Advanced Micro Devices (AMD) Recap: Shares Up 5.83% in Week Due to Growth Catalysts

Advanced Micro Devices (NYSE:AMD) announced a new, “ambidextrous” strategy that would allow it to offer chips that include circuitry it developed as well as those made by other companies, reports the Wall Street Journal.

Recently, after Advanced Micro Devices (NYSE:AMD) reported revenue for its December quarter that was slightly below the consensus estimate, Wells Fargo was nevertheless pleased by what it believes are the company’s increasing share of the server market and improving 32nm yields. The firm maintained an Outperform rating.

Earlier in January, Advanced Micro Devices (NYSE:AMD) announced it will release its Trinity-based platform for the ultrabook market in June with a cost that is 10%-20% lower than Intel (NASDAQ:INTC), according to Digitimes.

To kick off 2012, Advanced Micro Devices (NYSE:AMD) announced that Rajan Naik, 40, joined the company as senior vice president and chief strategy officer. He will report to president and chief executive officer Rory Read. Naik, who was most recently a Partner in McKinsey & Company’s Technology practice, will be responsible for AMD’s short- and long-term strategy development, including market opportunities, strategic partnerships and investment strategies.

In its recent earnings report, Advanced Micro Devices AMD reported adjusted net income of 19 cents per share. By that measure, the company beat the mean estimate of 16 cents per share. Analysts were expecting revenue of $1.72 billion. Also, AMD’s revenue has now risen for two straight quarters. In the third quarter, revenue increased 4.4% to $1.69 billion from the year earlier quarter.

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com