IanFromSI
1 week ago
Just in case you’re five-year-old with no clue whatsoever. What stages of market might be in or going through, the following might be a great help to you.
The stages of a market downturn typically progress from a correction to a crash, and each stage has its own characteristics. Here’s a general outline of how this can unfold:
1. Market Correction (0-10% Decline)
• Definition: A market correction is typically defined as a decline of 10% or more from a recent market high.
• Characteristics:
• Investors begin to pull back from risk, often due to concerns over economic data, geopolitical events, or overvaluation in the market.
• The decline is often seen as a healthy and temporary adjustment.
• Sentiment shifts from optimism to caution.
• Corrections can last from days to months, and sometimes serve to set the market up for a recovery.
2. Bear Market (20%+ Decline)
• Definition: A bear market occurs when the market drops 20% or more from its recent peak.
• Characteristics:
• Investors become more pessimistic, and there is a significant drop in confidence.
• The decline is more sustained and widespread, affecting a broad array of asset classes.
• The economic outlook worsens, and corporate earnings begin to suffer.
• Investors start to sell more aggressively, leading to a prolonged downturn.
• Sentiment may shift to fear or even panic as asset prices continue to fall.
3. Market Crash (30%+ Decline in a Short Time)
• Definition: A market crash is a sudden, dramatic drop in stock prices, often 30% or more, within a very short period (days to weeks).
• Characteristics:
• Crashes are typically triggered by extreme events, such as financial crises, geopolitical shocks, or bubbles bursting.
• Market panic sets in, leading to mass sell-offs across the board.
• Volatility spikes, with wild price swings in a short time.
• Liquidity dries up as buyers disappear and selling intensifies.
• Investor sentiment turns to outright fear, with the focus shifting from return to capital preservation.
• Economic recessions often follow, as market crashes can lead to widespread financial distress and damage consumer and business confidence.
4. Capitulation and Recovery
• Capitulation: This is the stage where investors give up and sell en masse, often at the market bottom, leading to extreme overselling.
• Recovery: After capitulation, markets typically begin to stabilize as bargain hunters and long-term investors step in. Recovery can be slow, with the market gradually rebuilding confidence and starting to rise again.
Each stage reflects changes in investor psychology, from cautious optimism to fear,
DiscoverGold
1 month ago
Advanced Micro Devices Heats Up Competition With Nvidia
By: Schaeffer's Investment Research | August 19, 2024
• The chipmaker is acquiring ZT Systems for $4.9 billion
• There's a shift taking place in the options pits
Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) are 1.8% higher at $151.23 at last glance, following the firm's latest acquisition. The semiconductor concern today announced plans to acquire ZT Systems for $4.9 billion in a cash and stock deal. The M&A will help the firm expand its artificial intelligence (AI) chips and hardware as it ramps up competition with industry dominator Nvidia (NVDA).
While there's still a chasm between AMD's current perch and its March 8 all-time high of $227.30, the security is staging an impressive bounce from its Aug. 5, roughly multi-month low of $121.82. On Friday, Advanced Micro Devices stock secured a second weekly win and is pacing for its fifth daily win in six sessions, as it looks to extend a 44% year-over-year lead.
The security sports a much more modest 3% year-to-date gain in the near term, which has led to an uptick in bearish activity. At the International Securities Exchange (ISE), Cboe Volatility Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), AMD sports a 10-day put/call volume ratio that stands higher than 93% of readings from the past 12 months.
A shift is taking place today, however. Already, 271,000 calls have traded hands, which is double the average intraday volume. New positions are opening at the top 12 most active contracts today, led by the August 155 call.
Read Full Story »»»
DiscoverGold
abrooklyn
1 month ago
AMD to Significantly Expand Data Center AI Systems Capabilities with Acquisition of Hyperscale Solutions Provider ZT Systems
Source: GlobeNewswire Inc.
AMD (NASDAQ: AMD) today announced the signing of a definitive agreement to acquire ZT Systems, a leading provider of AI infrastructure for the world’s largest hyperscale computing companies. The strategic transaction marks the next major step in AMD’s AI strategy to deliver leadership AI training and inferencing solutions based on innovating across silicon, software and systems. ZT Systems’ extensive experience designing and optimizing cloud computing solutions will also help cloud and enterprise customers significantly accelerate the deployment of AMD-powered AI infrastructure at scale.
