majority of Wall Street hates AMD, doesn’t think its worth buying, and their conclusions are justified by the current share price. So enter speculation, the Wal-Mart deal, the One Laptop Per Child project (if you don’t know about this, read this and also read the 60 minutes story – Nicholas Negroponte is a modern day Saint) and the shares are trading at only $14 and change. The fundamental analysis of AMD paints the picture that you should stay away, but all it takes is some good press, a solid quarter, and it’s off to the races. Now that AMD has issued subpoenas to Intel’s lawyers for allegedly coercing computer makers, retailers and distributors to buy its chips instead of AMD’s, it’s an all out war. Just think, if AMD wins or if a few things start to go AMD’s way, what do you think the share price will do?

Frank Lara Jr.

Frank Lara Jr. can be reached at franklara@247wallst.com; he does not own securities in the companies he covers.