Is Advanced Micro Devices Stock a Buy?
In spite of a global chip shortage and soaring sales, Advanced Micro Devices' (NASDAQ: AMD) stock price has declined by over 21% from all-time highs registered in mid-January. The tech stock sell-off has taken a bite out of this fast-growing semiconductor name, and even a stellar first-quarter earnings report wasn't enough to rekindle investor optimism.
AMD may not stay down for long, though. Armed with a revamped lineup of microchips and picking up steam across its product portfolio, this looks like a solid buy as it continues to make inroads against its peers.
Executing a successful turnaround story, especially in the technology universe where innovation is a constant and never-ending battle, is easier said than done. But that's just what AMD has done. More than a decade removed from the spinoff of its chip manufacturing segment GlobalFoundries, years of research and development is starting to pay off. Sales have been up across the product portfolio for PCs, laptops, and data centers as AMD makes hay while Intel (NASDAQ: INTC) has stumbled as of late. And Microsoft's Xbox Series X and Sony's Playstation 5 selling like hotcakes was also a positive as AMD provided custom circuitry for both next-gen video game consoles.
Source Fool.com
