Advanced Micro Devices Inc

Advanced Micro Devices Inc has a market capitalization of $412.53 billion and a price-to-book ratio of 73.41, indicating a highly capitalized and asset-light business model. The company's liquidity position is strong, with $4.19 billion in cash and equivalents and a current ratio of 2.64, suggesting it can easily cover its short-term obligations. However, the price-to-earnings ratio of 33,538.85 and the price-to-revenue ratio of 753.44 highlight a significant premium to earnings and revenue, which may reflect high expectations for future growth or a lack of current profitability.

Profitability metrics for Advanced Micro Devices Inc are modest, with a return on equity of 0.22% and a return on assets of 0.18%, both well below the industry median for semiconductor firms. The company's operating margin is 6.59% (calculated from operating income of $36 million and revenue of $5.47 billion), which is also below the industry median, indicating that it is not currently achieving the same level of operational efficiency as its peers. The gross margin of 46.8% (calculated from gross profit of $2.56 billion and revenue of $5.47 billion) is in line with the industry median, suggesting that the company is managing its production costs effectively.

Advanced Micro Devices Inc's revenue is concentrated in a few key segments, with the majority of its revenue coming from the sale of CPUs and GPUs. The company's geographic exposure is primarily in North America, with a significant portion of its revenue generated in the United States. This concentration may expose the company to regional economic fluctuations and regulatory changes, which could impact its financial performance.

The company's growth trajectory is mixed, with a current fiscal year outlook indicating a slight increase in revenue and a next fiscal year outlook suggesting a more substantial growth. The capital expenditure of -$142 million indicates a reduction in investment in physical assets, which may be a strategic move to preserve cash or a sign of reduced expansion plans. The free cash flow of $758 million suggests that the company is generating positive cash flow from operations, which can be used for debt repayment, dividends, or further investment.

Risk factors for Advanced Micro Devices Inc include a low liquidity risk and a low dilution risk, as no immediate filing-based liquidity or dilution flags were detected. The company's debt-to-equity ratio of 0.04 indicates a conservative capital structure with minimal reliance on debt financing. However, the high price-to-earnings and price-to-revenue ratios suggest that the company is currently overvalued relative to its earnings and revenue, which could lead to volatility if earnings do not meet expectations.

Recent events for Advanced Micro Devices Inc include analyst estimates with a mean price target of $290.84 and a median price target of $291.00, indicating a generally positive outlook from analysts. The mean recommendation of 2.02 (1=strong buy, 5=strong sell) suggests a moderate level of confidence in the company's future performance. The strong-buy count of 14 and the buy count of 28 indicate that a significant number of analysts believe the stock is undervalued or has strong growth potential.

This is the first analysis for Advanced Micro Devices, Inc. (AMD.O), establishing a baseline with no prior data for delta computation. Consequently, there are no material changes to report relative to a previous period, and the company's profile is defined by its current structural metrics rather than recent shifts. The most significant activity detected involves major holder changes for investor ID 587 as of March 31, 2026. Signals indicate a substantial modification in share count, with one record showing an increase to 368,026 shares (valued at $74.87 million, representing a 0.043% weight) and another showing a decrease to 30,093 shares (valued at $6.12 million, representing a 0.0035% weight). These conflicting signals were detected on June 20 and June 21, 2026, highlighting a notable adjustment in this specific investor's position. In terms of broader market structure, AMD is tracked by 13 analysts and holds membership in 2 indices. The company has 37 top holders, indicating a diversified institutional base, though no specific officer count is currently recorded in the available data. Recent news sentiment and dispatch volume have been absent, with zero dispatches recorded daily from May 28 through June 17, 2026. This lack of recent news flow, combined with the initial nature of this analysis, suggests that current market attention is focused on the underlying holder adjustments rather than new corporate developments or analyst revisions.

Revenue is projected to surge 34.3% year-over-year to $34.6 billion in fiscal 2026, demonstrating strong top-line growth momentum.

