Advanced Micro Devices, Inc.’s stock price dips to $112.01, marking a 6.27% decline: A deep analysis

Advanced Micro Devices, Inc. (AMD)

112.01 USD -7.49 (-6.27%) Volume: 109.99M

Advanced Micro Devices, Inc.’s stock price is currently at 112.01 USD, experiencing a decrease of 6.27% this trading session, with a hefty trading volume of 109.99M. Despite this, AMD’s year-to-date performance records a moderate loss of 7.76%, making it a significant player in the stock market to keep an eye on.

Latest developments on Advanced Micro Devices, Inc.

Advanced Micro Devices (AMD) stock took a hit as analysts slashed price targets following a data center revenue miss, despite a modest beat-and-raise Q4 report. The company’s Q4 results surpassed estimates and provided optimistic Q1 guidance, but concerns about AI chip growth lingered. The $4.9 billion ZT Systems deal faces an EU antitrust decision soon, while Morgan Stanley highlighted worries about AMD’s lack of data center revenue growth and AI visibility. Despite the challenges, AMD maintains a buy rating with a $200 target, but the stock dropped nearly 10% on earnings due to disappointing AI data center business performance, contrasting with Nvidia’s success. AMD’s bottoming out in 2025 signals a potential upward trend, but a Citi rating cut due to AI revenue growth concerns led to a 6% drop in stock value. The company’s strong earnings failed to impress due to ongoing AI worries, resulting in a more than 6% drop in share value. Despite beating sales expectations, AMD’s weak guidance caused a 9% stock plunge, with data center sales disappointing Wall Street. The stock’s decline to its lowest since 2023 on lackluster data center revenue highlights investor concerns, even as AMD aims to align reporting with its business focus. The AI chip revenue miss further impacted shares, while a disappointing outlook for AI growth contributed to AMD’s stock fall. Despite the setbacks, Advanced Micro Devices continues to see high growth potential with a great valuation, as analysts weigh in on the company’s future prospects.

Advanced Micro Devices, Inc. on Smartkarma

Analysts on Smartkarma are closely following Advanced Micro Devices (AMD) as the company navigates through a challenging period. William Keating‘s report highlights the struggles in AMD’s Data Center GPU roadmap, with the company facing stiff competition from NVIDIA. Despite this, Keating believes that AMD can improve its performance. On the other hand, Nicolas Baratte remains bullish on AMD, citing the company’s impressive AI GPU roadmap for 2025. Baratte sees the recent stock correction as a buying opportunity, especially with AMD’s CEO forecasting significant growth in Data Center AI revenue.

Furthermore, Travis Lundy’s analysis focuses on the MarketVector US Semiconductor Index rebal results, which are expected to lead to a one-way flow of US$1.3 billion for December 2024. In another report, William Keating celebrates Lisa Su, AMD’s CEO, for being named Time’s CEO of the year. Despite Su’s remarkable achievements, AMD’s share price has faced challenges. Baptista Research also highlights AMD’s strong performance in key segments like Data Center and Client Processor, with revenue growing significantly in Q3 2024, allowing the company to invest in research and development for future growth.

A look at Advanced Micro Devices, Inc. Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Advanced Micro Devices, Inc. (AMD) has a mixed outlook based on the Smartkarma Smart Scores. While the company scores well in terms of resilience, indicating its ability to withstand market fluctuations, its dividend score is low. This suggests that investors may not see high returns in terms of dividends from AMD. Additionally, the company’s momentum score is also moderate, indicating that it may not be experiencing significant growth in the near future.

On the other hand, AMD scores well in terms of value and growth, which could be positive indicators for the company’s long-term performance. With a strong focus on producing semiconductor products and devices, AMD continues to serve customers globally with its range of products. Overall, while there are some areas of concern, AMD’s strengths in resilience, value, and growth could potentially drive its success in the long run.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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