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Advanced Micro Devices (AMD) Increases Yet Falls Behind Market: What Investors Need to Know
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The most recent trading session ended with Advanced Micro Devices (AMD - Free Report) standing at $168.42, reflecting a +0.14% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.29% gain on the day. Meanwhile, the Dow lost 0.25%, and the Nasdaq, a tech-heavy index, added 0.43%.
Shares of the chipmaker have appreciated by 20.47% over the course of the past month, outperforming the Computer and Technology sector's gain of 3.67% and the S&P 500's gain of 2.08%.
The upcoming earnings release of Advanced Micro Devices will be of great interest to investors. The company's earnings report is expected on January 30, 2024. The company's earnings per share (EPS) are projected to be $0.77, reflecting a 11.59% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $6.11 billion, up 9.2% from the prior-year quarter.
Investors should also take note of any recent adjustments to analyst estimates for Advanced Micro Devices. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.16% upward. Currently, Advanced Micro Devices is carrying a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Advanced Micro Devices has a Forward P/E ratio of 46.3 right now. This denotes a premium relative to the industry's average Forward P/E of 29.5.
It is also worth noting that AMD currently has a PEG ratio of 3.61. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Electronics - Semiconductors was holding an average PEG ratio of 3.13 at yesterday's closing price.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 108, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Advanced Micro Devices (AMD) Increases Yet Falls Behind Market: What Investors Need to Know
The most recent trading session ended with Advanced Micro Devices (AMD - Free Report) standing at $168.42, reflecting a +0.14% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.29% gain on the day. Meanwhile, the Dow lost 0.25%, and the Nasdaq, a tech-heavy index, added 0.43%.
Shares of the chipmaker have appreciated by 20.47% over the course of the past month, outperforming the Computer and Technology sector's gain of 3.67% and the S&P 500's gain of 2.08%.
The upcoming earnings release of Advanced Micro Devices will be of great interest to investors. The company's earnings report is expected on January 30, 2024. The company's earnings per share (EPS) are projected to be $0.77, reflecting a 11.59% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $6.11 billion, up 9.2% from the prior-year quarter.
Investors should also take note of any recent adjustments to analyst estimates for Advanced Micro Devices. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.16% upward. Currently, Advanced Micro Devices is carrying a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Advanced Micro Devices has a Forward P/E ratio of 46.3 right now. This denotes a premium relative to the industry's average Forward P/E of 29.5.
It is also worth noting that AMD currently has a PEG ratio of 3.61. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Electronics - Semiconductors was holding an average PEG ratio of 3.13 at yesterday's closing price.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 108, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.