AMD

lOo_ol

*"Data centers look a lot like they did 20 years ago"* They do not. The cost of 1GB of enterprise storage was about $200 in 2005 vs. $0.01–$0.02 with AWS or Azure, which aren't even the cheapest. An Intel Xeon had a Passmark score of 2,000 in 2005 vs. AMD EPYC 9755 scoring 160,000 today. It's just that we demand much more from it, but implying that no progress has been made in 20 years is crazy.

piszczel

They're still competing with AMD and their margins are 70%. It's fine.

VanCityPhotoNewbie

What do you describe as "Big AI companies"? Because if you say OpenAI, I would stay cautious about them. OpenAI has made 1.4 Trillion dollars in infrastructure promises in a 5 year span to Nvidia, Microsoft, Oracle, AMD, Broadcom, Coreweave (and many others). That doesn't include the energy infrastructure that would cost even more than the 1.4 trillion dollar data center costs...... I cannot see these promises being fulfilled or Nvidia's future orders actually going through. OpenAI just does not have that sort of money. **And if OpenAI cannot fulfill their obligations, then it has a massive chain effect.** OpenAI does not fulfill their 5 year obligations, each company will be behind or lacking orders. That means reduced revenue for all mentioned companies and greatly extend the length of time for investors to see any profitability in AI.

piszczel

I have a hot take on the circular funding everyone is talking about: there's nothing to worry about. It's the same companies investing in each other because there's nowhere else for money to go. If you're Nvidia, you're swimming in cash. You invest into openai because that's the biggest potential ai company that's not gone public. If you're openai, you need hardware and software. There's nowhere you can get it with quality and scale but Nvidia, amd, oracle etc. There's literally nowhere else for this money to go. If you need GPUs you go to Nvidia or AMD, period. If you need software, you go to Microsoft/oracle etc. there's like 10 companies in the world that make this stuff. There's no real choice.

bfreis

So you talk about profit and premium as if they meant the same,and yog talk about AMD and AMC as if they were the same, and what you get from the interaction with that guy is finding a way to correct a word they misspelled? You should really think about the garbage you're writing before doing that...

Key_Lifeguard_8659

I'm looking to hold the stocks... AMD, GOOG(L), and AMZN. What price (GOOG) do you recommend for entry? I'm patient, have alerts set up on Schwab but may have set them too low @ $225.

Smooothoperat0r

Sadly no I missed the AMD run because I couldn’t ever really see why I should own it instead of nvidia. Now PANW I have been eyeing for a long time ever since that Pelosi or some other congress person entering but sadly haven’t entered it either. Hope it works out for you. Good luck.

Glock7enteen

I don’t think people understand just how much power Nvidia really has. AMD has a profit margin of 10% on their chips, and even then they can’t keep up with Nvidia in terms of most. Whereas Nvidia has profit margins between 45-75% depending on the chip. Even if AMD somehow manages to catch up several years from now, Nvidia has more than enough room to drop their prices and AMD wouldn’t have a chance to outbid them.

AngryGranny1992

Yeah for sure. In my tfsa I have about 7% of my portfolio in AMD.

Unclebens90sec

It is NOT a meme stock. It's a turnaround story in the making. I was right when I bought into $AMD under $2, and I'll be right about $OPEN when I bought in around $2.50.

raionraion

My best “player” has been AMD, followed by AMZN, MSFT and QQQ

dontkry4me

Thank you for reading and great question! Nvidia may hold its near monopoly for a while, but competition (for example AMD) will inevitably compress margins. If margins and therefore prices fall, it raises the question of whether the massive spending on Nvidia’s chips at near monopoly prices was justified, especially given how quickly they become outdated. If hyperscalers end up writing off those sums, the bubble could burst. I do not really see a non-traumatic scenario as this capex bubble inflates so incredibly fast…

Kitty_Katzchen

AMD

-IQ200

If you want the shovel seller, it should be TSM. AAPL, NVDA, AMD & TSLA rely on their chip manufacturing capability. 👀

Kitty_Katzchen

AMD next stock split

Beginning-Job2050

Solid picks all around, id definitely size up on AMD, lots of room to grow even if they only pick crumbs from NVIDIA

Shilooooooooooooooo

Well that’s sort of what I was studying when I looked at it. Some of the people commenting this are saying it’s not going to hit strike price… I don’t think it will either. BUT, like you said, you still profit the closer you get to strike. AMD going up $6 will profit $150. The fluctuate up and down daily. No chance it doesn’t rise $6 a month from now?? Am I looking at this wrong?

