ADVANCED MICRO DEVICES (AMD)
US0079031078 - Common Stock
We assign a fundamental rating of 6 out of 10 to AMD. AMD was compared to 108 industry peers in the Semiconductors & Semiconductor Equipment industry. AMD has an average financial health and profitability rating. AMD is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, AMD could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
AMD had positive earnings in the past year.
In the past year AMD had a positive cash flow from operations.
Each year in the past 5 years AMD has been profitable.
AMD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AMD has a Return On Assets of 2.62%. This is comparable to the rest of the industry: AMD outperforms 55.56% of its industry peers.
Looking at the Return On Equity, with a value of 3.20%, AMD is in line with its industry, outperforming 52.78% of the companies in the same industry.
With a Return On Invested Capital value of 1.69%, AMD perfoms like the industry average, outperforming 52.78% of the companies in the same industry.
AMD had an Average Return On Invested Capital over the past 3 years of 12.36%. This is in line with the industry average of 11.24%.
The 3 year average ROIC (12.36%) for AMD is well above the current ROIC(1.69%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.62% | ||
| ROE | 3.2% | ||
| ROIC | 1.69% |
ROA(3y)9.56%
ROA(5y)12.42%
ROE(3y)15.37%
ROE(5y)20.17%
ROIC(3y)12.36%
ROIC(5y)13.18%
1.3 Margins
Looking at the Profit Margin, with a value of 7.52%, AMD is in the better half of the industry, outperforming 60.19% of the companies in the same industry.
AMD's Profit Margin has declined in the last couple of years.
AMD's Operating Margin of 5.47% is in line compared to the rest of the industry. AMD outperforms 56.48% of its industry peers.
AMD's Operating Margin has declined in the last couple of years.
AMD's Gross Margin of 48.38% is fine compared to the rest of the industry. AMD outperforms 60.19% of its industry peers.
In the last couple of years the Gross Margin of AMD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.47% | ||
| PM (TTM) | 7.52% | ||
| GM | 48.38% |
OM growth 3Y-51.31%
OM growth 5Y-25.32%
PM growth 3Y-47.15%
PM growth 5Y-6.27%
GM growth 3Y1.18%
GM growth 5Y4.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AMD is destroying value.
The number of shares outstanding for AMD has been increased compared to 1 year ago.
The number of shares outstanding for AMD has been increased compared to 5 years ago.
AMD has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 9.79 indicates that AMD is not in any danger for bankruptcy at the moment.
The Altman-Z score of AMD (9.79) is better than 77.78% of its industry peers.
The Debt to FCF ratio of AMD is 1.11, which is an excellent value as it means it would take AMD, only 1.11 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of AMD (1.11) is better than 79.63% 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.
AMD has a Debt to Equity ratio (0.03) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 1.11 | ||
| Altman-Z | 9.79 |
ROIC/WACC0.11
WACC15.48%
2.3 Liquidity
AMD has a Current Ratio of 2.50. This indicates that AMD is financially healthy and has no problem in meeting its short term obligations.
AMD's Current ratio of 2.50 is in line compared to the rest of the industry. AMD outperforms 43.52% of its industry peers.
A Quick Ratio of 1.78 indicates that AMD should not have too much problems paying its short term obligations.
AMD has a Quick ratio (1.78) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
AMD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.73%, which is quite good.
Measured over the past years, AMD shows a very strong growth in Earnings Per Share. The EPS has been growing by 41.94% on average per year.
Looking at the last year, AMD shows a quite strong growth in Revenue. The Revenue has grown by 9.88% in the last year.
AMD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 28.49% yearly.
EPS 1Y (TTM)16.73%
EPS 3Y27.12%
EPS 5Y41.94%
EPS Q2Q%31.43%
Revenue 1Y (TTM)9.88%
Revenue growth 3Y32.44%
Revenue growth 5Y28.49%
Sales Q2Q%17.57%
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 34.60% on average per year.
AMD is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 20.06% yearly.
EPS Next Y26.29%
EPS Next 2Y39.43%
EPS Next 3Y39.91%
EPS Next 5Y34.6%
Revenue Next Year13.14%
Revenue Next 2Y19.82%
Revenue Next 3Y21.29%
Revenue Next 5Y20.06%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
AMD is valuated quite expensively with a Price/Earnings ratio of 39.74.
Compared to the rest of the industry, the Price/Earnings ratio of AMD is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.73. AMD is valued slightly more expensive when compared to this.
AMD is valuated rather expensively with a Price/Forward Earnings ratio of 23.14.
Based on the Price/Forward Earnings ratio, AMD is valued a bit cheaper than 69.44% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of AMD to the average of the S&P500 Index (22.83), we can say AMD is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.74 | ||
| Fwd PE | 23.14 |
4.2 Price Multiples
AMD's Enterprise Value to EBITDA is on the same level as the industry average.
AMD's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 124.33 | ||
| EV/EBITDA | 42.71 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
AMD has a very decent profitability rating, which may justify a higher PE ratio.
