AMD Slides 6.9%, Loses $1 Trillion Market Cap; Cramer Sees Buy Opportunity
AMD•AMD shares fell 6.9% after snapping a record-high run and relinquishing a $1 trillion market cap, part of a semiconductor sector pullback that erased $2 trillion in combined value. Jim Cramer endorsed buying the stock at these levels even as Q2 valuation metrics raise caution for U.S. equities.
1. Stock Pullback Details
AMD shares slid 6.9% on July 1, snapping a record-high run and relinquishing a $1 trillion market capitalization as investors reacted to profit-taking.
2. Sector Selloff Context
The semiconductor sector opened Q3 weakly, erasing roughly $2 trillion in combined value after record gains in Q2 by giants like Micron and Intel.
3. Valuation Caution Signs
Following one of the strongest quarterly rallies for U.S. equities, valuation metrics including trailing P/E ratios and forward estimates are flashing warning signals.
4. Cramer’s Bullish Take
Market commentator Jim Cramer recommended accumulating shares at current levels, citing long-term growth drivers despite the recent pullback.
