because they weren't really issues at all. All those +++ makes you look foolish. It is a mature process - and the current 14nm has little resemblance to the 1st iterations of that process. Intel is Intel's biggest customer. TSMC has to have a product that is "new" and "better" to sell to the likes of Apple and Nvidia - so each of the potential + on their 7nm process gets a whole new product...

Intel's 10nm- was terrible - way too ambitious and bad yields
10nm - Ice Lake, Stratix FPGA, etc - still relatively lower volume
10nm+ - Tiger Lake, Ice Lake SP (Xeon), Xe HP cards - HVM

So several iterations of 10nm right there. Not no sure Intel would be in 7nm any sooner - the 10nm process will be a short lived one - Full EUV 7nm coming in at the right time - Moving to EUV is not a simple thing - it is a fundamental shift in the most important processes in making semiconductors. The delay with 10nm allowed them to move forward with Cobalt - and not just small features, but an entire conductive layer - working with Cobalt is nothing like working with Copper.

Not sure how anyone can know "if everything went right" - Everything and right vary depending on who you are asking.
 

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True, but that's life. If AMD were run by someone less competent, perhaps they wouldn't have been able to capitalize as well on Intel's stumbles. Let's not forget what poor shape AMD was in, when she took over.

The real test will be whether AMD and TSMC can continue to keep up/ahead of Intel, as they bring their 7 nm online, and beyond.
Not really seeing where they have capitalized at Intel's expense. Su is not some master technician - she is a massive improvement over the dumpster fires that came before her. She is doing the fundamentals - which is a foundation that can be built upon and she has, I think she would also admit that the Ryzen and Epyc did not reach the market penetration that she had hoped for.

She has taken AMD from a dumpster fire running off the cliff of solvency and steered it back onto profitable territory for sure - but the server markets especially are entrenched - and quite a few people who had to clean up the Opteron ECC mess are now the ones determining what gets put in the data center. Still not enough revenue to generate the $$$ needed for real R&D.

Thing is - there will be a fundamental shift in the datacenter - large monolithic systems will be replaced with pools of CPU, pools of GPU, pools of FPGA. pools of Tensor/AI, pools of volatile and non volatile memories all cache coherent and connected with CXL - the various resource pools being added as needed. Only 1 company in the world that can deliver all of the above under 1 product line - and in the environment they most dominant in.

Would not be surprised to see a merger between Nvidia and AMD - would save either from possibly being in a 3rd place position. AMD would get an established best in breed GPU finally, and Nvidia would get a CPU. Duplication of R&D efforts would be eliminated - and a potential for significant synergy. Radeon would either be spun off or shelved completely - maybe bringing in / buying out right Xilinx and there could be something (~$20B market cap).
 

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I'm still not sure you're reading this correctly. What the high P/E reflects is investors' confidence in AMD's future performance.

It's fair to point out, but it doesn't necessarily mean they're overvalued, or at least by as much as you suggest. If you go back and look at historical market data, you'll find that P/E tends to be a leading indicator.
At some point AMD has to deliver... it has not so far - especially to a degree that justifies that price. I understand the market. That high PE also makes huge fluctuations more likely (40% in 1 day not too long ago), AMD has been relatively flat since Ryzen 1 Refresh. Not seeing the massive market penetration in the high end high margin lines. This is why I exited hardware stocks 15 years ago.

I am glad that people here understand the market well enough to not thing that AMD having a higher stock price than Intel means that AMD is bigger than Intel - i threw out that Nvidia is ~$300 per share - which shut down that line of reasoning. I need to stop doing Ambien and going onto WCCFtech. lol
 

Deicidium369

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The article acts like they can't google search to see what Bob Swan's compensation was for 2019, Pretty easy to see here in the first link it was 66.9M. Lisa is doing pretty well at a tenth the revneue of Intel that year. a few million off and if she continues to out execute, I would bet her salary will surpass that of the head of Intel. Lots of growth potential.
When will this growth happen? Intel's 10nm woes are in the rear view mirror - and will be releasing a ton of new products this year... The opportunity for massive penetration is over. She is doing the fundamentals well - but let's not get carried away and saying she is out executing. Thing with Intel's CEO having high pay - they have enough revenues to fund both a heavy R&D dept AND fund executive pay packages.

Su is infinitely better than the dumpster fires that preceded her. There is a lot to be said for executing the fundamentals - but that's what they are - fundamentals - they are the basic level of competency expected of someone in the C levels. Her pay is not that impressive - most likely some soft targets to reach to get a big payout... She has reached those soft goals (staving off insolvency most importantly) but I would bet that she is not happy with the level of market penetration achieved by Ryzen and Epyc - she had hope it would be much greater - achieving market share is probably the goal with the biggest payout of them all - that loot box has not been opened.

CEO pay to revenue is not a metric.
 

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Not sure how anyone can know "if everything went right" - Everything and right vary depending on who you are asking.
This is very revisionist history. Intel massively slipped on their roadmaps they had provided to investors, parners, and customers. It's only by good fortune that global demand remained strong enough for them to maintain healthy margins on their 14 nm products.
 

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Not really seeing where they have capitalized at Intel's expense.
Imagine Ice Lake had come on sooner, that it clocked higher, and that it could tackle the desktop. That was was supposed to happen years ago, and the fact that it didn't bought AMD enough time to get Zen2 into the market and iron out its various launch issues.