VanCityPhotoNewbie

>**NVDA customers and their financial capacity** Many of Nvidia’s largest hardware customers rely on debt financed data centers or external financing structures. Their ability to continue purchasing at scale depends on interest costs, refinancing, and lender demand. I think the biggest issue right now is looking us straight in the eye. OpenAI has made 1.4 Trillion dollars in infrastructure promises in a 5 year span to Nvidia, Microsoft, Oracle, AMD, Broadcom, Coreweave (and many others). That doesn't include the energy infrastructure that would cost even more than the 1.4 trillion dollar data center costs...... I cannot see these promises being fulfilled or Nvidia's future orders actually going through. They just do not have that sort of money

Eazy-Eid

Swap your weighting of NVDA <> AMD

juzz88

Brb buying more AMD and NVDA shares.

foragingfish

Both strikes are very likely to expire worthless. You would need quick movement in your direction and to get out fast to have a chance at profit. You can estimate the price movement by looking at the other strike prices. This expiration has $5 wide strikes, so you can reasonably estimate that if AMD goes up $5 then the price of your options would match the next lower strike. 290 : 3.30 to 3.85 gains $55 330 : 0.61 to 0.68 x5 gains $35 This is very back of the envelope calculations. Keep in mind that this assumes no theta, which will not be true. You can expect actual results to be lower. Also, if the stock price rises there is a good chance that IV will contract meaning even less gains than predicted. You can look at it in the opposite direction too.. If AMD drops $5 then you can expect your $3.30 290 call to be priced at $2.63

thekoonbear

There’s no “better” contract. They have different characteristics. For starters, the basics of it are that if AMD is at $300 on 12/12 the $290 call will have made you $670 per contract and the $330 call will lose you $72 per contract. Depending on delta you may be longer delta by buying 5 330s than the 1 290 for now, but over time without a large movement that’ll go the other way. At the end of the day assuming you’re just trading directionally decide if you want more delta now, or you’re trying to predict the price on 12/12.

Mobile_Engineering79

AMD is worth $240 to get to 330 of the strike you have to make 35% first, you throw the money away. Even 290 is not good.

Shilooooooooooooooo

I did mean AMD, that’s my fault

SDirickson

Since ***AMC*** closed at $2.28 on Friday, I assume you meant ***AMD***. Option premiums are a function of how likely the market thinks it is that the underlying reaches price X by date Y. Not surprisingly, the market thinks it's more likely to reach the lower price, so the premium is higher.

c4plasticsurgury

I buy the stocks of products that i use. APPL, NVDA, AMD, CELH, YUM, COST, etc... I don't invest in the little things that i use but the big things that I have faith in. At the end of the day tho i only play with like 10-20% of my portfolio for individual stocks.

IHadTacosYesterday

I love some GOOG, AVGO and NVDA. Do you have some AMD and PANW too? Those are my Fab Five.

