SourceWe are cutting our 12-month target price by $8, to $9, following changes to our model and risk analysis. We now expect an 2008 loss per share of $1.46, widened from our previous estimate of $1.41, on projected slower margin recovery. We believe AMD has not executed well on the launch of new chips and may continue to face problems executing technology and profitability plans given financial problems and formidable competition from Intel (INTC) and NVIDIA (NVDA). But AMD shares have fallen 60% year to date, and now trade at what we view as a low valuation. /C. Montevirgen
AMD is trading at $7.07 now, which is down 5.73% for the day.