ADVANCED MICRO DEVICES (AMD.DE) Stock Fundamental Analysis
FRA:AMD - Deutsche Boerse Ag - US0079031078 - Common Stock - Currency: EUR
Overall AMD gets a fundamental rating of 5 out of 10. We evaluated AMD against 53 industry peers in the Semiconductors & Semiconductor Equipment industry. AMD has an excellent financial health rating, but there are some minor concerns on its profitability. AMD shows excellent growth, but is valued quite expensive already.
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.
In the past 5 years AMD has always been profitable.
AMD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of AMD (3.11%) is worse than 69.81% of its industry peers.
Looking at the Return On Equity, with a value of 3.85%, AMD is doing worse than 75.47% of the companies in the same industry.
AMD's Return On Invested Capital of 3.52% is on the low side compared to the rest of the industry. AMD is outperformed by 73.58% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMD is significantly below the industry average of 15.09%.
The last Return On Invested Capital (3.52%) for AMD is above the 3 year average (1.56%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 3.85% | ||
| ROIC | 3.52% |
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
AMD's Profit Margin of 8.03% is on the low side compared to the rest of the industry. AMD is outperformed by 66.04% of its industry peers.
AMD's Profit Margin has improved in the last couple of years.
AMD's Operating Margin of 10.17% is on the low side compared to the rest of the industry. AMD is outperformed by 73.58% of its industry peers.
AMD's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 50.09%, AMD is in the better half of the industry, outperforming 62.26% of the companies in the same industry.
In the last couple of years the Gross Margin of AMD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.17% | ||
| PM (TTM) | 8.03% | ||
| GM | 50.09% |
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.
Compared to 1 year ago, AMD has more shares outstanding
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
AMD has an Altman-Z score of 8.58. This indicates that AMD is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 8.58, AMD is doing good in the industry, outperforming 79.25% of the companies in the same industry.
AMD has a debt to FCF ratio of 1.51. This is a very positive value and a sign of high solvency as it would only need 1.51 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.51, AMD is in the better half of the industry, outperforming 75.47% of the companies in the same industry.
A Debt/Equity ratio of 0.07 indicates that AMD is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.07, AMD belongs to the best of the industry, outperforming 83.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.51 | ||
| Altman-Z | 8.58 |
ROIC/WACC0.31
WACC11.42%
2.3 Liquidity
AMD has a Current Ratio of 2.80. This indicates that AMD is financially healthy and has no problem in meeting its short term obligations.
AMD has a better Current ratio (2.80) than 67.92% of its industry peers.
A Quick Ratio of 1.97 indicates that AMD should not have too much problems paying its short term obligations.
AMD has a better Quick ratio (1.97) than 64.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.97 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 37.08% over the past year.
AMD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 38.99% yearly.
The Revenue has grown by 21.71% in the past year. This is a very strong growth!
The Revenue has been growing by 30.81% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)37.08%
EPS 3Y5.84%
EPS 5Y38.99%
EPS Q2Q%54.84%
Revenue 1Y (TTM)21.71%
Revenue growth 3Y16.2%
Revenue growth 5Y30.81%
Sales Q2Q%35.9%
3.2 Future
The Earnings Per Share is expected to grow by 27.14% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 16.77% on average over the next years. This is quite good.
EPS Next Y20.57%
EPS Next 2Y30.95%
EPS Next 3Y27.34%
EPS Next 5Y27.14%
Revenue Next Year23.39%
Revenue Next 2Y20.25%
Revenue Next 3Y19.04%
Revenue Next 5Y16.77%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
Based on the Price/Earnings ratio of 29.82, the valuation of AMD can be described as expensive.
AMD's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.82, AMD is valued at the same level.
A Price/Forward Earnings ratio of 19.18 indicates a rather expensive valuation of AMD.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AMD is on the same level as its industry peers.
AMD is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.82 | ||
| Fwd PE | 19.18 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AMD indicates a slightly more expensive valuation: AMD is more expensive than 73.58% of the companies listed in the same industry.
