No matter what's going on in the market or a specific company's history, there are always reasons to consider buying shares in a business. After all, some of the best opportunities in stocks are born from historically bloody times.
Motley Fool CAPS hosts a boatload of opinions from more than 120,000 members on nearly 5,400 stocks, giving good reasons to own -- or sell -- a stock.
In the case of computer microprocessor maker Advanced Micro Devices (NYSE: AMD), a total of 3,141 members have given a bullish or bearish opinion on the company. Scouring the detailed information packed in pitches and other comments on the company, here are three of the top reasons to buy AMD today.
1. New chips
AMD recently unveiled its new Shanghai line of processors, which use an advanced 45-nanometer manufacturing process, bringing the company up to speed to compete better with rival Intel (Nasdaq: INTC) and address all those intensive Microsoft (Nasdaq: MSFT) applications. Dell (Nasdaq: DELL) and IBM (NYSE: IBM) are already upgrading to Shanghai in some of their servers.
2. Turnaround play
Shares in AMD have been absolutely hammered over the past year, knocking the company into small-cap status. But AMD delivered a profit from continuing operations of $0.07 a share in its most recent quarter, much better than its previous losses. Gross margin grew from 41% to 51% for the quarter, and its graphics division had a 55% sequential gain in sales, suggesting that the ATI deal is starting to pay off, and giving some stronger competition to NVIDIA (Nasdaq: NVDA).
3. Leaner and more competitive
The company recently spun off its manufacturing plants into a joint venture with the United Arab Emirates' government, allowing AMD to have a tighter focus. Texas Instruments (NYSE: TXN) was successful with a similar decision a few years ago, and the move also strengthens the company financially, netting some fresh capital and relieving it of some long-term debt.
Of course, there's a lot more devil in the details of these buy-side opinions, which is why CAPS is such a great resource to read the bullish and bearish sides to every stock. To see what the very best CAPS members are saying now about AMD, just click on over to Motley Fool CAPS and have a look.
More Foolishness:
Closed for 15 months – opening 10 days only! Get notified ahead of time as our expert portfolio manager invests $1 MILLION in the best opportunities from across The Motley Fool’s premium investment services. This is the first open since August 2008, by invitation only. Enter email below.
Terms & Conditions
RSS Headlines
Fool UK