What's Going On With AMD Shares
Portfolio Pulse from Henry Khederian
Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) are trading lower in line with the broader market following the Federal Reserve's decision to maintain the federal funds rate. The company's stock, like many tech companies, is often valued based on expectations of future growth and earnings. A potential future rate hike could lead to a reevaluation of valuation models, potentially resulting in a lower valuation for AMD and a decrease in its stock price.
September 20, 2023 | 8:05 pm
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AMD's stock price is trading lower following the Federal Reserve's decision. The possibility of a future rate hike could lead to a reevaluation of valuation models, potentially resulting in a lower valuation for AMD.
The Federal Reserve's decision to maintain the federal funds rate has led to a decrease in AMD's stock price. The possibility of a future rate hike could lead investors to reevaluate their valuation models, using higher discount rates to estimate the present value of AMD's future cash flows. This could result in a lower valuation for AMD and a decrease in its stock price.
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