AMD's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.31 | ||
| EV/EBITDA | 28.95 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as AMD's earnings are expected to grow with 27.34% in the coming years.
PEG (NY)1.45
PEG (5Y)0.76
EPS Next 2Y30.95%
EPS Next 3Y27.34%
5. Dividend
5.1 Amount
AMD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:AMD (5/23/2025, 7:00:00 PM)
96.62
-2.34 (-2.36%)
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 Cap156.66B
Analysts75.27
Price Target120.71 (24.93%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.47%
Min EPS beat(2)0.13%
Max EPS beat(2)0.8%
EPS beat(4)3
Avg EPS beat(4)0.37%
Min EPS beat(4)-0.5%
Max EPS beat(4)1.03%
EPS beat(8)6
Avg EPS beat(8)0.48%
EPS beat(12)9
Avg EPS beat(12)0.74%
EPS beat(16)13
Avg EPS beat(16)4.67%
Revenue beat(2)2
Avg Revenue beat(2)2.05%
Min Revenue beat(2)0.75%
Max Revenue beat(2)3.35%
Revenue beat(4)4
Avg Revenue beat(4)1.42%
Min Revenue beat(4)0.63%
Max Revenue beat(4)3.35%
Revenue beat(8)5
Avg Revenue beat(8)0.68%
Revenue beat(12)6
Avg Revenue beat(12)0.31%
Revenue beat(16)10
Avg Revenue beat(16)1.49%
PT rev (1m)-11%
PT rev (3m)-27.63%
EPS NQ rev (1m)-41.19%
EPS NQ rev (3m)-41.65%
EPS NY rev (1m)-12.11%
EPS NY rev (3m)-14.28%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)0.24%
Revenue NY rev (1m)1.27%
Revenue NY rev (3m)-0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.82 | ||
| Fwd PE | 19.18 | ||
| P/S | 6.38 | ||
| P/FCF | 64.31 | ||
| P/OCF | 51.18 | ||
| P/B | 3.06 | ||
| P/tB | 12.06 | ||
| EV/EBITDA | 28.95 |
EPS(TTM)3.24
EY3.35%
EPS(NY)5.04
Fwd EY5.21%
FCF(TTM)1.5
FCFY1.56%
OCF(TTM)1.89
OCFY1.95%
SpS15.14
BVpS31.59
TBVpS8.01
PEG (NY)1.45
PEG (5Y)0.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 3.85% | ||
| ROCE | 4.42% | ||
| ROIC | 3.52% | ||
| ROICexc | 3.97% | ||
| ROICexgc | 15.97% | ||
| OM | 10.17% | ||
| PM (TTM) | 8.03% | ||
| GM | 50.09% | ||
| FCFM | 9.92% |
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-Score7
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.51 | ||
| Debt/EBITDA | 0.7 | ||
| Cap/Depr | 22.71% | ||
| Cap/Sales | 2.54% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.33% | ||
| Profit Quality | 123.62% | ||
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.97 | ||
| Altman-Z | 8.58 |
F-Score7
WACC11.42%
ROIC/WACC0.31
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)37.08%
EPS 3Y5.84%
EPS 5Y38.99%
EPS Q2Q%54.84%
EPS Next Y20.57%
EPS Next 2Y30.95%
EPS Next 3Y27.34%
EPS Next 5Y27.14%
Revenue 1Y (TTM)21.71%
Revenue growth 3Y16.2%
Revenue growth 5Y30.81%
Sales Q2Q%35.9%
Revenue Next Year23.39%
Revenue Next 2Y20.25%
Revenue Next 3Y19.04%
Revenue Next 5Y16.77%
EBIT growth 1Y417.62%
EBIT growth 3Y-17.55%
EBIT growth 5Y28.98%
EBIT Next Year13.73%
EBIT Next 3Y28.33%
EBIT Next 5Y26.02%
FCF growth 1Y9.29%
FCF growth 3Y-9.27%
FCF growth 5Y54.18%
OCF growth 1Y13.19%
OCF growth 3Y-4.77%
OCF growth 5Y43.89%