MagnesiumKitten

Iren, nbis, cifr, Coreweave not **that** popular Iren (Australia) - Financial Services - it's considered a poor stock right now mediocre profitability note that it's only been profitable 1 out of the past ten years - big fat red flag good growth it's got a few severe problems and the valuation is insanely overvalued - 97% of people would have sold it off in the past two months Iren is a $10 stock, currently at $46 dollars 474% overvalued a few weeks ago And a high risk company - most definately and gross margins are declining Not a lot of analysis on it but 12 analysts and some of them are thinking 67% growth in the next year which has happened in the past month **Iren is a bit of a freaky pick like Rolls-Royce,** high-risk and massively overvalued yet people keep driving the price up, but at least Iren has a instant and massive peak where Rolls only seems to move massively when there's like a 10% improvement in growth a third of the time. It doesn't decline, but when it does 3 or more years from now, it'll be news. Iren for the life of me I don't understand the big interest in it, and why some feel it's going to keep going high eventually though with a couple of spikes. fascinating stock though! low-cost renewable energy in Australia and then went from bitcoin mining to AI and datacenters **so weird** Pivot to AI and Cloud Services: The company's transition from the volatile crypto mining sector to the high-demand AI infrastructure market has been the primary driver of investor enthusiasm. Massive AI Contracts: IREN has secured significant, multi-year contracts with major tech companies Acquisition of High-Demand GPUs: IREN has made large purchases of Nvidia and AMD GPUs (Graphics Processing Units), such as the H100s, B200s, and MI350Xs, to build out its AI cloud capacity Strong Investor Sentiment and Analyst Ratings: News of major partnerships, increased revenue projections, and capacity expansions have led to a surge in positive market sentiment, high-volume trading, and numerous price target upgrades from Wall Street analysts, many of whom rate the stock as a "Buy". Hybrid Business Model: The company's unique blend of existing, profitable Bitcoin mining operations (which generate cash to fund AI expansion) and its growing AI Cloud segment offers a unique value proposition and a path to more stable, high-margin revenue streams. it's crazy but it's interesting like some circus freak show, bitcoin meets Data Centers like Coinbase meets NTT Data of Japan

Limp_Incident_8902

Did AMD get added, I feel like it was t there last time.

AdElectronic4539

Bro who is gonna hate you for making peanuts 🤣 the hate comes when someone makes real money lol. Those profits are just basically me doing my TSLA or AMD daily swings with 1-2k shares lol

Live_Bluejay7335

half in [bank.to](http://bank.to) for safety and half in Amyy for sweet divs and nav growth. AMD is going places imo.

organicMango_

On wednesday jensen will announce 1 Trillion investment in AMD, and Lisa 1 Trillion investment in Nvidia.

m0nk_3y_gw

> I am confident amd is not going to go -10% in 2 years time. I'm not. AMD went -10% from Oct 9th-10th. And again from Oct 29th-Nov 7th. March 2024: $200 13 months later: $80 I would be completely unsurprised if it had a drop of 30% (back to fill the gap at 180) within the next 3-12 months. things to consider: - you have 4 deep ITM options expiring next week. I've been there. I was surprised when they were exercised early. If you have tax concerns plan to roll Monday if they haven't already been called away. - in the future consider rolling up and out sooner, or closing sooner at a smaller loss. Close before binary events (like earnings). Another option when it is close to breaching your strike is to buy 100 more shares and make sure your tax lots are configured so that your higher shares are called away (smaller taxable event). Also consider the TastyTrade-ish idea someone else mentioned - on up days sell 45dte calls at ~30 delta. Set an order to rebuy them at 50% profit and forget about it, until it is 21 days to expiration - rebuy at profit or loss, and sell again on the next up day, 45dte

ayashifx55

How theee fckk did AMD just lose all gains lmaoooo

Bannedfrompopeyes

Good luck for earnings next week! I’m a big shareholder of AMD, and I root for Nvidia to continue to grow exponentially well to cultivate the chip industry into a genuine beast for the future. Your strategy is not only interesting but also pretty dang smart. Depending on how long you’ve held you could be up 30% this year, or like 1,300% if you’ve had it for 5 😮‍💨 And yes, the market leans on Nvidia a lot; more than most realize. In reality, if you’re in big tech you’re somewhat invested in Nvidia regardless of if you own shares or not; because it can and will move the market.

