Advanced Micro Devices Stock Buy Hold or Sell Recommendation

AMD Stock  USD 179.59  1.72  0.97%   
Considering the 90-day investment horizon and your typical level of risk aversion, our recommendation regarding Advanced Micro Devices is 'Sell'. Macroaxis provides Advanced Micro buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding AMD positions. The advice algorithm takes into account all of Advanced Micro's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Advanced Micro's buy or sell advice are summarized below:
Real Value
152.69
Target Price
129.11
Hype Value
178.78
Market Value
179.59
Naive Value
154.95
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Advanced Micro Devices given historical horizon and risk tolerance towards Advanced Micro. When Macroaxis issues a 'buy' or 'sell' recommendation for Advanced Micro Devices, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Advanced Micro Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Advanced and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Advanced Micro Devices. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in population.

Execute Advanced Micro Buy or Sell Advice

The Advanced recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Advanced Micro Devices. Macroaxis does not own or have any residual interests in Advanced Micro Devices or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Advanced Micro's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Advanced MicroBuy Advanced Micro
Sell

Market Performance

OKDetails

Volatility

Very steadyDetails

Hype Condition

Over hypedDetails

Current Valuation

OvervaluedDetails

Odds Of Distress

Very LowDetails

Economic Sensitivity

Responds to the marketDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

Strong BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Advanced Micro Devices has a Mean Deviation of 2.39, Semi Deviation of 2.28, Standard Deviation of 3.27, Variance of 10.73, Downside Variance of 6.32 and Semi Variance of 5.2
Macroaxis provides advice on Advanced Micro Devices to complement and cross-verify current analyst consensus on Advanced Micro Devices. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Advanced Micro is not overpriced, please confirm all Advanced Micro Devices fundamentals, including its price to book, cash and equivalents, cash flow from operations, as well as the relationship between the gross profit and debt to equity . Given that Advanced Micro Devices has a price to earning of 45.87 X, we suggest you to validate Advanced Micro Devices market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Advanced Micro Trading Alerts and Improvement Suggestions

Advanced Micro had very high historical volatility over the last 90 days
About 75.0% of the company shares are held by institutions such as insurance companies
Latest headline from finance.yahoo.com: Nvidia Supplier SK Hynix to Launch 4B Semiconductor Facility in Indiana, Aims to Revitalize US Semiconductor Manufacturing

Advanced Micro Returns Distribution Density

The distribution of Advanced Micro's historical returns is an attempt to chart the uncertainty of Advanced Micro's future price movements. The chart of the probability distribution of Advanced Micro daily returns describes the distribution of returns around its average expected value. We use Advanced Micro Devices price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Advanced Micro returns is essential to provide solid investment advice for Advanced Micro.
Mean Return
0.43
Value At Risk
-4.34
Potential Upside
7.11
Standard Deviation
3.27
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Advanced Micro historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Advanced Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Advanced Micro is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Advanced Micro Devices backward and forwards among themselves. Advanced Micro's institutional investor refers to the entity that pools money to purchase Advanced Micro's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Wellington Management Company Llp2023-12-31
19.2 M
Goldman Sachs Group Inc2023-12-31
17.5 M
Northern Trust Corp2023-12-31
15.6 M
Amundi2023-12-31
14.8 M
Amvescap Plc.2023-12-31
14 M
Legal & General Group Plc2023-12-31
12.8 M
Coatue Management Llc2023-12-31
12.5 M
Ubs Asset Mgmt Americas Inc2023-12-31
12.3 M
Bank Of New York Mellon Corp2023-12-31
12.1 M
Vanguard Group Inc2023-12-31
142.4 M
Blackrock Inc2023-12-31
123.7 M
Note, although Advanced Micro's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Advanced Micro Cash Flow Accounts

201920202021202220232024 (projected)
Change In Cash387M125M940M2.3B(902M)(856.9M)
Free Cash Flow276M777M3.2B3.1B1.1B1.2B
Depreciation258M312M407M4.3B3.6B3.7B
Capital Expenditures217M294M301M450M546M420.3M
Net Income341M2.5B3.2B1.3B854M896.7M
Change To Netincome406M(856M)721M(171M)(196.7M)(186.8M)
Investments66M(658M)(378M)2.0B(506M)(480.7M)
Change Receivables(806M)(623M)(219M)(640M)(576M)(547.2M)
Net Borrowings(40M)(41M)(473M)679M780.9M819.9M

