AMD Advanced Micro Devices, Inc. - Fundamental Analysis
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AMD Stock | Fundamental Analysis & Investment Insights
NASDAQ
Technology
Semiconductors
Current Price
Live
$193.39
Analyst Target
$289.72
+49.8%
Upside
52W High
$267.08
52W Low
$76.48
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Mar 14, 2026
Market cap
$315.31B
P/E
74.1
ROE
7.1%
Profit margin
12.5%
Debt/Equity
0.06
Dividend yield
N/A
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
78%
Analysis Accuracy
AMD's Piotroski F-Score of 4/9 indicates a stable but not strong financial health, with no Altman Z-Score available to assess distress risk. The stock trades at a high current P/E of 74.10, significantly above the sector average of 77.53, yet its forward P/E of 17.76 and robust 34.1% YoY revenue growth suggest strong future earnings potential. The intrinsic value estimate of $76.99 is well below the current price of $193.39, indicating a premium valuation driven by growth expectations. Despite bearish insider activity and a lack of dividends, the company's exceptional earnings growth, strong gross margins, and solid balance sheet support a bullish outlook. Price trades at a 75.8% premium to fair value estimate ($110.00), limiting near-term upside from a valuation perspective.
Key Strengths
Exceptional 217.1% YoY earnings growth and 34.1% revenue growth highlight strong business momentum
High gross margin of 52.49% and solid operating margin of 17.06% reflect pricing power and operational efficiency
Extremely low debt/equity ratio of 0.06 and strong current ratio of 2.85 indicate excellent financial health
Consistent earnings beat history with an average surprise of 422.07% over the last four quarters
Strong analyst consensus with a buy recommendation and a target price of $289.72, implying significant upside
Key Risks
Piotroski F-Score of 4/9 suggests marginal financial strength, with room for improvement in profitability and cash flow consistency
Current price of $193.39 is nearly 2.5x the Graham Number ($47.64), indicating a substantial valuation premium
Insider selling totaling $65.35M in the last 6 months, including large sales by CEO and CFO, raises governance concerns
Forward P/E of 17.76 is misleadingly low due to one-time earnings spikes; underlying growth sustainability is uncertain
No dividend policy or payout history limits appeal to income investors and may signal reinvestment focus over shareholder returns
AI Fair Value Estimate
Based on comprehensive analysis
$110.0
-43.1% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
59
Moderate
45
90
85
65
10
AI Verdict
bullish
Key drivers: Exceptional revenue and earnings growth, Strong balance sheet and low leverage, High analyst target price and consensus buy rating, Consistent earnings beats and positive surprises, High gross margins and improving operating efficiency
Confidence
78%
Value
45/100
Ref P/E, PEG, Graham Number
Positives
- Forward P/E of 17.76 is attractive relative to current P/E
- Intrinsic value of $76.99 provides a baseline for undervaluation
Watchpoints
- Current price is 2.5x the Graham Number, indicating significant premium
- High P/E of 74.10 reflects high growth expectations and valuation risk
- PEG ratio unavailable, limiting growth-adjusted valuation analysis
- Price trades at a 75.8% premium to fair value estimate ($110.00), limiting near-term upside from a valuation perspective.
Future
90/100
Ref Growth rates
Positives
- 34.1% YoY revenue growth and 217.1% YoY earnings growth signal strong momentum
- Q/Q earnings growth of 213.5% indicates accelerating performance
- High forward P/E suggests strong market confidence in future earnings
Watchpoints
- Sustainability of hypergrowth is uncertain given cyclical semiconductor industry
- One-time earnings spikes may not be repeatable
Past
85/100
Ref Historical trends
Positives
- 25 consecutive quarters of earnings reporting with 3 out of 4 recent beats
- Average earnings surprise of 422.07% over last four quarters
- Consistent improvement in profitability and margin expansion
Watchpoints
- Historical earnings volatility, including a -4.8% surprise in 2022
- Negative EPS in 2025 Q2 (est: -$0.05) shows past instability
Health
65/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Debt/Equity of 0.06 is exceptionally low
- Current ratio of 2.85 and quick ratio of 1.78 indicate strong liquidity
- No Altman Z-Score available, but low leverage reduces distress risk
Watchpoints
- Piotroski F-Score of 4/9 indicates only stable financial health
- ROE of 7.08% and ROA of 3.20% are below industry leaders
Dividend
10/100
Ref Yield, Payout
Positives
No standout positives identified.
Watchpoints
- No dividend yield or payout ratio
- Payout ratio of 0.00% indicates no shareholder return policy
- Dividend strength score of 0/100 reflects complete absence of income feature
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$193.39
Analyst Target
$289.72
Upside/Downside
+49.8%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for AMD and closest competitors.
Updated 2026-03-13
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
AMD
Advanced Micro Devices, Inc.
Primary
|
+134.4% | +121.1% | +97.1% | +22.0% | -9.4% | +0.5% |
|
CSCO
Cisco Systems, Inc.
Peer
|
+92.3% | +70.3% | +28.8% | +11.8% | -0.5% | +1.8% |
|
IBM
International Business Machines Corporation
Peer
|
+232.3% | +136.3% | +50.0% | +16.0% | +9.5% | +0.3% |
|
LRCX
Lam Research Corporation
Peer
|
+306.0% | +388.5% | +184.0% | +122.3% | +43.9% | +2.1% |
|
AMAT
Applied Materials, Inc.
