AMD Had a Great 2013, Even With the PC's Decline

AMD (NYSE: AMD  ) , like its rivals Intel (NASDAQ: INTC  ) and NVIDIA (NASDAQ: NVDA  ) , depends on the PC market for much of its revenue. Although 2013 was a year of contraction for the traditional PC industry, AMD was able to handily beat the market, with shares rising more than 50%. The gain was primarily fueled by a stream of improving quarters, with AMD finally reporting a profitable quarter in October.

In the following video, Fool contributor Sam Mattera briefly summarizes AMD's year, explaining how the company was able to outperform in 2013 despite disappointing PC shipment data. AMD's push into providing chips for devices other than traditional PCs helped fuel AMD's gain, even as the company's products continued to be outsold by Intel (in PC chips) and NVIDIA (in graphics cards). Sam explains that 2013 was a great year for AMD shareholders, and the company's ongoing transition appears to be going successfully.

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Read/Post Comments (7) | Recommend This Article (2)

Comments from our Foolish Readers

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  • Report this Comment On December 19, 2013, at 2:38 PM, KenLuskin wrote:

    The future of computing is about GRAPHICS.

    AMD's high end GPUs are sold out!

    Apple's Mac Pro uses 2 AMD professional graphic cards.

    AMD's MANTLE API is being adopted by all the top Video game developers. Mantle only works on AMD chips.

    BOTH Qualcomm and ARM are trying to beef up their graphic IP.

    Facial recognition, video optimization, gesture User interfaces, voice UIs,.. you name it.. It ALL requires heavy parallel processing= GPU power.

    2014 will be a HUGE year for AMD!!

  • Report this Comment On December 19, 2013, at 4:19 PM, bluesky64 wrote:

    Sam,

    Not bad. I have a price target of $5.25 Feb 2014 and $ 10.75 Dec 31 2014. Currently AMD has 17 analyst with sell or strong sell as this next quarter beats the street expectations these analyst will be tripping over themselves upgrading and buying in. All this action should causes a short squeeze from the 130 Million shares short. Pushing AMD over $ 4 and then the new 2014 401 money will be put to work on swinging for the fences. As AMD price appreciate past $ 5 Institutional buying should be another great catalyst helping AMD stock price on their way. That's how I see it. Fool on

  • Report this Comment On December 19, 2013, at 4:50 PM, bluesky64 wrote:

    Sam,

    There are to many area AMD is kicking -ss. One I must bring up is cyber coin mining. This trend will only expand and AMD products are very important components to the process. Bottom line the tech sector is expanding with more and more AMD parts are needed. AMD will benefit and grab market share with superior components. Not to mention server farms AMD.

  • Report this Comment On December 19, 2013, at 6:19 PM, roguesisland wrote:

    If AMD had a great year [with it's corresponding PC market share declines] then Intel had a stellar year [incl. it's increasing PC market share, at the expense of AMD]

    Stop the phony BS!

    Low margin is all I have to say, and lower market share, doesn't equate to a "great year."

    And by no means is graphics the future of computing, that statement is utter nonsense.

  • Report this Comment On December 19, 2013, at 9:44 PM, Evilwake wrote:

    Graphics are the future in my line of work i do video editing for a living and my Fire Pro Graphics card can edit videos 10 times faster then any cpu that Intel has even there there server cpu's.

  • Report this Comment On December 20, 2013, at 4:18 AM, bluesky64 wrote:

    Sam,

    Here are two great articles that will fill in some additional facts.

    http://seekingalpha.com/article/1909001-nvidia-why-oppenheim...

    http://seekingalpha.com/article/1908931-amd-leaks-reveal-a-d...

    Please feel free to comment thanks

  • Report this Comment On December 23, 2013, at 9:12 AM, kjurden wrote:

    AMD is set to soar....Short beware!

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