CEOofBeanz

AMD sell off before market close is not cool

wave_action

Busy watching SPY / SPX but AMD puts paying out right now

Bannedfrompopeyes

I’m a big AI nerd, it’s a genuine addiction for me… That being said, it is not as black and white as “supply and demand.” It’s a large piece of it but as companies all race for their AI needs to be met, and as of rn the hype is outpacing the actual market in some sense. This is different than the Dot-Com bubble, sure. But, companies with negative earnings still can get smacked. Or when a company has a P/E so high like Palantir it simply should correct for the benefit of its long term profitability… AI is the future and more than most believe (imo), but that doesn’t come with flaws and weird moves that could hurt our market. I have yet to hear Open-AI’s Sam Altman on how we will pay for all of this shit he is doing. Seriously, I am a noob; so correct me if/when I’m wrong! But genuinely who is going to be the one to bail them out if all goes to crap? This is coming from someone heavy in AMD. I am cautious of the next few months ahead of us, because the insecurity and inconsistency is not only apparent but is barking like a dog… I use Chat GPT everyday, I even have the $20 a month subscription! It is genuinely something I see as more revolutionary than the early 2000’s cell-phone and laptop renaissance. But, what happens when AI takes a bunch of middle-class American jobs? Amazon laid of what? 14k people plus another 15k more projected because of their AWS growth? I mean that cannot be good for not only working people, but for our economy and society. AI is an economic propeller with potential side effects that are potentially deadly… If you let the wrong people with the wrong strategy push AI as hard as possible into our country to “keep up”, I assure you will see some real unfortunate fallout. AI is potentially not a “bubble” but the wave has been surfed for years on this new revolution. It is getting time where tech is treated harsh in comparison to other sectors, good news is received with less applause, bad is met with more scrutiny. We can sit and argue if this is a “bubble” but I find it undeniable the majority of genuinely heavily invested people aren’t a bit worried about this upcoming December - March. I know a lot of people called this out, but supply and demand isn’t one of the biggest factors that drive tech stocks up or down… Supply and demand can be phenomenal to the 10th degree, but if a company like Palantir is at a P/E of 412.14 based on Google; even great news can screw them like their Earnings Report. You can’t just look at the sector itself, but think about how priced in it may be relative to its current profitability and stability. It’s not crazy to say this bull run isn’t over, I tend to agree. But to say that 2026 and the tech industry for next year isn’t a nerve wracking thing to observe, you need to be a little blissfully ignorant. I think ego is something I find to be a pet peeve of mine, especially with investors or market analysts. I know that I don’t know what will happen in the coming month; or if AI is truly a “bubble” by definition. But, I do know when a market is starting to get hairy and priced in. Or when I see a CEO like Sam Altman with his hands so integrated with big tech, and I wonder about how this money will be… Idk… Manifested? Please someone enlighten me why I am wrong, but something here is fishy; and we may see a future down the line where people like Altman get bailed out like banks did in 08’… Thanks!

myboywears

Close today $675 - $677 and open run to $682 by end Monday with a close of $680 - $681 end of day. Flat Tuesday and flat most of Wednesday, with AMD & NVDA having IV spike Wednesday because of earnings after hours (buy calls to sell before close). NVDA reports stellar earnings, but still falls, only to cross over $205 a few days later and reach $215 by first week of December.

Throwie227

Most of these are outdated now for big gains, but Hubspot, Nvidia and AMD were my biggest gainers that I felt safe on

Bannedfrompopeyes

I wouldn’t beat yourself up too bad… These have been some of the worst weeks we’ve had in a long while, I’d suggest looking into more medium to long term holdings if it genuinely stresses you out too bad. And for perspective, AMD is actually a good company to have (imo). A company where you could “set and forget” for years and come back likely quite happy. It seems like you sold a volatile rocket ship (red & green) for a more conservative “hammer and nails” chip manufacturer. That being said even chips get volatile, like you know. Unless you’re worried about the market having a serious correction (December-ish - February) which is a genuine concern, I’d say diversify into the sectors and companies you like the most and simply hodl… Despite what some people have commented, you aren’t crazy or selfish for thinking this way. But, short term trading requires in my opinion a lot of research unless you are hinging your trades on luck and “vibes.” I think the market is what one makes of it. The market can be the key to cumulating generational wealth, retiring early, buying freedom in your life, buying capital (property, vehicles). But, also check out the Wall Street Bets subreddit too. You will see some of the craziest gains and losses ever from people leveraged to mars on stock call options and puts. Guys there would laugh at the fact you think a -4% loss is bad, that sub is the true “casino” of the market. What I would say is this… Feel free to message me if you have any questions, I’d like to hear about what strategy you may want to have trading. For some they’re young and trading for a side hustle, perhaps in their 20s-40s simply trying to make a profit from flips. It is different to be 55-75 and looking to finally retire, or build generational wealth to pass down to your children. Everyone has their own unique strategy based on their: risk tolerance, goals, age, personality, what sectors they believe in or don’t, etc. I just realized I yapped like crazy so I will end with this… The market is a casino for those who see it that way. The market can be a chess game where you simply make moves based on your best knowledge, and understanding losing is a simple part of it sometimes. Understanding that if you’re truly losing 100% of the time, it may not be a market thing but a ‘you’ thing. The best investors I know are the ones who do the genuine research for each buy, and sticking by that even in tough times. The ones that can emotionally detach from volatility, but understand the genuine macro situation (good or bad). Everyone has bad times, even the best of the best. But the ones who often get burnt the hardest are the ones who see the market as a “money printer.” I can respect the gambler because they often understand the risk, but I fear for those who act superior because they’re temporarily winning. I have developed an investing mentality I call the “Kenny Rogers.” As he says, “know when to hold em’, know when to fold em’, know when to walk away, and know when to run.” Also, “never to count your money when you’re sitting at the table.” It ironically comes from the song ‘The Gambler.’ But I still don’t treat the market like a rigged casino, I see at as a chess match where you hold the power in what moves you make. I see your last line about YOLO calls lmao. I respect your move, but know that if you ever want to join the more boring side of the club; I’ll be here as a resource. I get genuine enjoyment from helping others in the market if possible, and I’ve seen some great and not so great days (believe me). If your calls go to the moon, I hope you come back and tell us how stupid and gae we’re. 🤣😭