Advanced Micro Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Advanced Micro or Semiconductors & Semiconductor Equipment sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Advanced Micro's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Advanced stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
0.26
β
Beta against NYSE Composite1.30
σ
Overall volatility
3.38
Ir
Information ratio 0.09

Advanced Micro Volatility Alert

Advanced Micro Devices currently demonstrates below-average downside deviation. It has Information Ratio of 0.09 and Jensen Alpha of 0.26. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Advanced Micro's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Advanced Micro's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Advanced Micro Implied Volatility

Advanced Micro's implied volatility exposes the market's sentiment of Advanced Micro Devices stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Advanced Micro's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Advanced Micro stock will not fluctuate a lot when Advanced Micro's options are near their expiration.

Advanced Micro Fundamentals Vs Peers

Comparing Advanced Micro's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Advanced Micro's direct or indirect competition across all of the common fundamentals between Advanced Micro and the related equities. This way, we can detect undervalued stocks with similar characteristics as Advanced Micro or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Advanced Micro's fundamental indicators could also be used in its relative valuation, which is a method of valuing Advanced Micro by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Advanced Micro to competition
FundamentalsAdvanced MicroPeer Average
Return On Equity0.0154-0.31
Return On Asset0.0037-0.14
Profit Margin0.04 %(1.27) %
Operating Margin0.06 %(5.51) %
Current Valuation284.69 B16.62 B
Shares Outstanding1.62 B571.82 M
Shares Owned By Insiders0.47 %10.09 %
Shares Owned By Institutions74.90 %39.21 %
Number Of Shares Shorted38.54 M4.71 M
Price To Earning45.87 X28.72 X
Price To Book5.14 X9.51 X
Price To Sales12.60 X11.42 X
Revenue22.68 B9.43 B
Gross Profit12.05 B27.38 B
EBITDA401 M3.9 B
Net Income854 M570.98 M
Cash And Equivalents4.83 B2.7 B
Cash Per Share3.47 X5.01 X
Total Debt3 B5.32 B
Debt To Equity0.05 %48.70 %
Current Ratio2.15 X2.16 X
Book Value Per Share34.59 X1.93 K
Cash Flow From Operations1.67 B971.22 M
Short Ratio0.49 X4.00 X
Earnings Per Share0.53 X3.12 X
Price To Earnings To Growth0.72 X4.89 X
Target Price190.75
Number Of Employees26 K18.84 K
Beta1.65-0.15
Market Capitalization285.98 B19.03 B
Total Asset67.89 B29.47 B
Retained Earnings723 M9.33 B
Working Capital10.08 B1.48 B

Advanced Micro Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Advanced . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Advanced Micro Buy or Sell Advice

When is the right time to buy or sell Advanced Micro Devices? Buying financial instruments such as Advanced Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Short and Long Term Debt Total531M661M3.0B1.6B
Total Assets12.4B67.6B67.9B71.3B

Use Investing Ideas to Build Portfolios

In addition to having Advanced Micro in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Small Cap ETFs
Small Cap ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Small Cap ETFs theme has 151 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Small Cap ETFs Theme or any other thematic opportunities.
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When determining whether Advanced Micro Devices is a strong investment it is important to analyze Advanced Micro's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Advanced Micro's future performance. For an informed investment choice regarding Advanced Stock, refer to the following important reports:
Check out Advanced Micro Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
You can also try the Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.

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Is Advanced Micro's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Advanced Micro. If investors know Advanced will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Advanced Micro listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
48.693
Earnings Share
0.53
Revenue Per Share
14.052
Quarterly Revenue Growth
0.102
Return On Assets
0.0037
The market value of Advanced Micro Devices is measured differently than its book value, which is the value of Advanced that is recorded on the company's balance sheet. Investors also form their own opinion of Advanced Micro's value that differs from its market value or its book value, called intrinsic value, which is Advanced Micro's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Advanced Micro's market value can be influenced by many factors that don't directly affect Advanced Micro's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Advanced Micro's value and its price as these two are different measures arrived at by different means. Investors typically determine if Advanced Micro is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Advanced Micro's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.