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Advanced Micro Devices (AMD) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Advanced Micro Devices (AMD - Free Report) closed at $116.53, marking a -1.92% move from the previous day. This move lagged the S&P 500's daily gain of 0.28%. At the same time, the Dow added 0.29%, and the tech-heavy Nasdaq gained 0.19%.
Heading into today, shares of the chipmaker had lost 18.7% over the past month, lagging the Computer and Technology sector's loss of 10.69% and the S&P 500's loss of 5.39% in that time.
Investors will be hoping for strength from Advanced Micro Devices as it approaches its next earnings release, which is expected to be February 1, 2022. The company is expected to report EPS of $0.75, up 44.23% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $4.52 billion, up 39.44% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Advanced Micro Devices. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.1% higher within the past month. Advanced Micro Devices is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, Advanced Micro Devices is holding a Forward P/E ratio of 35.75. Its industry sports an average Forward P/E of 18.69, so we one might conclude that Advanced Micro Devices is trading at a premium comparatively.
We can also see that AMD currently has a PEG ratio of 0.77. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Electronics - Semiconductors industry currently had an average PEG ratio of 1.54 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 70, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Advanced Micro Devices (AMD) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Advanced Micro Devices (AMD - Free Report) closed at $116.53, marking a -1.92% move from the previous day. This move lagged the S&P 500's daily gain of 0.28%. At the same time, the Dow added 0.29%, and the tech-heavy Nasdaq gained 0.19%.
Heading into today, shares of the chipmaker had lost 18.7% over the past month, lagging the Computer and Technology sector's loss of 10.69% and the S&P 500's loss of 5.39% in that time.
Investors will be hoping for strength from Advanced Micro Devices as it approaches its next earnings release, which is expected to be February 1, 2022. The company is expected to report EPS of $0.75, up 44.23% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $4.52 billion, up 39.44% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Advanced Micro Devices. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.1% higher within the past month. Advanced Micro Devices is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, Advanced Micro Devices is holding a Forward P/E ratio of 35.75. Its industry sports an average Forward P/E of 18.69, so we one might conclude that Advanced Micro Devices is trading at a premium comparatively.
We can also see that AMD currently has a PEG ratio of 0.77. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Electronics - Semiconductors industry currently had an average PEG ratio of 1.54 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 70, which puts it in the top 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.