Back
ETF-INVESTMENT

Diamond Hands +4000%: 10 years AMD shareholder

Author: @Techaktien

Chip manufacturer AMD (Advanced Micro Devices) was my very first stock, which I bought in February 2011. In the meantime, it was up more than 4000% for me a few months ago at its all-time high of 81.60€. I get asked all the time how I got into it back then. I was a gamer and knew the products. I knew AMD just needed a good processor architecture to go up. That didn't come with Bulldozer but then later with Zen. I was not immediately in the black but about 5 years (2011-2016) in the red. I had never sold but re-bought three times because I believed in the potential. Now their products are better than Intel's and are additionally used in game consoles and data centers.

I had bought AMD in
2011: 6,63€
2012: 1,70€
2014: 1,93€
2015: 1,97€
The share now stands at 69.97€ (all-time high: 81.60€).
Of my total 2,500 AMD shares, I still hold 1,450. These now have a total value of 100,000€. Sales proceeds were shifted among other things into Nvidia, Intel, ASML and Palantir. The total purchase price of my remaining AMD shares at that time equals 2,804€. I intend to continue holding these shares.

Some people think that I was just lucky with it like winning the lottery. But not to sell shares is an active decision. To buy and to hold even with +50%, +100% or +500% profit are also decisions. Hundreds of times people asked me to finally sell. But none of these people had ever had a tenbagger. And if they don't run profits, they will never have one. When AMD was up 2,000% at one point, no one wanted to give me smart advice.

I don't want to recommend holding every crashed or very successful stock unconditionally forever. I only do that if I see further potential in the future. With Aurora Cannabis, for example, it was different in March 2019. There I had seen no more potential and sold at +417% / +11,000 euros. This decision was also correct, because otherwise I would have lost all profits later and made minus with it until today.

AMD's product pipeline is filled over the next few years and looks promising. There is currently a high demand for the products and at the same time a global chip shortage, which makes the prices rise. Some analysts like have given price targets of $120 and $135 recently. The current price is $83.35 (as of 09/04/21). I had bought AMD during a weak period then and did the same with Intel during their weak period in 2020. AMD is currently no longer a 40-bagger with me, as the price has declined slightly. Currently it stands +3,516%.


Learn more about AMD here at getquin.