This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Talk of CEO Change Swirls at AMD

While Sanders built AMD and served as its chief executive for 33 years, Ruiz came closest to bringing the company to the promised land, overseeing AMD's transformation from a me-too chipmaker to an established, if undersized, player in today's PC microprocessor duopoly.

The key to that breakthrough was the introduction in 2003 of the Opteron processor, which featured impressive performance and energy-efficiency that allowed AMD to gain market share by winning accounts with PC makers like Dell (DELL), which had historically brought microprocessors exclusively from Intel (INTC - Get Report).

Shares of AMD grew nearly seven-fold during a three-year period ending in early 2006.

This track record has earned Ruiz a nice reserve of goodwill inside and outside the company, something that may explain why there haven't been louder calls for his head given the magnitude of AMD's recent woes.

"It wasn't very long ago that AMD could do no wrong," says Stifel Nicolaus analyst Acree.

AMD's two largest shareholders, Capital Research and Management and Fidelity Management & Research, which own 16% and 13% of the chipmaker, respectively, both declined to comment on individual holdings.

How much breathing room Ruiz has left is unclear. AMD's stock is down 38% this year, closing Tuesday's regular session at $12.40.

Just as importantly, the company's product line looks weak compared to the onslaught of new Intel processors hitting the market , a situation that hasn't been helped by problems AMD has encountered getting its new quad-core Barcelona processor out the door.

3 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AMD $2.72 0.00%
INTC $32.00 0.00%
S $4.72 0.00%
TXN $56.76 0.00%
YHOO $45.10 0.00%


DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs