Here's why AMD isn't a meme stock

Only a week after Robinhood’s IPO that didn’t gain much traction in the first few days, the stock skyrocketed more than 100% above the debut price of $38 per share on Wednesday. As shares of the fintech company traded at $77, investors questions if the meme trade was back again?

Interestingly enough, another stock that has recently received attention from retail investors is Advanced Micro Devices Inc (NASDAQ: AMD). Before reporting quarterly results, the stock was trading around $90 a share versus close to $120 a share at the time of writing.

Michael Lippert’s comments on CNBC’s “The Exchange”

Commenting on a sharp 30% rally in AMD stock, Michael Lippert, portfolio manager at Baron Opportunity Fund, said on CNBC’s “The Exchange”:

Baron Opportunity Fund is up more than 10% this year. Compared to the pandemic low in March 2020, it has gained over 100%.

AMD’s Q2 financial results

The news comes a week after AMD reported $1.93 billion of revenue and 13 cents of per-share earnings for its fiscal second quarter. According to Refinitiv, experts had forecast a lower $1.86 billion of revenue but a higher 16 cents of per-share earnings in Q2.

During the COVID-19 crisis, Advanced Micro Devices was seen trading at a low of $40 a share in March 2020. The California-based company now has a market cap of $145 billion and a price to earnings ratio of 42.71.