Another Silicon Valley bet by Icahn is underwater

Carl Icahn placed a bet on Advanced Micro Devices in the third quarter, acquiring 1.6 million shares of the Sunnyvale chip maker, according to a filing with the Securities and Exchange Commission Friday in which his investment company, Icahn Capital, periodically details its holdings.

The stake was valued at $8.4 million as of Sept. 30, when shares of AMD were trading at $5.25, a value that has since been cut by more than half. At the end of regular trading Friday, AMD shares closed $2.43, making Icahn’s holdings now worth $3.89 million.

We don’t know how much Icahn paid for his stake but since a previous report by the investment firm the quarter before listed no holdings of AMD as of June 30, its clear he acquired them all during the third quarter, when shares of AMD  traded in a range from $4.19 to $6.34, averaging $5.22 during the period.

The 1.6 million shares Icahn now owns total about a quarter of one percent of AMD shares outstanding.

Oh, and yes, Icahn still owned 55 million shares of Yahoo at the end of the third quarter, unchanged from the quarter before. However, the value of his Yahoo holdings, which stood at $1.14 billion as of June 30 and was down to $952 million as of Sept. 30, ended Friday worth $595 million.


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  • Rachel

    How did Icahn get it right before? What did he do in the past that he is doing differently now?

  • Well, for long term, I am sure he will make money from AMD. Nobody can see the bottome, otherwise Lehman, Merril lynch and Blackstern won’t fail. Now AMD has great product, enough fanancial support from Abu Dabi, they will be the first to emerge from the recession. And then you can make another comment.