Zacks Research Issues Pessimistic Forecast for AMD Earnings

Advanced Micro Devices, Inc. (NASDAQ:AMD) – Stock analysts at Zacks Research lowered their Q2 2025 earnings per share (EPS) estimates for shares of Advanced Micro Devices in a research note issued to investors on Tuesday, May 27th. Zacks Research analyst R. Department now expects that the semiconductor manufacturer will post earnings per share of $0.28 for the quarter, down from their prior estimate of $0.78. The consensus estimate for Advanced Micro Devices’ current full-year earnings is $3.87 per share. Zacks Research also issued estimates for Advanced Micro Devices’ Q3 2025 earnings at $0.82 EPS, Q4 2025 earnings at $0.91 EPS, FY2025 earnings at $2.77 EPS, Q1 2026 earnings at $0.93 EPS, Q2 2026 earnings at $0.98 EPS, Q3 2026 earnings at $1.14 EPS, Q4 2026 earnings at $1.29 EPS, FY2026 earnings at $4.33 EPS, Q1 2027 earnings at $1.27 EPS and FY2027 earnings at $5.76 EPS.

Advanced Micro Devices (NASDAQ:AMD) last announced its quarterly earnings data on Tuesday, May 6th. The semiconductor manufacturer reported $0.96 EPS for the quarter, beating analysts’ consensus estimates of $0.93 by $0.03. The firm had revenue of $7.44 billion for the quarter, compared to analyst estimates of $7.10 billion. Advanced Micro Devices had a return on equity of 7.42% and a net margin of 6.36%. The business’s quarterly revenue was up 35.9% compared to the same quarter last year. During the same period last year, the company earned $0.62 EPS.

A number of other research analysts have also commented on the company. Piper Sandler reiterated an “overweight” rating and issued a $125.00 price objective (down from $140.00) on shares of Advanced Micro Devices in a research report on Wednesday, May 7th. Wells Fargo & Company decreased their price objective on Advanced Micro Devices from $140.00 to $120.00 and set an “overweight” rating on the stock in a research report on Thursday, April 17th. Truist Financial set a $130.00 price target on Advanced Micro Devices in a research report on Wednesday, February 5th. TD Cowen raised their price target on Advanced Micro Devices from $110.00 to $115.00 and gave the stock a “buy” rating in a research report on Wednesday, May 7th. Finally, Argus set a $160.00 price target on Advanced Micro Devices in a research report on Thursday, February 6th. Fifteen analysts have rated the stock with a hold rating, twenty have assigned a buy rating and three have assigned a strong buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $132.58.

Advanced Micro Devices Stock Up 0.2%

Shares of AMD opened at $113.03 on Friday. The firm has a market capitalization of $183.27 billion, a price-to-earnings ratio of 114.17, a PEG ratio of 1.11 and a beta of 1.97. The company has a debt-to-equity ratio of 0.03, a quick ratio of 1.83 and a current ratio of 2.62. The business’s fifty day moving average price is $100.34 and its two-hundred day moving average price is $113.11. Advanced Micro Devices has a 52 week low of $76.48 and a 52 week high of $187.28.

Advanced Micro Devices announced that its board has initiated a share repurchase plan on Wednesday, May 14th that authorizes the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization authorizes the semiconductor manufacturer to buy up to 3.1% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its shares are undervalued.

Insider Activity

In other news, EVP Mark D. Papermaster sold 17,500 shares of the business’s stock in a transaction dated Tuesday, April 15th. The stock was sold at an average price of $95.47, for a total value of $1,670,725.00. Following the sale, the executive vice president now directly owns 1,713,710 shares in the company, valued at $163,607,893.70. The trade was a 1.01% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Corporate insiders own 0.06% of the company’s stock.

Institutional Trading of Advanced Micro Devices

Institutional investors have recently modified their holdings of the company. Vanguard Group Inc. increased its position in shares of Advanced Micro Devices by 1.4% in the first quarter. Vanguard Group Inc. now owns 152,367,351 shares of the semiconductor manufacturer’s stock valued at $15,654,222,000 after acquiring an additional 2,157,199 shares during the last quarter. Geode Capital Management LLC increased its position in shares of Advanced Micro Devices by 2.4% in the fourth quarter. Geode Capital Management LLC now owns 35,079,256 shares of the semiconductor manufacturer’s stock valued at $4,224,840,000 after acquiring an additional 835,413 shares during the last quarter. Fisher Asset Management LLC increased its position in shares of Advanced Micro Devices by 1.2% in the fourth quarter. Fisher Asset Management LLC now owns 24,086,020 shares of the semiconductor manufacturer’s stock valued at $2,909,350,000 after acquiring an additional 290,784 shares during the last quarter. Norges Bank acquired a new stake in shares of Advanced Micro Devices in the fourth quarter valued at about $2,867,193,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in shares of Advanced Micro Devices by 9.9% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 21,401,436 shares of the semiconductor manufacturer’s stock valued at $2,585,079,000 after acquiring an additional 1,929,225 shares during the last quarter. 71.34% of the stock is currently owned by institutional investors.

About Advanced Micro Devices

Advanced Micro Devices, Inc operates as a semiconductor company worldwide. It operates through Data Center, Client, Gaming, and Embedded segments. The company offers x86 microprocessors and graphics processing units (GPUs) as an accelerated processing unit, chipsets, data center, and professional GPUs; and embedded processors, and semi-custom system-on-chip (SoC) products, microprocessor and SoC development services and technology, data processing unites, field programmable gate arrays (FPGA), and adaptive SoC products.