Peer
|
+210.2% | +191.2% | +129.8% | +104.2% | +0.6% | +5.2% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
74.1
Forward P/E
17.76
PEG Ratio
N/A
P/B Ratio
5.0
P/S Ratio
9.1
EV/Revenue
8.91
EV/EBITDA
45.78
Market Cap
$315.31B
Profitability
Profit margins and return metrics
Profit Margin
12.52%
Operating Margin
17.06%
Gross Margin
52.49%
ROE
7.08%
ROA
3.2%
Growth
Revenue and earnings growth rates
Revenue Growth
+34.1%
Earnings Growth
+217.1%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+213.5%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.06
Low debt
Current Ratio
2.85
Strong
Quick Ratio
1.78
Excellent
Cash/Share
$6.47
Quarterly Earnings History
EPS performance vs analyst estimates
2026-05-05
$N/A
2026-02-03
$1.53
+16.0% surprise
2025-11-04
$0.75
+10.0% surprise
2025-08-05
$0.54
+1240.2% surprise
Technology Sector Comparison
Comparing AMD against 149 companies in the Technology sector
(10 bullish, 66 neutral, 73 bearish)
P/E Ratio
74.1
This Stock
vs
90.97
Sector Avg
-18.5%
(Discount)
Return on Equity (ROE)
7.08%
This Stock
vs
-8.13%
Sector Avg
-187.1%
(Below Avg)
Profit Margin
12.52%
This Stock
vs
-7.75%
Sector Avg
-261.4%
(Weaker)
Debt to Equity
0.06
This Stock
vs
0.76
Sector Avg
-91.7%
(Less Debt)
Revenue Growth
34.1%
This Stock
vs
56.87%
Sector Avg
-40.0%
(Slower)
Current Ratio
2.85
This Stock
vs
3.33
Sector Avg
-14.5%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
AMD
Advanced Micro Devices, Inc.
|
NEUTRAL | $315.31B | 74.1 | 7.1% | 12.5% | $193.39 | |
|
CSCO
Cisco Systems, Inc.
|
NEUTRAL | $297.08B | 29.03 | 22.4% | 17.9% | $75.19 | |
|
IBM
International Business...
|
NEUTRAL | $285.74B | 36.48 | 30.2% | 12.1% | $305.69 | |
|
LRCX
Lam Research Corporation
|
NEUTRAL | $281.16B | 49.33 | 62.3% | 29.7% | $222.96 | |
|
AMAT
Applied Materials, Inc.
|
NEUTRAL | $271.04B | 35.1 | 38.9% | 27.8% | $341.53 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-03-04 | PAPERMASTER MARK D | Chief Technology Officer | Sale | 3,034 | $606,800 |
| 2026-02-27 | GUIDO PHILIP | Officer | Stock Award | 44,964 | - |
| 2026-02-27 | HU JEAN X | Chief Financial Officer | Stock Award | 131,942 | - |
| 2026-02-24 | PAPERMASTER MARK D | Chief Technology Officer | Gift | 413,212 | - |
| 2026-02-18 | HAHN AVA M | General Counsel | Sale | 286 | $56,814 |
| 2026-02-17 | HU JEAN X | Chief Financial Officer | Sale | 19,956 | $4,023,581 |
| 2026-02-13 | GRASBY PAUL DARREN | Officer | Stock Award | 7,084 | - |
| 2026-02-13 | HUYNH JACK M | Officer | Stock Award | 39,044 | - |
| 2026-02-13 | NORROD FORREST EUGENE | Officer | Stock Award | 76,966 | - |
| 2026-02-13 | HU JEAN X | Chief Financial Officer | Stock Award | 30,788 | - |
| 2026-02-13 | HAHN AVA M | General Counsel | Stock Award | 2,268 | - |
| 2026-02-11 | NORROD FORREST EUGENE | Officer | Option Exercise | 8,200 | $280,358 |
| 2026-02-11 | SU LISA T | Chief Executive Officer | Sale | 125,000 | $26,794,875 |
| 2026-02-11 | NORROD FORREST EUGENE | Officer | Sale | 19,450 | $4,216,969 |
| 2026-01-16 | HAHN AVA M | General Counsel | Sale | 2,442 | $572,454 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
46 analysts
Goldman Sachs
2026-02-25
Neutral
Neutral
RBC Capital
2026-02-25
Sector Perform
Sector Perform
Evercore ISI Group
2026-02-25
Outperform
Outperform
Mizuho
2026-02-25
Outperform
Outperform
Benchmark
2026-02-25
Buy
Buy
DA Davidson
2026-02-13
Neutral
Morgan Stanley
2026-02-04
Equal-Weight
Equal-Weight
Wedbush
2026-02-04
Outperform
Outperform
Evercore ISI Group
2026-02-04
Outperform
Outperform
Keybanc
2026-02-04
Overweight
Overweight
Past News Coverage
Recent headlines mentioning AMD from our newsroom.
Newest → oldest
No matching news yet.