Net income is expected to jump 164.2% to $4.3 billion in fiscal 2026, signaling a robust recovery in profitability.

Free cash flow is forecast to increase 58.2% to $6.0 billion in fiscal 2026, highlighting superior cash generation capabilities.

The company maintains a low leverage band with a debt-to-equity ratio of 0.05, ensuring a conservative and stable capital structure.

Cash conversion metrics rank as best-in-class within the semiconductor cohort, outperforming the median significantly.

The current market price of $316.29 exceeds the consensus mean price target of $287.76, implying limited upside potential.

Return on invested capital is merely 0.06%, suggesting the company generates minimal value above its cost of capital.

Long-term debt is projected to rise to $3.2 billion in fiscal 2026, increasing financial obligations compared to prior years.

Revenue $10.27B, +34,1% YoY; Operating income +101,2% YoY.

• ▍Revenue $10.27B, +34,1% YoY
• ▍Operating income +101,2% YoY
• ▍Net income +213,5% YoY
• ▍Free cash flow +111,2% YoY
• ▍Net margin 14.7%

Revenue $9.25B, +35,6% YoY; Operating income +75,4% YoY.

• ▍Revenue $9.25B, +35,6% YoY
• ▍Operating income +75,4% YoY
• ▍Net income +61,2% YoY
• ▍Free cash flow +19,4% YoY
• ▍Net margin 13.4%

Revenue $7.68B, +31,7% YoY; Operating income −149,8% YoY.

• ▍Revenue $7.68B, +31,7% YoY
• ▍Operating income −149,8% YoY
• ▍Net income +229,1% YoY
• ▍Free cash flow +41,5% YoY
• ▍Net margin 11.3%

Revenue $7.44B, +35,9% YoY; Operating income +2 138,9% YoY.

• ▍Revenue $7.44B, +35,9% YoY
• ▍Operating income +2 138,9% YoY
• ▍Net income +476,4% YoY
• ▍Free cash flow +62,5% YoY
• ▍Net margin 9.5%

Revenue $7.66B; Operating income $871.0M.

• ▍Revenue $7.66B
• ▍Operating income $871.0M
• ▍Net margin 6.3%

Revenue $6.82B; Operating income $724.0M.

• ▍Revenue $6.82B
• ▍Operating income $724.0M
• ▍Net margin 11.3%

Revenue $5.83B; Operating income $269.0M.

• ▍Revenue $5.83B
• ▍Operating income $269.0M
• ▍Net margin 4.5%

Revenue $5.47B; Operating income $36.0M.

• ▍Revenue $5.47B
• ▍Operating income $36.0M
• ▍Net margin 2.2%

Revenue $34.64B, +34,3% YoY; Operating income +94,4% YoY.

• ▍Revenue $34.64B, +34,3% YoY
• ▍Operating income +94,4% YoY
• ▍Net income +164,2% YoY
• ▍Free cash flow +58,2% YoY
• ▍Net margin 12.5%

Revenue $25.79B, +13,7% YoY; Operating income +373,8% YoY.

• ▍Revenue $25.79B, +13,7% YoY
• ▍Operating income +373,8% YoY
• ▍Net income +92,2% YoY
• ▍Free cash flow +7,8% YoY
• ▍Net margin 6.4%

Revenue $22.68B, −3,9% YoY; Operating income −68,3% YoY.

• ▍Revenue $22.68B, −3,9% YoY
• ▍Operating income −68,3% YoY
• ▍Net income −35,3% YoY
• ▍Free cash flow −26,8% YoY
• ▍Net margin 3.8%

Revenue $23.60B, +43,6% YoY; Operating income −65,3% YoY.

• ▍Revenue $23.60B, +43,6% YoY
• ▍Operating income −65,3% YoY
• ▍Net income −58,2% YoY
• ▍Free cash flow +48,5% YoY
• ▍Net margin 5.6%