Advanced Micro Devices (AMD) versus Its Rivals Financial Analysis

Advanced Micro Devices (NASDAQ: AMD) is one of 103 public companies in the “Semiconductors” industry, but how does it weigh in compared to its peers? We will compare Advanced Micro Devices to similar businesses based on the strength of its analyst recommendations, dividends, earnings, profitability, institutional ownership, valuation and risk.

Valuation & Earnings

This table compares Advanced Micro Devices and its peers gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Advanced Micro Devices $4.27 billion -$497.00 million -123.88
Advanced Micro Devices Competitors $4.31 billion $520.00 million 42.24

Advanced Micro Devices’ peers have higher revenue and earnings than Advanced Micro Devices. Advanced Micro Devices is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Advanced Micro Devices and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Advanced Micro Devices -1.39% -4.99% -0.65%
Advanced Micro Devices Competitors -45.13% 1.29% 1.30%

Insider and Institutional Ownership

60.0% of Advanced Micro Devices shares are owned by institutional investors. Comparatively, 66.2% of shares of all “Semiconductors” companies are owned by institutional investors. 1.6% of Advanced Micro Devices shares are owned by company insiders. Comparatively, 6.2% of shares of all “Semiconductors” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Volatility & Risk

Advanced Micro Devices has a beta of 2.46, suggesting that its share price is 146% more volatile than the S&P 500. Comparatively, Advanced Micro Devices’ peers have a beta of 1.01, suggesting that their average share price is 1% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings for Advanced Micro Devices and its peers, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Advanced Micro Devices 5 13 10 0 2.18
Advanced Micro Devices Competitors 939 4821 8840 369 2.58

Advanced Micro Devices presently has a consensus price target of $14.37, indicating a potential upside of 45.00%. As a group, “Semiconductors” companies have a potential upside of 13.59%. Given Advanced Micro Devices’ higher probable upside, equities research analysts plainly believe Advanced Micro Devices is more favorable than its peers.

Summary

Advanced Micro Devices peers beat Advanced Micro Devices on 9 of the 12 factors compared.

Advanced Micro Devices Company Profile

Advanced Micro Devices, Inc. is a global semiconductor company. The Company is engaged in offering x86 microprocessors, as standalone devices or as incorporated into an accelerated processing unit (APU), chipsets, discrete graphics processing units (GPUs) and professional graphics, and server and embedded processors and semi-custom System-on-Chip (SoC) products and technology for game consoles. The Company’s segments include the Computing and Graphics segment, and the Enterprise, Embedded and Semi-Custom segment. The Computing and Graphics segment primarily includes desktop and notebook processors and chipsets, discrete GPUs and professional graphics. The Enterprise, Embedded and Semi-Custom segment primarily includes server and embedded processors, semi-custom SoC products, development services, technology for game consoles and licensing portions of its intellectual property portfolio.

Receive News & Ratings for Advanced Micro Devices Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Advanced Micro Devices Inc. and related companies with MarketBeat.com's FREE daily email newsletter.

Latest News

Leave a Reply