http://stockmarketbeat.com/blog1/2007/02/21/amd-advanced-micro-devices-needs-the-market-bartender-to-cut-them-off/ Our beat: The stock market. Our job: Beat it. Mon, 01 Dec 2008 22:31:43 +0000 http://wordpress.org/?v=2.2.1 http://stockmarketbeat.com/blog1/2007/02/21/amd-advanced-micro-devices-needs-the-market-bartender-to-cut-them-off/#comment-53148 INTC: Intel Should Beat Estimates | Stock Market Beat Tue, 16 Oct 2007 20:50:13 +0000 http://stockmarketbeat.com/blog1/2007/02/21/amd-advanced-micro-devices-needs-the-market-bartender-to-cut-them-off/#comment-53148 [...] the first companies to over-order, the first to see the damage it did to their margins, and the first to announce cuts to planned expenditures, it should surprise nobody if they are the first to recover as [...] […] the first companies to over-order, the first to see the damage it did to their margins, and the first to announce cuts to planned expenditures, it should surprise nobody if they are the first to recover as […]

]]> http://stockmarketbeat.com/blog1/2007/02/21/amd-advanced-micro-devices-needs-the-market-bartender-to-cut-them-off/#comment-25848 AMD to Private Equity: Pick Me, Pick Me! - Stock Market Beat - Our beat: The stock market. Our job: Beat it. Fri, 20 Apr 2007 22:36:34 +0000 http://stockmarketbeat.com/blog1/2007/02/21/amd-advanced-micro-devices-needs-the-market-bartender-to-cut-them-off/#comment-25848 [...] We think investors are reading too much into this in the wake of the Linear-inspired giddiness. Linear actually had the cash to do half its buyback and tons of cash flow with which to finance the remainder. AMD, by contrast, is running out of cash - which is why it needs capital in the first place, public or private. Turning to the more mundane task of sifting through the mess that is AMD’s financial statements, inventories managed to grow 15% sequentially and have now nearly tripled on a year/year basis. They can cover 106 days worth of sales with what they now have on hand, but remember - the value of the inventory on hand declines almost daily. “Deferred income on shipments to distributors,” also known as “channel inventory,” would cover another 20 days. Forget “asset light” - AMD shouldn’t need to spend another dime on capacity for some time. [...] […] We think investors are reading too much into this in the wake of the Linear-inspired giddiness. Linear actually had the cash to do half its buyback and tons of cash flow with which to finance the remainder. AMD, by contrast, is running out of cash - which is why it needs capital in the first place, public or private. Turning to the more mundane task of sifting through the mess that is AMD’s financial statements, inventories managed to grow 15% sequentially and have now nearly tripled on a year/year basis. They can cover 106 days worth of sales with what they now have on hand, but remember - the value of the inventory on hand declines almost daily. “Deferred income on shipments to distributors,” also known as “channel inventory,” would cover another 20 days. Forget “asset light” - AMD shouldn’t need to spend another dime on capacity for some time. […]

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