Batmanforreal2

Sold my AMD time to scoop up lower

ayashifx55

AMD opened at like 236 lol

MrObviouslyRight

Over 2 decades in the NYSE/Nasdaq... and I've even commented on Enron on this post. I've also written about AMD for years, on reddit and other platforms... writing articles asking people to buy when it was single & double digits (you can see the posts in my profile). There's a slight yet important difference between Trump and Musk... in contrast with Karp. Karp is not a convincing person when challenged. He even admits it during this interview. He's absolutely aware he can't build convincing arguments... so he misdirects. Trump and Musk are sales people. Karp is not good at selling anything. He's just a mouthpiece... and his job is to misdirect, cause PLTR siphons money from the US tax payer, without providing any tangible results. He brags about the military, without showing any results. Iraq, Afghanistan... and the Houthis?... Did he serve in the military?... NO. He's a shyster from New York, who studied law. He knows nothing about AI, nor engineering, nor software design and development, etc. Yet he portrays himself as an AI expert. He's completely unqualified, so he needs to misdirect. He twice mentioned "*welders, plumbers and truck drivers*" during the interview... pretending to care for them, clearly confirming he's using talking points to create a pseudo-populist stance. Karp got a PhD in Germany. He's got nothing in common with the cohort of people he pretends care for. Tesla is the #1 EV company in the Western world, with the potential for full autonomous driving. Palantir is a government contractor involved in non-kosher activities. It's NOT the same. These people are trying to convince us that we must give them more money to keep us safe. The truth is, they are a menace.

pixelatedCorgi

Timed some AMD CCs perfectly. 5 255Cs expiring today a couple weeks ago for $1k each. Bought them back this morning for $5 each

TheoryInttro

Nice to see Nvidia dragging AMD with it into green. Why'd you guys leave google behind tho?

TechTuna1200

For US. My biggest position is RDDT. 60% growth yoy, gross margin 90%, profit margin 24%, 2B netcash, forward PE around 50. Capex only 2.1m (yes, you heard right). Other than that, for US, I have other high-beta / small cap names that have fallen substantially in the last 6-18 months, like CHYM, ZETA, and Unity. My idea is that they are gonna do very well in a low-interest environment. Whether it interest is gonna drop a bit slower doesnt bother me. I can wait. Also have a lot of AMD (cost 123 USD) and coinbase (cost 175). I'm thinking about selling out of my Coinbase. Also bought Pins before earnings, which was a mistake, but I believe in it long term. For Taiwan, I had TSMC, but I booked 100% profit recently. Can it go much further? most likely, but I don't care. Have to take profit at some point. For China stocks, I'm in BABA, JD, BIDO, Byd, NIO (6 USD cost average). BABA is my biggest position and very interesting with it's cloud service, it's basically like investing AWS at ground level. . For Danish stocks, I have Novo and Zealand Pharma. Not doing the best, but I think there is gonna be a rotation to health around the midterm election, where Trump is gonna become a sitting duck and can't threaten the pharma companies as much. My performance the last 12 months is 50% with Reddit being the biggest driver of my gains. YTD has been so-so with around 5% gains

