SAN JOSE, Calif., Jan. 24, 2007 (AFX International Focus) -- Advanced Micro Devices Inc. has scored some of its most dramatic victories against archrival Intel Corp. (NASDAQ:INTC) over the past year with soaring sales of the high-margin server chips that help power corporate networks.
But AMD's (NYSE:AMD) stock price tumbled more than 4 percent Tuesday after the company said sales of those profitable processors flattened in the fourth quarter and suffered from 'significantly' lower selling prices because of a brutal price war with Intel.
AMD's stock fell 75 cents to $16.76 in after-hours trading after the company reported a net loss of $574 million, or $1.08 per share, for the quarter that ended Dec. 31. In the same quarter last year, AMD earned $96 million, or 21 cents per share.
Before the report was released, AMD shares dropped 2 cents to close Tuesday at $17.51 on the New York Stock Exchange.
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