AMD (Advanced Micro Devices)'s shares show signs of a reversal to the downside. The technical chart pattern has deteriorated and suggests a continuation of the decline.
Summary
● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● From a short-term investment perspective, the company presents a deteriorated fundamental situation
Strengths
● The prospective high growth for the next fiscal years is among the main assets of the company
● The company's earnings per share (EPS) are expected to grow significantly over the next few years according to the consensus of analysts covering the stock.
● The company's EBITDA/Sales ratio is relatively high and results in high margins before depreciation, amortization and taxes.
● The company returns high margins, thereby supporting business profitability.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
● Consensus analysts have strongly revised their opinion of the company over the past 12 months.
● The group usually releases upbeat results with huge surprise rates.
Weaknesses
● With an expected P/E ratio at 127.34 and 48.07 respectively for both the current and next fiscal years, the company operates with high earnings multiples.
● Based on current prices, the company has particularly high valuation levels.
● The company appears highly valued given the size of its balance sheet.
● The company is highly valued given the cash flows generated by its activity.
● For the past year, analysts have significantly revised downwards their profit estimates.
● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
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Advanced Micro Devices, Inc. is gespecialiseerd in het ontwerp, de vervaardiging en de verkoop van halfgeleiders en microprocessors. Het concern biedt processors, chips, kaarten, verbindingsproducten, adapters, enz., met name bestemd voor computers, servers, werkstations, telefoons en spelletjesconsoles.
De geografische verdeling van de omzet is als volgt: Verenigde Staten (33,7%), China (24,2%), Singapore (14%), Taiwan (12,8%), Japan (6,9%), Europa (6,3%) en andere (2,1%).
This super rating is the result of a weighted average of the rankings based on the following ratings: Global Valuation (Composite), EPS Revisions (4 months), and Visibility (Composite). We recommend that you carefully review the associated descriptions.
Investor
Investor
This super composite rating is the result of a weighted average of the rankings based on the following ratings: Fundamentals (Composite), Global Valuation (Composite), EPS Revisions (1 year), and Visibility (Composite). We recommend that you carefully review the associated descriptions.
Global
Global
This composite rating is the result of an average of the rankings based on the following ratings: Fundamentals (Composite), Valuation (Composite), Financial Estimates Revisions (Composite), Consensus (Composite), and Visibility (Composite). The company must be covered by at least 4 of these 5 ratings for the calculation to be performed. We recommend that you carefully review the associated descriptions.
Quality
Quality
This composite rating is the result of an average of the rankings based on the following ratings: Capital Efficiency (Composite), Quality of Financial Reporting (Composite), and Financial Health (Composite). The company must be covered by at least 2 of these 3 ratings for the calculation to be performed. We recommend that you carefully review the associated descriptions.