BaronDavis12

Yes! 15%+ days for AMD, IREN, ASTS, RKLB, OKLO, CLS incoming! 

hsuan23

Same with blue jays going last to AL pennant. It probably would be Apple with the iPhone 17 launch and AMD from being battered to 80s to where it is now.

codecrackx15

Alternatively... OpenAI has no chance of surviving and AMD had tied themselves to them. Meanwhile, Intel is outside the AI arms race and computers will still rely on Intel chips after the AI bubble inevitably bursts. That makes Intel a good stock to buy now IMO.

Ok-Sandwich-7960

https://preview.redd.it/h1ml0i6j491g1.jpeg?width=1206&format=pjpg&auto=webp&s=5ffbaaa113f6a1efbfd816d1ae2ba7ca8c6e25de Even WORSE missing AMD cheaps with ms I talk to cheap bird brain #QQQ

zhouyu24

AMD is about to remind you of its second name.

jvolkman

I bought AMD and it's +418%

Fuck_You_I_Win

AMD is about to buy me a new NVDA Guy

Ok-Flatworm-3397

The best thing about this is you’re young and have so much time to learn from this. 5yrs from now you’ll never remember this but you’ll have to learn from this to get there. iPad makes more money than AMD and you’re buying 40 short dated put options. The bubble is in OpenAI stocks and Apple isn’t a part of that

LordJamPunt

You bought AMD while it was riding high and a you’re surprised it fell back 4 points? Get to know how the market moves before you buy

TheGraeme95

That's it AMD, back up you goooo

myboywears

In my personal opinion: HOOD 130C 12/12 AMD 260C 12/5 NVDA 195C 12/5 AAPL 280C 12/5 TSLA 410C 430C 440C 450C 475C 11/21 & 12/5 AMZN 245C 12/12 SPY 685C 12/12 GOOG 290C 12/19 or 12/26 MSFT 525C 12/19

killerbeeswaxkill

I knew buying those AMD puts would save the market

killerbeeswaxkill

AMD popped on OpenAI what’s stopping it from tanking back down to $170 where it was prior?

sometimesglass

cmon AMD dont fuck me

Dragon_Slayer48

I frickin knew AMD would bounce I just didn’t think it would happen so early. Missed an easy 100% opportunity.

ThouOne

NBIS and IREN hold today and they’ll both see $200 and $100 respectively. AMD $270 next week if fears fade away. ORCL? To the shitter no matter what happens lol.

killerbeeswaxkill

I’m about to save all our portfolios. AMD $230 puts for next week.

the-real-batman3

I just sold a 12yr old AMD calls 🤣

al323211

Sold my AMD 420s for a measly $100 before share price pumped another 10 dollars 🤡

Embarrassed_Tax_3181

I’m staying greedy unfortunately. Falls on AMD places at the $240 price on the way back up. The technical indicators were simply incredible

Alone_Duty_9448

COME ON AMD!!! Give me a little green dick!!

ball0fsnow

All valid hypothesis. And you are welcome to place your bets accordingly. I don’t actually have any nvidia my bets on AMD claiming a decently profitable second place. But I equally wouldn’t bet against nvidia because I think the gpu mania will continue for a while yet.

r2002

He seems like a really smart guy. I refuse to believe that he doesn't understand this. There are a lot of things you criticize about the AI boom/bubble right now, why focus on something like this? I hope he releases something better next. Not that I'm going to sell my Google/Amazon/Microsoft/Nvidia/AMD stocks based on what he says, but if the man has a great idea I want to hear it!

gopoohgo

Dunno. I think it will rescue some of the direct AI plays (TSMC, SanDisk/SKHynix/Samsung for memory, maybe ASML, maaaybe AMD and Broadcom). But the underlying questions about the return on all this massive capex will still remain.

