AMD

Advanced Micro Devices is one of the most mentioned companies in the U.S. across all news items in the last 12 hours, according to Factiva data. After trading closed Tuesday, the chipmaker posted a fourth-quarter profit of $667 million, or 41 cents a share, beating analysts’ expectations for per-share earnings of 25 cents. Revenue rose 10% to $6.17 billion, higher than the $6.13 billion that analysts were expecting. However, AMD forecast $5.4 billion, plus or minus $300 million, in revenue in the first-quarter of 2024, below analysts’ expectations of $5.73 billion. Dow Jones & Co. owns Factiva.

Advanced Micro Devices’ (AMD) Q1 sales outlook of $5.4 billion, plus or minus $300 million, was “slightly worse” than the consensus of $5.8 billion, BofA Securities said in a note Tuesday. The firm’s forecast is revenue of $5.5 billion. “Weak outlook is primarily in programmable chips, gaming and PC, deeper than expected,” BofA said. The firm also said that the company’s data center segment is “strongly on track” and points to “continued share gains” against Intel (INTC). BofA increased the data center sales forecast for AMD by 5% to 6% to $12 billion in 2024 and to $15.9 billion in 2025. The firm lowered its EPS estimates for the company to $3.62 from $3.83 in 2024 and to $5.07 from $5.20 in 2025. BofA maintained the buy rating and $195 price objective on AMD stock.

AMD’s projected slump in its gaming business isn’t worrying analysts at UBS. They say in a research note that the gaming segment is seeing a larger-than-expected correction, as the chipmaker forecasts an implied 30% sequential drop in gaming revenue in the next two quarters. Still, the analysts say AMD raised its implied revenue guidance for its data center business, which includes AI chips. That segment is core to their investment thesis, and they see it on track to generate half of revenue in 2024. “If this were AMD’s only business, this would have been a great result & guidance as momentum continues to grow,” they say. Shares fall 2.5% to $167.74.

By Ryan Shrout The chip maker’s latest earnings show both promise and the challenges ahead The earnings whirlwind for technology and silicon companies now has enveloped Advanced Micro Devices Inc. (AMD) after it reported fourth-quarter and full-year 2023 results. I know that many other stories and analysts will dive into the dollars more deeply than me, but it’s worth recounting a couple of the key points that I think are relevant to how we look at the ability for AMD to sustain its momentum into 2024. From a fourth-quarter 2023 perspective, looking at year-on-year comparisons to a 2022 that was by all accounts pretty bad for AMD (and the chip market in general), revenue was up 10%, gross profit was up 10%, margin was essentially flat, and operating income jumped 12% to over $1.4 billion. Drilling into AMD’s key business units, the data-center group saw a 38% increase in revenue

Advanced Micro Devices (NASDAQ:AMD) Stock Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 01/30/2024 15.77% Rosenblatt → $200 Reiterates Buy → Buy 01/30/2024 12.87% Raymond James $190 → $195 Downgrades Strong Buy → Outperform 01/29/2024 9.98% Cantor Fitzgerald → $190 Reiterates Overweight → Overweight 01/29/2024 11.72% Morgan Stanley $128 → $193 Maintains Overweight 01/29/2024 12.87% B of A Securities $165 → $195 Maintains Buy 01/29/2024 21.56% Susquehanna $170 → $210 Maintains Positive 01/25/2024 27.34% UBS $135 → $220 Maintains Buy 01/24/2024 24.45% New Street Research → $215 Upgrades Neutral → Buy 01/23/2024 9.98% Cantor Fitzgerald → $190 Initiates Coverage On → Overweight 01/22/2024 — Northland Capital Markets Downgrades Outperform → Market Perform 01/19/2024 9.98% Raymond James $140 → $190 Maintains Strong Buy 01/16/2024 15.77% Barclays $120 → $200 Maintains Overweight 01/16/2024 12.87% Keybanc $170 → $195 Maintains Overweight 01/08/2024 8.82% Melius Research →

Rosenblatt analyst Hans Mosesmann reiterates Advanced Micro Devices (NASDAQ:AMD) with a Buy and maintains $200 price target.

AMD Reports Fourth Quarter and Full Year 2023 Financial Results SANTA CLARA, Calif., Jan. 30, 2024 (GLOBE NEWSWIRE) — AMD (NASDAQ:AMD) today announced revenue for the fourth quarter of 2023 of $6.2 billion, gross margin of 47%, operating income of $342 million, net income of $667 million and diluted earnings per share of $0.41. On a non-GAAP((*) basis, gross margin was 51%, operating income was $1.4 billion, net income was $1.2 billion and diluted earnings per share was $0.77. For the full year 2023, the company reported revenue of $22.7 billion, gross margin of 46%, operating income of $401 million, net income of $854 million and diluted earnings per share of $0.53. On a non-GAAP((*) basis, gross margin was 50%, operating income was $4.9 billion, net income was $4.3 billion and diluted earnings per share was $2.65. “We finished 2023 strong, with sequential and year-over-year revenue and earnings growth driven

AMD Reports Q4 EPS of $0.77 on Revenue of $6.2 Billion, Vs CIQ Analyst Consensus of $0.77/Share on Revenue of $6.14 Billion。

AMD Q4 Gaming Revenue at $1.4 Billion Vs Visible Alpha Analyst Consensus of $1.25 Billion; Embedded Revenue at $1.1 Billion Vs Consensus of $1.06 Billion。

By Asa Fitch Advanced Micro Devices projected lower-than-expected revenue in the first quarter, citing weakness in some of its core markets even as sales of artificial-intelligence chips grow. AMD expects around $5.4 billion of sales in the current quarter, the company said, up from $5.35 billion the same period last year but behind Wall Street forecasts, according to FactSet. AMD’s stock fell 2% in after-hours trading. The shares have more than doubled over the past 12 months. In addition to weaker sales of PC and videogaming chips, AMD said it was seeing a seasonal decline in sales of computer servers where its chips feature. That was being offset, however, by growing interest in the company’s chips for artificial intelligence calculations, AMD said. AMD is the nearest rival to Nvidia in AI chips needed to create advanced systems like OpenAI’s ChatGPT. Booming investment in AI has been a bonanza Nvidia, which

AMD (AMD) reported Q4 non-GAAP earnings Tuesday of $0.77 per diluted share, up from $0.69 a year earlier. Analysts surveyed by Capital IQ expected $0.77. Revenue for the quarter ended Dec. 30 was $6.17 billion, up from $5.60 billion a year earlier. Analysts surveyed by Capital IQ expected $6.14 billion. The company said it expects Q1 2024 revenue of about $5.4 billion, plus or minus $300 million. Analysts surveyed by Capital IQ expect $5.75 billion.

AMD (AMD) might face a potential stock correction around earnings results on Tuesday because of a tougher near-term setup, but long-term artificial intelligence tailwinds remain strong, BofA Securities said Monday in a note. The investment firm said despite a “multi-hundred” billion dollar AI market, AMD faces tough competition from Nvidia, which has over 75% market share, and customer chip partners. AMD is expected to gain share in server CPU market from Intel in Q4, and the trend will continue in 2024, BofA said. The firm expects AMD’s combined revenue from PC and server CPU to make up 20% of the total in 2024. BofA reiterated its buy rating for AMD and raised price objective to $195 from $165.