Fundamental analysis: Advanced Micro Devices, Inc. (AMD)

Awarener score: 6.4

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Modest), the business stability (Modest) and growth (Excellent), and the company's inclination to return cash to the stockholders (Very good).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 7.0

Business has been growing at an excellent pace. It's been top tier when measured against peer companies.
Advanced Micro Devices, Inc. business trend isn't so stable. The higher the stability, the lower the risk. It looks somewhat worse than rivals.

Margins score: 6.8

AMD profit margins -on goods and services sold- are usually sufficient. They stand slightly worse than rival companies.
Business profit on sales tends to be good. It's similar to competitors.
Profits on sales made -available to repay debt and purchase properties- are usually sufficient. They remain lacking compared to peers.
Earnings -before income taxes and interests on loans taken- tend to be good in relation to total revenues. They're still slightly better than similar companies.
Profits -before income taxes- are usually good considering total sales, and remain almost average when measured against rivals.
Total net profit tends to be very good when confronted to sales. Company stands similar to comparable firms.

Growth score: 9.0

Advanced Micro Devices, Inc. profit -on goods and services sold- has been growing at a very good pace. It's been impressive in relation to competitors.
In recent years, earnings -on operations- have been growing at a very good step, which has been well ranked against comparable firms.
Profits -available to repay debt and purchase properties- have been growing at an excellent pace, which compares great when measured against peer enterprises.
Earnings -before income taxes and interests on loans taken- have been growing at an excellent tempo. It turns to be in good shape compared to similar stocks.
In past years, profits -before income taxes- grew at an excellent speed. It was well ranked against rivals.
In the previous years, growth trend on total net profit has been extremely high, and great when measured against peer companies.
Earnings per share have grown at an extremely fast rhythm in past years. It's been excellent in relation to industry peers.

Miscellaneous score: 7.3

AMD managed to get a credit on income taxes in the past years, even though it earned money. It's been top-notch against peers.
Research and development expenses consume some portion of revenues. It's below average when measured against competitors.
The company shows business growth in relation to research and development efforts. It stands excellent in relation to rival companies.

Profitability score: 8.8

Advanced Micro Devices, Inc. usually gets excellent returns on the resources it controls. It proves similar to peer firms.
The company normally gets very good proceeds -on the resources directly invested in the business-. They remain rather normal in relation to similar companies.
There's usually excellent profitability -in relation to owned resources-. It ranks more than average in relation to competitors.
In the past, got excellent returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's encouraging in relation to comparable enterprises.

Usage of Funds score: 5.0

AMD usually uses a modest portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments isn't too high. It stands encouraging in relation to rival firms.
The company is usually replacing most of the property, plant, and equipment that gets old, and saving a little funds for something else, which is below average when measured against industry peers.
In the past twelve months the stock paid no dividends. It came bottom tier against competitors.
The company pays no dividend, so measuring its growth is meaningless. The company has behaved in an conservative way compared to similar firms.
As no dividends are paid, it is useless trying to estimate their sustainability in time. Sustainability looks not applicable in regard to comparable companies.
The company somewhat enlarges a bit the pool of investors, resulting in more mouths feeding on the pie of profits. It remains lacking compared to peer enterprises.
Repurchase effectiveness metric is very complex. Run again in analytical mode if you're interested in a technical explanation. It stands close to average when compared to rivals.
The company uses a moderate portion of genuine fund generation to reward investors, which can probably be sustained for as long as business doesn't turn very sour. It still looks similar to competitors.