_pout_

The majors. NVIDIA, AMD, TSLA. Monday harvests on TSLA, Thirsday on the rest.

gopoohgo

This feels like April for anything AI related. Only AI plays I am going to keep is META (cost in the low $200s) and AMD (cost in the $130s). Going to see how long the fire sale burns.

eusebius13

I can’t talk you out of it, because I rolled a few out that far also, largely to avoid a tax event on AMD shares with a $7 cost basis. One thing I would suggest looking into is capturing some additional premium with shorter expiration short puts (or spreads) which can allow you to roll into a closer expiration but still collect a credit. That will also give you a chance at higher returns without adding much risk.

Quitoduck

🚨Long on NVDA, NBIS, AMD, VST, QBTS, IONQ, OKLO through the UN 2030 Agenda 👀

greenpride32

All you need to do is compare GPU to CPU. INTC and AMD typically release a new generation every 1-3 years. The newer ones are always more powerful than the predecessors. Does MSFT Azure or AMZN AWS refresh every single CPU in their public clouds every 1-3 years? Nope. Just like your laptop or PC at home or work or school, it might not be the latest and greatest after the first year or two, but it still serves it purpose. Same concept with your mobile phone. NVDA GPU generation cadence is about every year now. What's going to happen is those older generation GPU will handle lesser workloads. This could be inferencing or supporting SLM (small language models). SLM is going to be huge for companies who want to train models on their own proprietary data. For example, why would a biotech use a LLM for drug discovery? The answer is obviously they wouldn't and they have their own proprietary data. Take this concept and apply it across any industry/use case. The GPU could also still be used to support frontier LLM's in the cloud. Ultimately a public cloud client is paying a price based on performance/specification. You pay more for bigger and faster storage, you pay more for faster CPU's. Not every company needs or is willing to pay for latest and greatest performance if they don't have the need or can't justify the cost. So no way the useful business/financial value of GPU is only 2-3 years. Burry isn't a tech person, he doesn't understand it. Hypothetically it's a 2 year minimum effort to replace hundreds of thousands of GPU, because you can't shutdown services and disrupt client usage. For those who don't understand the basic accounting concept - if I have a capex spend of $100 in 2025, but that asset has business value for 5 years, I don't have a charge of $100 in 2025. Instead I break that $100 into 5 parts, so it only hits the bottom line by $20 each year (25/26/27/28/29). So Burry is basically trying to say big tech is inflating their profit margin by stretching the expense out. Also note that companies such as CRWV and IREN were formerly crypto miners - that is why they have datacenters and racks full of GPU's. As BTC halving reduced the returns on mining, they repurposed their existing gear to become mini-hyperscalers. They have "dated" GPU's. Did it stop META MSFT OpenAI from signing contracts with them? Nope - because GPU compute is scarce and they need all they can get - prior generation or not.

gkdjsl

Thoughts and prayers for my AMD and META calls

meridian_05

The calls are covered, that means that you need to have the shares available to cover them. Which means if you roll out two years, you're making a commitment to keeping those shares for that timeframe. There are other possibilities (converting to PMCC or synthetic long, etc) but it means taking the good with the bad on that stock for the next two years. What if there's a downturn next year, AMD tanks, you roll your CCs back to close but now you've lost any share gains you might have had? When you sold the CCs you set the plan in motion. Let them get called away, and start afresh with your capital.

MrObviouslyRight

If I sound as unhinged as Thiel's antichrist and Karp's Tesla driving "welders, plumbers and truck drivers",.. ...then you should really double down on your PLTR position. Take leverage and double down! Remember Karp's mantra: Financial Analysts behind due diligence reports are unhinged haters. Ignore Nvidia. AMD and Tesla... only Palantir is leading the AI revolution. I already drive a Tesla... and I didn't need a single PLTR stock to buy it.

piszczel

I'd like to remind all AMD bagholders that there's a gap that needs to be filled at $170

vermilli21

AMD is about to give up all it’s gain from this week LOL, where’s that LISA Su flair cuck at