AMD's earnings are expected to grow with 39.91% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.51
PEG (5Y)0.95
EPS Next 2Y39.43%
EPS Next 3Y39.91%
5. Dividend
5.1 Amount
No dividends for AMD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ADVANCED MICRO DEVICES
NASDAQ:AMD (12/20/2024, 8:00:00 PM)
After market: 120.1 +0.89 (+0.75%)119.21
+0.33 (+0.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners72.69%
Inst Owner Change0.67%
Ins Owners0.33%
Ins Owner Change6.79%
Market Cap193.46B
Analysts82.11
Price Target187.8 (57.54%)
Short Float %2.79%
Short Ratio1.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)0.27%
Min EPS beat(2)-0.5%
Max EPS beat(2)1.03%
EPS beat(4)2
Avg EPS beat(4)-0.01%
Min EPS beat(4)-1.31%
Max EPS beat(4)1.03%
EPS beat(8)6
Avg EPS beat(8)1.3%
EPS beat(12)9
Avg EPS beat(12)4.25%
EPS beat(16)13
Avg EPS beat(16)6.26%
Revenue beat(2)2
Avg Revenue beat(2)0.78%
Min Revenue beat(2)0.63%
Max Revenue beat(2)0.93%
Revenue beat(4)2
Avg Revenue beat(4)0.16%
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)0.9%
Revenue beat(16)10
Avg Revenue beat(16)1.99%
PT rev (1m)-2.46%
PT rev (3m)-1.34%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.04%
EPS NY rev (1m)-0.11%
EPS NY rev (3m)-2.75%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.32%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.74 | ||
| Fwd PE | 23.14 | ||
| P/S | 7.96 | ||
| P/FCF | 124.33 | ||
| P/OCF | 91.12 | ||
| P/B | 3.39 | ||
| P/tB | 15.39 | ||
| EV/EBITDA | 42.71 |
EPS(TTM)3
EY2.52%
EPS(NY)5.15
Fwd EY4.32%
FCF(TTM)0.96
FCFY0.8%
OCF(TTM)1.31
OCFY1.1%
SpS14.97
BVpS35.12
TBVpS7.75
PEG (NY)1.51
PEG (5Y)0.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.62% | ||
| ROE | 3.2% | ||
| ROCE | 2.14% | ||
| ROIC | 1.69% | ||
| ROICexc | 1.82% | ||
| ROICexgc | 7.96% | ||
| OM | 5.47% | ||
| PM (TTM) | 7.52% | ||
| GM | 48.38% | ||
| FCFM | 6.4% |
ROA(3y)9.56%
ROA(5y)12.42%
ROE(3y)15.37%
ROE(5y)20.17%
ROIC(3y)12.36%
ROIC(5y)13.18%
ROICexc(3y)21.67%
ROICexc(5y)22.25%
ROICexgc(3y)29.77%
ROICexgc(5y)29.06%
ROCE(3y)15.65%
ROCE(5y)16.69%
ROICexcg growth 3Y-53.24%
ROICexcg growth 5Y-40.46%
ROICexc growth 3Y-72.6%
ROICexc growth 5Y-53.91%
OM growth 3Y-51.31%
OM growth 5Y-25.32%
PM growth 3Y-47.15%
PM growth 5Y-6.27%
GM growth 3Y1.18%
GM growth 5Y4.06%
F-Score9
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 1.11 | ||
| Debt/EBITDA | 0.39 | ||
| Cap/Depr | 18.24% | ||
| Cap/Sales | 2.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 47.86% | ||
| Profit Quality | 85.21% | ||
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 9.79 |
F-Score9
WACC15.48%
ROIC/WACC0.11
Cap/Depr(3y)33.52%
Cap/Depr(5y)58.51%
Cap/Sales(3y)2.05%
Cap/Sales(5y)2.48%
Profit Quality(3y)156.36%
Profit Quality(5y)116.25%
High Growth Momentum
Growth
EPS 1Y (TTM)16.73%
EPS 3Y27.12%
EPS 5Y41.94%
EPS Q2Q%31.43%
EPS Next Y26.29%
EPS Next 2Y39.43%
EPS Next 3Y39.91%
EPS Next 5Y34.6%
Revenue 1Y (TTM)9.88%
Revenue growth 3Y32.44%
Revenue growth 5Y28.49%
Sales Q2Q%17.57%
Revenue Next Year13.14%
Revenue Next 2Y19.82%
Revenue Next 3Y21.29%
Revenue Next 5Y20.06%
EBIT growth 1Y1179.67%
EBIT growth 3Y-35.52%
EBIT growth 5Y-4.04%
EBIT Next Year72.87%
EBIT Next 3Y41.68%
EBIT Next 5Y33.85%
FCF growth 1Y-54.34%
FCF growth 3Y13%
FCF growth 5YN/A
OCF growth 1Y-44.42%
OCF growth 3Y15.89%
OCF growth 5Y117.82%