Advanced Micro Devices: Has the Stock Reached Its Peak?
Chipmaker Advanced Micro Devices (NASDAQ: AMD) cruised its way to the top in 2019, with the stock up nearly 150%. Since the start of 2020, the chipmaker's stock continues to advance, with its shares reaching an all-time high of $52.81 in January.
Propelling AMD's extraordinary growth in 2019 was its progress in gaining additional market share, roughly 5% year over year, from long-term rival Intel (NASDAQ: INTC) and a rise in its graphics card business. Although these catalysts show promise, the stock is trading lower after reporting fourth-quarter earnings on Jan. 28.
What are the differences between a chip, a processor, and a graphics card? A graphics card facilitates the display of images from computer data. It's different from a chip, or a microchip, which is a wafer of semiconductor material that stores the processor and the memory unit called Random Access Memory (RAM). The processor is the central processing unit, considered to be the "brain" of the computer.
Source Fool.com
