AMD Poised for Growth Amid Strong Data Center Revenue

AMD Poised for Growth. Advanced Micro Devices is expected to see a significant boost in revenues driven by its Data Center segment, with forecasts suggesting a 79.71% year-over-year increase. While challenges in Gaming and Embedded segments are noted, the overall outlook remains positive.

Date: 01-02-2025

AI Rating: 7

Earnings Per Share (EPS)
No specific EPS information is provided in the report. However, a positive EPS could have indicated strong profitability.

Revenue Growth
The report indicates substantial revenue growth for AMD's Data Center and Client segments. The Zacks Consensus Estimate for Data Center revenues is expected at $4.1 billion, marking an impressive year-over-year increase of 79.71%. In the Client segment, revenues are anticipated to reach $1.97 billion, suggesting a 35.04% year-over-year growth.

Net Income
No specific net income figures are mentioned in the report, thus not allowing for a detailed analysis on net profitability.

Profit Margins (Gross, Operating, Net)
The report lacks specific information on profit margins, making it impossible to analyze AMD's profitability efficiently.

Free Cash Flow (FCF)
No Free Cash Flow data is provided, thus limiting insights on the company's liquidity and financial health.

Return on Equity (ROE)
There is no mention of ROE in the report, which could have provided insights into AMD's efficiency in generating profits from shareholders’ equity.

Overall Outlook
While the report presents AMD's strong performance in the Data Center segment and an expanding portfolio, it also highlights expected declines in the Gaming and Embedded segments, posing potential risks to the stock's stability. The Earnings ESP is 0.00% with a Zacks Rank of #4 (Sell), suggesting the possibility of an earnings miss, which could negatively impact stock prices in the short term.

Stocks: AMD AKAM AME DASH