Balance Sheet score: 5.4

Advanced Micro Devices, Inc. intangible assets (like brands and goodwill) represent a significant portion of resources controlled, according to accounting books. There could be significant difficulties in liquidating them if the company ever gets in financial distress. It happens to be substantially worse when measured against peer companies.
The company has roughly triple short-term resources than short-term obligations. Liquidity concerns are most likely unimportant. It turns to be in a weak position compared to similar firms.
Very few resources controlled were provided for with financial debt. Financial strength is very solid. Company could increase debt if it wished so, to reinvest in business, to buy a smaller company or to reward stockholders. It remains well ranked against rival firms.
Most controlled resources might be only slowly turned into cash and equivalents, which is risky. It looks last-in-rank when measured against rivals.
For every dollar of short-term obligations, the company has more than enough dollars in cash and short-term receivables. It's lacking compared to peer firms.
For every dollar of short-term obligations, the company has roughly another of cash and equivalents, which is mediocre against similar enterprises.
Usually, sales are on slightly higher than two months credit. It still ranks weak when measured against peers.
Normally has approximately four months of sales worth in inventory. It comes up as rather normal in relation to competitors.
On average, it takes higher than six months from the purchase to charging customers. It happens to be slightly worse than peers.
On average pays suppliers approximately three months after the purchase. It ranks more than average in relation to industry peers.
The company pays its suppliers four months or more before charging its customers, so there's significant money invested in working capital. It's rather normal in relation to similar companies.
Net interest expenses consume a slight portion of usual business earnings, and are very easily bearable. It stands somewhat better than rival firms.
Business earnings have usually been excellent when measured against loans taken. It could take less than two years to repay the obligations with current profitability. It ranks almost average when measured against comparable enterprises.
Revenues are very good in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. Low property, plant, and equipment requirements allows the company to keep more money to reward stockholders in the long run. It looks excellent in relation to similar firms.
Resource exploitation is slightly low when yearly sales are considered, business volume should be increased. This metric is normally tied to the industry where the firm belongs. It's still worse than most peer companies.

Valuation score: 4.3

Advanced Micro Devices, Inc. profits are really small compared to market valuation, market valuation doesn't rely on current earnings. It happens to be substantially worse when measured against competitors.
Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains in a very weak position compared to peers.
In the past twelve months, the company generated some free funds in relation to the stock price, which stands slightly worse than similar companies.
In the past years the company barely generated enough genuine funds to cover up for its business needs. Business prospects should improve to be in a better position to reward investors. It's still below average when measured against industry firms.
In the past twelve months, the company has slightly rewarded investors, considering both dividends and share on the pie of earnings. It came up excellent in relation to peer ventures.
The company has more cash than debt. It might be poised to increase stockholder payments, or to fund new business projects. It looks slightly worse than similar enterprises.
Considering the past twelve months, traditional Price-to-Earnings relation is huge, as profits were extremely low in relative terms. It ranks substantially worse when measured against peer companies.
Comparing the current stock price with the past twelve-months revenues gives a very large relationship. The stock price might rely more on expectations and resources controlled than on anything else. It looks in a very weak position compared to rival firms.
The relation between the stock price and accounting book value is significantly high, which may be good or bad depending on context. Run again in analytic mode if you want to dig deeper. The company remains slightly worse than peer firms.
In the past twelve months, the operating business lost some money. It happens to be below average when measured against industry peers.
In an alternate metric of bang for the buck, the company has usually shown a mediocre earnings power ability when measured against the current stock price and financial position. It's still lacking compared to peer companies.

Total score: 6.7

Company at a glance: Advanced Micro Devices, Inc. (AMD)

Sector, industry: Technology, Semiconductors

Market Cap: 189.80 billions

Revenues TTM: 23.07 billions

Advanced Micro Devices, Inc. operates as a semiconductor company worldwide. The company operates in two segments, Computing and Graphics; and Enterprise, Embedded and Semi-Custom. Its products include x86 microprocessors as an accelerated processing unit, chipsets, discrete and integrated graphics processing units (GPUs), data center and professional GPUs, and development services; and server and embedded processors, and semi-custom System-on-Chip (SoC) products, development services, and technology for game consoles. The company provides processors for desktop and notebook personal computers under the AMD Ryzen, AMD Ryzen PRO, Ryzen Threadripper, Ryzen Threadripper PRO, AMD Athlon, AMD Athlon PRO, AMD FX, AMD A-Series, and AMD PRO A-Series processors brands; discrete GPUs for desktop and notebook PCs under the AMD Radeon graphics, AMD Embedded Radeon graphics brands; and professional graphics products under the AMD Radeon Pro and AMD FirePro graphics brands. It also offers Radeon Instinct, Radeon PRO V-series, and AMD Instinct accelerators for servers; chipsets under the AMD trademark; microprocessors for servers under the AMD EPYC; embedded processor solutions under the AMD Athlon, AMD Geode, AMD Ryzen, AMD EPYC, AMD R-Series, and G-Series processors brands; and customer-specific solutions based on AMD CPU, GPU, and multi-media technologies, as well as semi-custom SoC products. It serves original equipment manufacturers, public cloud service providers, original design manufacturers, system integrators, independent distributors, online retailers, and add-in-board manufacturers through its direct sales force, independent distributors, and sales representatives. The company was incorporated in 1969 and is headquartered in Santa Clara, California.