Su is not some master technician
So, you know senior insiders at AMD, or what? Because, how else would you know?

What we do know is that she got a Ph.D. in EE at MIT, and worked her way up through R&D. As tough as it is to get into MIT for undergrad, it's really their graduate program that's world class. Even to get in, you need to be more than just a smart cookie.

there will be a fundamental shift in the datacenter - large monolithic systems will be replaced with pools of CPU, pools of GPU, pools of FPGA. pools of Tensor/AI, pools of volatile and non volatile memories all cache coherent and connected with CXL - the various resource pools being added as needed. Only 1 company in the world that can deliver all of the above under 1 product line - and in the environment they most dominant in.
That's all a bit over-hyped, IMO. GPUs and CPUs want to be close together. Intel's big plans for Xeons with integrated FPGAs seem to have fizzled. They're losing money on Optane, and I'm not sure how competitive their NAND is, these days. Finally, I don't know if CXL is meant to work over an optical interconnect, but otherwise it's not the enabler for the disaggregation you're talking about. OmniPath was to serve that role, and it failed.

5-10 years from now, I can see you still pitching the same story as an explanation (mainly to yourself) about why Intel is gonna come roaring back, any day now. I'm not counting Intel out, but they face more competitive headwinds than ever before, not to mention the imminent loss of the Chinese market, as well as burgeoning Chinese competitors.

Would not be surprised to see a merger between Nvidia and AMD
I would.

AMD would get an established best in breed GPU
I think they think their GPUs are finally starting to catch up. We'll have to see Arcturus and RDNA2 to know if there's any truth to that.

Nvidia would get a CPU.
Nah, the Chinese are the only ones who want to get into x86, at this point. And that's just a stop-gap. x86 is the past - not the future.

Duplication of R&D efforts would be eliminated - and a potential for significant synergy. Radeon would either be spun off or shelved completely - maybe bringing in / buying out right Xilinx and there could be something (~$20B market cap).
I'm sure glad you're not in M&A.
 

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Imagine Ice Lake had come on sooner, that it clocked higher, and that it could tackle the desktop. That was was supposed to happen years ago, and the fact that it didn't bought AMD enough time to get Zen2 into the market and iron out its various launch issues.


So, you know senior insiders at AMD, or what? Because, how else would you know?

What we do know is that she got a Ph.D. in EE at MIT, and worked her way up through R&D. As tough as it is to get into MIT for undergrad, it's really their graduate program that's world class. Even to get in, you need to be more than just a smart cookie.


That's all a bit over-hyped, IMO. GPUs and CPUs want to be close together. Intel's big plans for Xeons with integrated FPGAs seem to have fizzled. They're losing money on Optane, and I'm not sure how competitive their NAND is, these days. Finally, I don't know if CXL is meant to work over an optical interconnect, but otherwise it's not the enabler for the disaggregation you're talking about. OmniPath was to serve that role, and it failed.

5-10 years from now, I can see you still pitching the same story as an explanation (mainly to yourself) about why Intel is gonna come roaring back, any day now. I'm not counting Intel out, but they face more competitive headwinds than ever before, not to mention the imminent loss of the Chinese market, as well as burgeoning Chinese competitors.


I would.


I think they think their GPUs are finally starting to catch up. We'll have to see Arcturus and RDNA2 to know if there's any truth to that.


Nah, the Chinese are the only ones who want to get into x86, at this point. And that's just a stop-gap. x86 is the past - not the future.


I'm sure glad you're not in M&A.

When you get a clue, and stop with the personal attacks I will respond.
 

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AMD is the great enemy, but I'll admit she certainly deserves all the compensation they can muster. She brought them back from the brink of doom to a pretty comfy spot.
 
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Yeah, managers monthly salaries in millions range and others?
Tomorrow when AMD, or any other company, is shaken a bit thousands will be laid off.
 
Thing is - there will be a fundamental shift in the datacenter - large monolithic systems will be replaced with pools of CPU, pools of GPU, pools of FPGA. pools of Tensor/AI, pools of volatile and non volatile memories all cache coherent and connected with CXL - the various resource pools being added as needed. Only 1 company in the world that can deliver all of the above under 1 product line - and in the environment they most dominant in.
What are you talking about??? Virtualization has already gotten right of the vast majority of "large monolithic systems." There are some companies that still buy them for specific needs like SAP HANA, however, more and more companies are going virtual for that as well. For GPUs there are only specific areas that need that and if you aren't in that area you will not get GPUs with your hosts. Same goes for FPGA & Tensor/AI. You are also crazy to think that only 1 company in the world can deliver all of it. Not to mention that having only 1 company will be a monopoly and innovation will come to a screeching halt.

Would not be surprised to see a merger between Nvidia and AMD - would save either from possibly being in a 3rd place position. AMD would get an established best in breed GPU finally, and Nvidia would get a CPU. Duplication of R&D efforts would be eliminated - and a potential for significant synergy. Radeon would either be spun off or shelved completely - maybe bringing in / buying out right Xilinx and there could be something (~$20B market cap).
That will not happen at all. No country's regulatory group would sign off on a merger. Your idea would make the GPU market a single entity and thus a monopoly. You cannot count on Intel to do anything in the GPU space since they have no track record in there since the 90s and those chips were garbage. Also Radeon is already competitive on price & performance with nVidia. You cannot say anything about the future products since we do not know how they will perform.
 

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