CEOofBeanz

Some big dawgs are leaving NVDA and AMD because they’re scared

CEOofBeanz

NVDA and AMD are going to flush out a lot of weak fresh hands

Starship_Albatross

I'm a chickenshit right now, so I say 'caution.' I also sold AMD at $180, so that fear is not without downside. My first big (uninformed, uneducated, unqualified) concern is these companies turning their own cash piles into their own revenue through "investing" in customers/clients. This is literally inflating the revenue circling through these companies compared to the "actual" amount of money\*. (in Danish we say "buying elastic bands by the meter" and I think that fits) My second concern is that the advocates for AI aren't talking numbers, "it's huge", "it has potential", "it's revolutionizing", "we're so close to...". And the opponents are talking astronomical numbers, that need to be met without breaking the market - so without getting undercut by latecomers and slop-services. But there is still a chance that AI will deliver. The internet did, eventually. \*Reminds me of the joke about two economists paying each other with the same notes to eat dogshit.

MrObviouslyRight

Hate?... dude, watch the interview. His arguments, body language and deranged behavior are a cringe fest. Your best counter argument is sunshine and air?... Who writes your arguments? Alex Karp? I hold Nvidia, AMD and Telsla... and this clown obviously knows **NOTHING** about AI. He doesn't even know we rely on Asia and Europe for our chips. Btw, nice reddit name. Enjoy the sunshine!

vermilli21

Why not? I have 677p 11/17, 11/28 TSLA 400p, AMD 240p 11/14, I’m dancing 💃

krazineurons

Just curious, aren't you massively negative in AMD right now given the recent run up of stock price that pushed it to $230?

PositiveNo7994

NVDA and AMD both brought insanely presentations + news that got totally undone with ease on almost no news. Btc tanking. I'm not vibing with this. I'm out

LostFaithlessness201

Market sold off in a big way yesterday, shorting Nasdaq, Hood, RGTI, QBTS and COIN. Might consider Tesla and AMD, unsure about NVDA due to next weeks earnings, with Tesla dropped below $400 so going to see what it is like today and AMD went up so much so a retracement must be possible. One I missed out was BE that dropped like no business yesterday and did not want to chase. Probably worth looking at stocks that have gone up hugely in the last few months on hype to consider shorting or puts as they might fall before any earnings.

Ok-Sandwich-7960

You regards not rich off AMD idiots

SugondeseNuts567

Well, Nvidia positions is threatened by Google, AMD and China

Negative_Win_5117

There is no AI bubble. I work for a major VAR and it’s all anyone is talking about. We (the engineers) are all using it daily for our jobs. Almost all of my colleagues have side projects we are working on trying to figure out what kind of crazy shit we can do with it. Our customers bring it up in every meeting. The manufacturers are all scrambling to integrate these solutions into their products. Some of them are going to be successful and will leap frog their competitors. Data center capacity is growing at insane rates. The amount of power it takes to power one rack is going to exceed what we used to spec for an entire data center. It’s going to be volatile for companies like mine and for the manufacturers and for the software companies. Chip demand will ebb and flow a bit but it isn’t going to come crashing down. LRCX, TSM, AMAT are the safest long term plays. They will pull back at some point here but are going to 2x from today’s highs in 5 years. NVDA and AMD will be much more volatile. Every major pullback is a buying opportunity. tl;dr All the news from the past few weeks is to scare you into selling before the next run to ATH’s.

Alarmed_Outside7085

me Yesterday when AMD shortly recovered my loss

PracticalAnywhere225

What did AMD do to you?

enginvest

Why isn't AMD dumping more? I want it down more

BamaInvestor

This led me to see when I first bought shares in some of my holdings. AAPL, 2009; AVGO, 2020, ROST, 2010; NVDA, 2016 & 2017; HD, 2010; plus others I was adding shares of NVDA, AVGO, and AMD in 2022 so I would take any in 2023.

Low-Jackfruit3321

That 6k could of been worth like 15k now if I waited a month later and had pulled the trigger in investing in AMD

Low-Jackfruit3321

A month before liberation day I was gonna lump sum invest 6k into AMD but didn’t know too much about the company, so I just invested it into SCHG, then liberation day and felt stupid. Shows that you really can’t time the market, but it’s fine though there’s gonna be more opportunities ahead

frappe-addicted

I'm looking for SHOP, NBIS, and maybe even AMD, and MP gap fills.

crazyfool319

y'all $AAPL, $AMD and $GOOG are basically at ATHs and y'all acting like we're crashing LOL