Breaking Down Advanced Micro Devices: 15 Analysts Share Their Views

Analysts' ratings for Advanced Micro Devices AMD over the last quarter vary from bullish to bearish, as provided by 15 analysts.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $159.2, a high estimate of $250.00, and a low estimate of $110.00. Observing a downward trend, the current average is 15.96% lower than the prior average price target of $189.43.

Diving into Analyst Ratings: An In-Depth Exploration

A comprehensive examination of how financial experts perceive Advanced Micro Devices is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Advanced Micro Devices. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Advanced Micro Devices compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Advanced Micro Devices's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Advanced Micro Devices's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Advanced Micro Devices analyst ratings.

All You Need to Know About Advanced Micro Devices

Advanced Micro Devices designs a variety of digital semiconductors for markets such as PCs, gaming consoles, data centers, industrial, and automotive applications. AMD's traditional strength was in central processing units and graphics processing units used in PCs and data centers. Additionally, the firm supplies the chips found in prominent game consoles such as the Sony PlayStation and Microsoft Xbox. In 2022, the firm acquired field-programmable gate array leader Xilinx to diversify its business and augment its opportunities in key end markets such as data center and automotive.

Financial Milestones: Advanced Micro Devices's Journey

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Advanced Micro Devices's revenue growth over a period of 3 months has been noteworthy. As of 30 September, 2024, the company achieved a revenue growth rate of approximately 17.57%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Advanced Micro Devices's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 11.31%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Advanced Micro Devices's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 1.36%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Advanced Micro Devices's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.12%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Advanced Micro Devices's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.04.

Analyst Ratings: Simplified

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.