AMD has agreed to acquire ZT Systems in a cash and stock transaction valued at $4.9 billion, inclusive of a contingent payment of up to $400 million based on certain post-closing milestones. AMD expects the transaction to be accretive on a non-GAAP basis by the end of 2025.
“Our acquisition of ZT Systems is the next major step in our long-term AI strategy to deliver leadership training and inferencing solutions that can be rapidly deployed at scale across cloud and enterprise customers,” said AMD Chair and CEO Dr. Lisa Su. “ZT adds world-class systems design and rack-scale solutions expertise that will significantly strengthen our data center AI systems and customer enablement capabilities. This acquisition also builds on the investments we have made to accelerate our AI hardware and software roadmaps. Combining our high-performance Instinct AI accelerator, EPYC CPU, and networking product portfolios with ZT Systems’ industry-leading data center systems expertise will enable AMD to deliver end-to-end data center AI infrastructure at scale with our ecosystem of OEM and ODM partners.”
Headquartered in Secaucus, New Jersey, ZT Systems?has more than 15 years of experience designing and deploying data center AI compute and storage infrastructure at scale for the largest global cloud companies. ZT Systems’ design, integration, manufacturing and deployment capabilities have made them one of the leading providers of AI training and inference infrastructure.
“We are excited to join AMD and together play an even larger role designing the AI infrastructure that is defining the future of computing,” said Frank Zhang, CEO of ZT Systems. “For almost 30 years we have evolved our business to become a leading provider of critical computing and storage infrastructure for the world’s largest cloud companies. AMD shares our vision for the important role our technology and our people play designing and building the computing infrastructure powering the largest data centers in the world.”
Following transaction close, ZT Systems will join the AMD Data Center Solutions Business Group. ZT CEO Frank Zhang will lead the manufacturing business and ZT President Doug Huang will lead the design and customer enablement teams, both reporting to AMD Executive Vice President and General Manager Forrest Norrod. AMD will seek a strategic partner to acquire ZT Systems’ industry-leading U.S.-based data center infrastructure manufacturing business.
The acquisition of ZT Systems marks the latest in a series of investments by AMD to significantly strengthen the company’s AI capabilities. In the last 12 months, in addition to increasing organic R&D activities, AMD has invested more than $1 billion to expand the AMD AI ecosystem and strengthen the company’s AI software capabilities.
Additional Transaction Details
The transaction has been unanimously approved by the AMD Board of Directors. The acquisition is currently expected to close in the first half of 2025, subject to certain regulatory approvals and other customary closing conditions.
Conference?Call and Webcast?Details
AMD will hold a conference call for the financial community at 8:30 am EDT today to discuss the transaction. AMD will provide a real-time audio broadcast of the teleconference on the?Investor Relations?page of its website at?ir.amd.com. The webcast will be available for 12 months after the conference call.
Advisors
Citi is acting as exclusive financial advisor to AMD and Latham & Watkins LLP is serving as its legal advisor. Goldman Sachs & Co. LLC is acting as exclusive financial advisor to ZT Systems and Paul, Weiss, LLP is serving as its legal advisor.
About AMD
For more than 50 years AMD has driven innovation in high-performance computing, graphics and visualization technologies. AMD employees are focused on building leadership high-performance and adaptive products that push the boundaries of what is possible. Billions of people, leading Fortune 500 businesses and cutting-edge scientific research institutions around the world rely on AMD technology daily to improve how they live, work and play. For more information about how AMD is enabling today and inspiring tomorrow, visit the AMD (NASDAQ: AMD) website, blog, LinkedIn and X pages.
About ZT Systems
ZT Systems is a leading supplier of hyperscale server solutions for cloud computing and artificial intelligence. With over 29 years of experience, ZT Systems is headquartered in Secaucus, NJ. Global manufacturing spanning the US, EMEA and APAC helps ZT Systems deliver on our mission of empowering our digital world with the most advanced technology infrastructure for cloud and AI. Learn more at?ztsystems.com.
