Wen Haofu, Miles2008801462

Computer EngineeringUniversity of Hong Kong

Outline of the Presentation

Explain why I prefer investing in technology and share my views and experiences during the past several months

Analyze TWO technology companies and their stocks

Discussions are extremely welcome

Many students majoring in Engineering or Science, like me

New-comers

Sluggards in market

Risk-averse

Why invest in technology?Good “appetizer” for new-comers in

investment from engineering or science fields

Relatively Lower Risks to those investors with lots of knowledge on that industry

Suitable for relatively Longer term investments and doesn’t require being taken too much care of.

Profits are good

Advanced Micro Devices (AMD)NYSE: AMDFounded on May 1, 1969, as a producer of

logic chips and entered the RAM chip business in 1975

World’s second-largest supplier of microprocessors after Intel

Total Assets (2009): US$ 9.08 BillionTotal Equity (2009): US$ 648 MillionNet Income (2009): US$ 293 Million

Eyefinity Technology in AMDThe Eyefinity Technology developed by

Advanced Micro Devices (AMD), to be installed in AMD’s next-generation DirectX 11-CompliantGrapics Cards, which could give its customers “surround-sight” experiences through connecting multiple monitors to a single PC and implementing them separately or as one “big” monitor.

Good performances during the past few months, but NOT recommended to be bought now

Intel is marching into the GPU market, future performances of AMD could not be predicted before some “overwhelming” technology in chipset could be developed by AMD

AMD almost NEVER pays dividends. It did only once in its life (0.02% on April 27, 1995)

Buying AMD stocks

IntelNASDAQ: INTCFounded on July 18, 1968, as Integrated

Electronics CorporationThe world’s largest semiconductor chip

maker, with its processors found in most Personal Computers (PC)

Total Assets (2009): US$ 53.095 billionTotal Equity (2009): US$ 41.704 billionNet Income (2009): US$ 4.369 billion

Hyper-threading Technology in IntelFirst introduced in 2002, and has been

developing very fast ever since in various Intel’s products

Hyper-threading means, to make it simple, to manipulate threading in hardware level in stead of Operating System (OS) level

Around a year ago, rumors came out that Intel has make great improvements in improving the energy efficiency of HT technology

Months ago, Intel’s Core i3/i5/i7 series came to market

Buying Intel stocksRecommended buying. Performance of the

stock is very, very good recently, and has been enjoying its historically biggest boosts

Intel has been paying good amount dividends with a good frequency

More and more PC manufacturing companies like HP, Fujitsu and Apple are signing contracts with Intel to put its new CPU into their PC’s

CautionEven for companies which built up its

business merely on technologies, technology is NOT the ONLY factor that affects the price, and it’s not very rarely seen on the newspaper that a certain company with a promising new technology and good sales on that has its stock price going down dramatically. So we should always be aware of the risks behind, and adjust our investment philosophies accordingly