ADVANCED MICRO DEVICES (AMD.DE) Stock Fundamental Analysis
FRA:AMD - Deutsche Boerse Ag - US0079031078 - Common Stock - Currency: EUR
Taking everything into account, AMD scores 6 out of 10 in our fundamental rating. AMD was compared to 57 industry peers in the Semiconductors & Semiconductor Equipment industry. While AMD has a great health rating, its profitability is only average at the moment. AMD is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year AMD was profitable.
In the past year AMD had a positive cash flow from operations.
Each year in the past 5 years AMD has been profitable.
In the past 5 years AMD always reported a positive cash flow from operatings.
1.2 Ratios
AMD has a Return On Assets of 2.37%. This is in the lower half of the industry: AMD underperforms 77.59% of its industry peers.
Looking at the Return On Equity, with a value of 2.85%, AMD is doing worse than 79.31% of the companies in the same industry.
AMD's Return On Invested Capital of 2.66% is on the low side compared to the rest of the industry. AMD is outperformed by 75.86% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMD is significantly below the industry average of 17.13%.
The 3 year average ROIC (1.56%) for AMD is below the current ROIC(2.66%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.37% | ||
| ROE | 2.85% | ||
| ROIC | 2.66% |
ROA(3y)1.86%
ROA(5y)11.77%
ROE(3y)2.26%
ROE(5y)18.33%
ROIC(3y)1.56%
ROIC(5y)11.51%
1.3 Margins
Looking at the Profit Margin, with a value of 6.36%, AMD is doing worse than 75.86% of the companies in the same industry.
AMD's Profit Margin has improved in the last couple of years.
AMD has a Operating Margin of 7.90%. This is in the lower half of the industry: AMD underperforms 79.31% of its industry peers.
In the last couple of years the Operating Margin of AMD has remained more or less at the same level.
AMD has a Gross Margin of 49.35%. This is in the better half of the industry: AMD outperforms 63.79% of its industry peers.
AMD's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.9% | ||
| PM (TTM) | 6.36% | ||
| GM | 49.35% |
OM growth 3Y-29.04%
OM growth 5Y-1.4%
PM growth 3Y-30.84%
PM growth 5Y4.67%
GM growth 3Y0.76%
GM growth 5Y2.98%
2. Health
2.1 Basic Checks
AMD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for AMD has been increased compared to 1 year ago.
AMD has more shares outstanding than it did 5 years ago.
The debt/assets ratio for AMD has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.83 indicates that AMD is not in any danger for bankruptcy at the moment.
AMD's Altman-Z score of 8.83 is fine compared to the rest of the industry. AMD outperforms 79.31% of its industry peers.
The Debt to FCF ratio of AMD is 0.72, which is an excellent value as it means it would take AMD, only 0.72 years of fcf income to pay off all of its debts.
AMD has a better Debt to FCF ratio (0.72) than 89.66% of its industry peers.
AMD has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AMD (0.03) is better than 91.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.72 | ||
| Altman-Z | 8.83 |
ROIC/WACC0.23
WACC11.46%
2.3 Liquidity
A Current Ratio of 2.62 indicates that AMD has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.62, AMD is in the better half of the industry, outperforming 62.07% of the companies in the same industry.
AMD has a Quick Ratio of 1.83. This is a normal value and indicates that AMD is financially healthy and should not expect problems in meeting its short term obligations.
AMD has a better Quick ratio (1.83) than 63.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.83 |
3. Growth
3.1 Past
AMD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.28%, which is quite impressive.
AMD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 38.99% yearly.
Looking at the last year, AMD shows a quite strong growth in Revenue. The Revenue has grown by 13.69% in the last year.
The Revenue has been growing by 30.81% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)25.28%
EPS 3Y5.84%
EPS 5Y38.99%
EPS Q2Q%41.56%
Revenue 1Y (TTM)13.69%
Revenue growth 3Y16.2%
Revenue growth 5Y30.81%
Sales Q2Q%24.16%
3.2 Future
Based on estimates for the next years, AMD will show a very strong growth in Earnings Per Share. The EPS will grow by 37.03% on average per year.
The Revenue is expected to grow by 21.87% on average over the next years. This is a very strong growth
EPS Next Y40.66%
EPS Next 2Y36.73%
EPS Next 3Y31.27%
EPS Next 5Y37.03%
Revenue Next Year23.56%
Revenue Next 2Y22%
Revenue Next 3Y19.64%
Revenue Next 5Y21.87%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 29.27, AMD can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of AMD is on the same level as its industry peers.
When comparing the Price/Earnings ratio of AMD to the average of the S&P500 Index (29.35), we can say AMD is valued inline with the index average.
The Price/Forward Earnings ratio is 20.83, which indicates a rather expensive current valuation of AMD.
AMD's Price/Forward Earnings is on the same level as the industry average.
AMD's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.27 | ||
| Fwd PE | 20.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AMD is valued a bit more expensive than 74.14% of the companies in the same industry.
AMD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 65.53 | ||
| EV/EBITDA | 29.31 |
4.3 Compensation for Growth
AMD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AMD's earnings are expected to grow with 31.27% in the coming years.
