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AMD slides on outlook, price-cut fears
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Old 13th April 2006, 21:32   #1
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AMD slides on outlook, price-cut fears

Advanced Micro Devices Inc. shares slid over 10% Thursday on concerns about profit margins and stiffer competition from larger rival Intel Corp.

Shares of AMD fell $3.62 to $31.80 on volume that was more than triple the stock's daily average. The shares (AMD) are now down about 20% since early March, when Intel cut its first-quarter forecast and stoked fears of a price war between the two largest makers of chips used in personal computers and servers.

The stock fell even though AMD said late Wednesday it swung to a first-quarter profit after it shed its unprofitable memory-chip unit and saw surging sales of its laptop and server chips.

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