Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) recorded 0.22% gain during trading session on April 12th, 2019. The script traded as low as $27.66 and last traded at $27.85. 40.59 million shares changed exchanged hands during trading, an increase of 48.73% from the 30-day average session volume of 79.16M shares. The firm had previously closed at $27.79. The company has $1.09B outstanding shares, a price-to-earnings ratio of 86.76, price-to-earnings-growth ratio of 4.67and a beta of 3.40. The company has a RSI of 60.72, ATR of 1.13 and a volatility of 2.96% this week. AMD has a 52 week low price of $9.56 and a 52 week high price of $34.14.
Investors have identified the tech company Advanced Micro Devices, Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 30.24B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Advanced Micro Devices, Inc. (AMD) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For AMD, the company has in raw cash 1.08 billion on their books with 1.06 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 3.54 billion total, with 10 million as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
AMD were able to record 129 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 108 million. In cash movements, the company had a total of 34 million as operating cash flow.
Potential earnings growth for Advanced Micro Devices, Inc. (AMD)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Advanced Micro Devices, Inc. recorded a total of 1.42 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 0.06% coming in sequential stages and their sales for the third quarter reducing by -0.16%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 882 million trying to sell their products during the last quarter, with the result yielding a gross income of 537 million. This allows shareholders to hold on to 1.09B with the revenue now reading 40 cents per share. This is a figure that is close to analystâ€™s prediction for their fourth quarter (0.05 cents a share).
Is the stock of AMD attractive?
Having a look at the companyâ€™s valuation, the company is expected to record 0.86 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on AMD sounds very interesting.
In related news, SVP & CSO, President EMEA GRASBY PAUL DARREN sold 6,000 shares of the companyâ€™s stock in a transaction that recorded on March 22nd, 2019. The sale was performed at an average price of 27.54, for a total value of 165,240. As the sale deal closes, the SVP & GM DESG GRASBY PAUL DARREN now sold 50,000 shares of the companyâ€™s stock, valued at 1,118,500. Also, President & CEO Su Lisa T sold 50,000 shares of the companyâ€™s stock in a deal that was recorded on March 7th, 2019. The shares were sold at an average price of 22.07 per share, with a total market value of 2,311,264. Following this completion of acquisition, the SVP, CFO & Treasurer now holds 130,000 shares of the companyâ€™s stock, valued at 3,077,100. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.60%.
8 out of 33 analysts covering the stock have rated it a Buy, while 15 have maintained a Hold recommendation on Advanced Micro Devices, Inc. stock. 1 analysts has assigned a Sell rating on the AMD stock. The 12-month mean consensus price target for the companyâ€™s shares has been set at $24.86.