PEG (NY)0.72
PEG (5Y)0.75
EPS Next 2Y36.73%
EPS Next 3Y31.27%
5. Dividend
5.1 Amount
No dividends for AMD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:AMD (3/7/2025, 7:00:00 PM)
89.58
-2.69 (-2.92%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners69.95%
Inst Owner ChangeN/A
Ins Owners0.33%
Ins Owner ChangeN/A
Market Cap145.16B
Analysts76.6
Price Target146.28 (63.3%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.18%
Min EPS beat(2)-0.5%
Max EPS beat(2)0.13%
EPS beat(4)3
Avg EPS beat(4)0.35%
Min EPS beat(4)-0.5%
Max EPS beat(4)1.03%
EPS beat(8)6
Avg EPS beat(8)1.04%
EPS beat(12)9
Avg EPS beat(12)2.58%
EPS beat(16)13
Avg EPS beat(16)5.68%
Revenue beat(2)2
Avg Revenue beat(2)0.69%
Min Revenue beat(2)0.63%
Max Revenue beat(2)0.75%
Revenue beat(4)3
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-0.73%
Max Revenue beat(4)0.93%
Revenue beat(8)4
Avg Revenue beat(8)0.27%
Revenue beat(12)6
Avg Revenue beat(12)0.49%
Revenue beat(16)10
Avg Revenue beat(16)1.66%
PT rev (1m)-12.3%
PT rev (3m)-18.04%
EPS NQ rev (1m)-0.16%
EPS NQ rev (3m)-4.12%
EPS NY rev (1m)-5.97%
EPS NY rev (3m)-9.35%
Revenue NQ rev (1m)1.42%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)-0.98%
Revenue NY rev (3m)-2.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.27 | ||
| Fwd PE | 20.83 | ||
| P/S | 6.11 | ||
| P/FCF | 65.53 | ||
| P/OCF | 51.83 | ||
| P/B | 2.74 | ||
| P/tB | 11.42 | ||
| EV/EBITDA | 29.31 |
EPS(TTM)3.06
EY3.42%
EPS(NY)4.3
Fwd EY4.8%
FCF(TTM)1.37
FCFY1.53%
OCF(TTM)1.73
OCFY1.93%
SpS14.66
BVpS32.72
TBVpS7.84
PEG (NY)0.72
PEG (5Y)0.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.37% | ||
| ROE | 2.85% | ||
| ROCE | 3.29% | ||
| ROIC | 2.66% | ||
| ROICexc | 2.9% | ||
| ROICexgc | 12.63% | ||
| OM | 7.9% | ||
| PM (TTM) | 6.36% | ||
| GM | 49.35% | ||
| FCFM | 9.33% |
ROA(3y)1.86%
ROA(5y)11.77%
ROE(3y)2.26%
ROE(5y)18.33%
ROIC(3y)1.56%
ROIC(5y)11.51%
ROICexc(3y)1.71%
ROICexc(5y)19.09%
ROICexgc(3y)9.89%
ROICexgc(5y)26.73%
ROCE(3y)1.93%
ROCE(5y)14.23%
ROICexcg growth 3Y-44.61%
ROICexcg growth 5Y-14.53%
ROICexc growth 3Y-64.41%
ROICexc growth 5Y-32.89%
OM growth 3Y-29.04%
OM growth 5Y-1.4%
PM growth 3Y-30.84%
PM growth 5Y4.67%
GM growth 3Y0.76%
GM growth 5Y2.98%
F-Score9
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.72 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | 20.02% | ||
| Cap/Sales | 2.47% | ||
| Interest Coverage | 28.31 | ||
| Cash Conversion | 58.31% | ||
| Profit Quality | 146.56% | ||
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.83 | ||
| Altman-Z | 8.83 |
F-Score9
WACC11.46%
ROIC/WACC0.23
Cap/Depr(3y)15.32%
Cap/Depr(5y)38.8%
Cap/Sales(3y)2.26%
Cap/Sales(5y)2.32%
Profit Quality(3y)171.27%
Profit Quality(5y)129.37%
High Growth Momentum
Growth
EPS 1Y (TTM)25.28%
EPS 3Y5.84%
EPS 5Y38.99%
EPS Q2Q%41.56%
EPS Next Y40.66%
EPS Next 2Y36.73%
EPS Next 3Y31.27%
EPS Next 5Y37.03%
Revenue 1Y (TTM)13.69%
Revenue growth 3Y16.2%
Revenue growth 5Y30.81%
Sales Q2Q%24.16%
Revenue Next Year23.56%
Revenue Next 2Y22%
Revenue Next 3Y19.64%
Revenue Next 5Y21.87%
EBIT growth 1Y455.31%
EBIT growth 3Y-17.55%
EBIT growth 5Y28.98%
EBIT Next Year39.55%
EBIT Next 3Y39.97%
EBIT Next 5Y35.87%
FCF growth 1Y114.54%
FCF growth 3Y-9.27%
FCF growth 5Y54.18%
OCF growth 1Y82.42%
OCF growth 3Y-4.77%
OCF growth 5Y43.89%