The protective put we purchased on Advanced Micro Devices (AMD) prior to the company’s earnings report is on track to expire worthless, which is a good thing.
The company reported quarterly results this week, beating estimates on the top and bottom lines with $6.55 billion in revenue and adjusted earnings of $1.05 per share.
The chipmaker’s revenue forecast for the current quarter was a bit light at $6.7 billion versus an expected $6.83 billion. But keep in mind that Advanced Micro Devices just delivered a record quarter of sales, and its chips are outperforming Intel’s (INTC), which could allow AMD to take market share from its rival.
Note: No action is needed on the AMD Jan 2023 (1/20/23) 70/Sep Week One (9/2) 95 Call Spread at this time.
Current Stock Price: $102.44
Cost Basis: $112.24
Action: Watch 3 AMD Aug Week One (8/5) 90 Puts expire worthless