Cautionary Statement
The statements in this press release include forward-looking statements concerning Advanced Micro Devices, Inc. (AMD), ZT Systems, the proposed transaction described herein and other matters. Forward-looking statements may discuss goals, intentions and expectations as to future plans, trends, events, results of operations or financial condition, or otherwise, based on current beliefs and involve numerous risks and uncertainties that could cause actual results to differ materially from expectations. Forward-looking statements speak only as of the date they are made or as of the dates indicated in the statements and should not be relied upon as predictions of future events, as there can be no assurance that the events or circumstances reflected in these statements will be achieved or will occur. Forward-looking statements can often, but not always, be identified by the use of forward-looking terminology including “believes,” “expects,” “may,” “will,” “should,” “seeks,” “intends,” “plans,” “pro forma,” “estimates,” “anticipates,” “designed,” or the negative of these words and phrases, other variations of these words and phrases or comparable terminology. The forward-looking statements in this press release relate to, among other things, data center AI accelerator opportunity, obtaining applicable regulatory approvals, satisfying other closing conditions to the transaction, the expected timing of the transaction, and the integration of the businesses, sale of ZT Systems’ manufacturing business, and the expected benefits, accretion, synergies and growth to result therefrom. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the statements. These risks include, among other things: failure to obtain applicable regulatory approvals in a timely manner or otherwise; failure to satisfy other closing conditions to the transaction or to complete the transaction on anticipated terms and timing; negative effects of the announcement of the transaction; risks that the businesses will not be integrated successfully, the ability of AMD to sell ZT Systems’ manufacturing business on a timely basis or at all, or that AMD will not realize expected benefits, cost savings, accretion, synergies and/or growth, or that such benefits may take longer to realize than expected; the risk that disruptions from the transaction will harm business plans and operations; risks relating to unanticipated costs of integration and sale of ZT Systems’ manufacturing business; significant transaction, integration and separation costs, or difficulties and/or unknown or inestimable liabilities in connection with the transaction or sale of ZT Systems’ manufacturing business; restrictions during the pendency of the transaction that may impact the ability to pursue certain business opportunities or strategic transactions; the potential impact of the announcement or consummation of the transaction or sale of ZT’s System’s manufacturing business on AMD’s, ZT Systems’ or the combined company’s relationships with suppliers, customers, employees and regulators; and demand for AMD’s, ZT Systems’, or the combined company’s products. For a discussion of factors that could cause actual results to differ materially from those contemplated by forward-looking statements, see the section captioned “Risk Factors” in AMD’s Annual Report on Form 10-K for the fiscal year ended December 30, 2023, subsequent Quarterly Reports on Form 10-Q and other filings with the SEC. While the list of factors presented here is considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realization of forward looking statements. AMD does not assume, and hereby disclaims, any obligation to update forward-looking statements, except as may be required by law.
© 2024 Advanced Micro Devices, Inc. All rights reserved. AMD, the AMD Arrow logo, AMD Instinct, AMD EPYC and combinations thereof are trademarks of Advanced Micro Devices, Inc.
Media Contact:
Drew Prairie
AMD Communications
512-602-4425
drew.prairie@amd.com
Investor Contact:
Mitch Haws
AMD Investor Relations
408-749-3124
mitch.haws@amd.com
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abrooklyn
1 month ago
AMD Completes Acquisition of Silo AI to Accelerate Development and Deployment of AI Models on AMD Hardware
Source: GlobeNewswire Inc.
AMD (NASDAQ: AMD) today announced the completion of its acquisition of Silo AI, the largest private AI lab in Europe. The all-cash transaction valued at approximately $665 million furthers the company’s commitment to deliver end-to-end AI solutions based on open standards and in strong partnership with the global AI ecosystem.
Silo AI brings a team of world-class AI scientists and engineers to AMD experienced in developing cutting-edge AI models, platforms and solutions for large enterprise customers including Allianz, Philips, Rolls-Royce and Unilever. Their expertise spans diverse markets and they have created state-of-the-art open source multilingual Large Language Models (LLMs) including Poro and Viking on AMD platforms. The Silo AI team will join the AMD Artificial Intelligence Group (AIG), led by AMD Senior Vice President Vamsi Boppana.
“AI is our number one strategic priority, and we continue to invest in both the talent and software capabilities to support our growing customer deployments and roadmaps,” said Vamsi Boppana, AMD senior vice president, AIG. “The Silo AI team has developed state-of-the-art language models that have been trained at scale on AMD Instinct accelerators and they have broad experience developing and integrating AI models to solve critical problems for end customers. We expect their expertise and software capabilities will directly improve the experience for customers in delivering the best performing AI solutions on AMD platforms.”
