Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Why Traders Are Keeping a Close Eye on Advanced Micro Devices, Inc. (AMD) Today

Advanced Micro Devices, Inc. (NASDAQ:AMD) is in the spotlight today due to Apple Inc. (NASDAQ:AAPL) announcing that it will drop the use of Imagination Technologies’ IP in 15-24 months. Instead of using Imagination’s services, Apple has implied that it might use its own in-house graphics technology. The news is relevant to AMD because some traders fear Apple could eventually do the same for GPUs in MACs and potentially cost AMD market share.

With that being the case, Advanced Micro Devices, Inc. (NASDAQ:AMD) shares are actually modestly in the green today as the market apparently isn’t too concerned about the possibility. Many traders still believe the odds of such event to be low. As it currently stands, AMD and Nvidia laptop GPUs are still top-tier.

What Does The Smart Money Sentiment Say?

At Insider Monkey, we’ve developed an investment strategy that has delivered market-beating returns over the past 12 months. Our strategy identifies the 100 best-performing funds of the previous quarter from among the collection of 700+ successful funds that we track in our database, which we accomplish using our returns methodology. We then study the portfolios of those 100 funds using the latest 13F data to uncover the 30 most popular mid-cap stocks (market caps of between $1 billion and $10 billion) among them to hold until the next filing period. This strategy delivered 39.7% gains over the past 12 months and outperformed the 24.1% gain enjoyed by the S&P 500 ETFs. Our enhanced small-cap hedge fund strategy returned more than 45% over the last 12 months and outperformed SPY by more than 30 percentage points over the last 4.5 years (see details here).

According to our data, hedge fund sentiment around AMD was mixed in the fourth quarter. Although the number of elite funds holding shares fell by 15 quarter-over-quarter to 32, the amount held increased to $857.62 million from $644.56 million. Kenneth Tropin‘s Graham Capital Management was one of the bulls, increasing its stake by 305% to 40.5 million shares.

The Bottom Line

Traders are watching Advanced Micro Devices, Inc. (NASDAQ:AMD) after Apple Inc. (NASDAQ:AAPL) showed some of its muscle, announcing that it will eventually in-house certain services it currently derives from Imagination Technologies. For those of you interested, also check out, the 7 Best Nanotechnology Engineering Schools in the World.

Follow Advanced Micro Devices Inc (NASDAQ:AMD)
Trade (NASDAQ:AMD) Now!


chip, micro, cpu, processor, black, logic, board, closeup, network, matrix, program, printed, green, white, future, central, compact, micron, data, nanometer, digital, cyber,

Joao Virissimo/

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
This is a FREE report from Insider Monkey. Credit Card is NOT required.