Tom Suozzi’s Bet on AMD Stock is Proving Profitable
Shares of Advanced Micro Devices (AMD:US) are trading higher this week after the chipmaker reported its fourth-quarter earnings.
Investors are now hoping that the worst may be over for the chipmaker as shares trade higher despite the company offering soft guidance. AMD said it expects its revenue to drop to $5.3 billion in the current quarter, below the expectations for $5.5 billion in revenue generated.
“Although the demand environment is mixed, we are confident in our ability to gain market share in 2023 and deliver long-term growth based on our differentiated product portfolio," Chief Executive Officer Lisa Su said in a statement.
For its fourth quarter, the company reported adjusted earnings per share of $0.69 on revenue of $5.6 billion (up 16% year-over-year). The adjusted gross margin beat the consensus by 20 basis points after coming in at 51%. However, AMD said it expects to see a contraction by 150 basis points given the “mixed” demand environment.
This week’s push higher means that AMD stock now trades almost 50% higher from its multi-year low set in October. It is at this time that Congressman Tom Suozzi invested between $15,000 - $50,000 in AMD stock on October 11, when it closed at $57.63. Compared to Wednesday’s price, AMD trades nearly 45% higher from the day when Suozzi bought shares.
The Congressman was buying AMD stock also in September when it was trading around the $66 handle. AMD is one of Suozzi’s top stocks for trading, according to Capitol Trades data.