About AMD
For more than 50 years AMD has driven innovation in high-performance computing, graphics and visualization technologies. Billions of people, leading Fortune 500 businesses and cutting-edge scientific research institutions around the world rely on AMD technology daily to improve how they live, work and play. AMD employees are focused on building leadership high-performance and adaptive products that push the boundaries of what is possible. For more information about how AMD is enabling today and inspiring tomorrow, visit the AMD (NASDAQ: AMD) website, blog, LinkedIn and X pages.
Cautionary Statement
This press release contains forward-looking statements concerning Advanced Micro Devices, Inc. (AMD) such as the anticipated benefits of AMD’s acquisition of Silo AI Oy, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are commonly identified by words such as "would," "may," "expects," "believes," "plans," "intends," "projects" and other terms with similar meaning. Investors are cautioned that the forward-looking statements in this press release are based on current beliefs, assumptions and expectations, speak only as of the date of this press release and involve risks and uncertainties that could cause actual results to differ materially from current expectations. Such statements are subject to certain known and unknown risks and uncertainties, many of which are difficult to predict and generally beyond AMD's control, that could cause actual results and other future events to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Material factors that could cause actual results to differ materially from current expectations include, without limitation, the following: Intel Corporation’s dominance of the microprocessor market and its aggressive business practices; Nvidia’s dominance in the graphics processing unit market and its aggressive business practices; the competitive markets in which AMD’s products are sold; the cyclical nature of the semiconductor industry; market conditions of the industries in which AMD products are sold; AMD's ability to introduce products on a timely basis with expected features and performance levels; loss of a significant customer; economic and market uncertainty; quarterly and seasonal sales patterns; AMD's ability to adequately protect its technology or other intellectual property; unfavorable currency exchange rate fluctuations; ability of third party manufacturers to manufacture AMD's products on a timely basis in sufficient quantities and using competitive technologies; availability of essential equipment, materials, substrates or manufacturing processes; ability to achieve expected manufacturing yields for AMD’s products; AMD's ability to generate revenue from its semi-custom SoC products; potential security vulnerabilities; potential security incidents including IT outages, data loss, data breaches and cyberattacks; uncertainties involving the ordering and shipment of AMD’s products; AMD’s reliance on third-party intellectual property to design and introduce new products; AMD's reliance on third-party companies for design, manufacture and supply of motherboards, software, memory and other computer platform components; AMD's reliance on Microsoft and other software vendors' support to design and develop software to run on AMD’s products; AMD’s reliance on third-party distributors and add-in-board partners; impact of modification or interruption of AMD’s internal business processes and information systems; compatibility of AMD’s products with some or all industry-standard software and hardware; costs related to defective products; efficiency of AMD's supply chain; AMD's ability to rely on third party supply-chain logistics functions; AMD’s ability to effectively control sales of its products on the gray market; long-term impact of climate change on AMD’s business; impact of government actions and regulations such as export regulations, tariffs and trade protection measures; AMD’s ability to realize its deferred tax assets; potential tax liabilities; current and future claims and litigation; impact of environmental laws, conflict minerals related provisions and other laws or regulations; evolving expectations from governments, investors, customers and other stakeholders regarding corporate responsibility matters; issues related to the responsible use of AI; restrictions imposed by agreements governing AMD’s notes, the guarantee of Xilinx’s notes and the revolving credit agreement; impact of acquisitions, joint ventures and/or investments on AMD’s business and AMD’s ability to integrate acquired businesses;? impact of any impairment of the combined company’s assets; political, legal and economic risks and natural disasters; future impairments of technology license purchases; AMD’s ability to attract and retain qualified personnel; and AMD’s stock price volatility. Investors are urged to review in detail the risks and uncertainties in AMD’s Securities and Exchange Commission filings, including but not limited to AMD’s most recent reports on Forms 10-K and 10-Q.
Contact:
Brandi Martina
AMD Communications
+1 512-705-1720
Brandi.Martina@amd.com
Suresh Bhaskaran
AMD Investor Relations
+1 408-749-2845
Suresh.Bhaskaran@amd.com
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Spuds McKenz66
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