In the latest trading session, Advanced Micro Devices (AMD) closed at $230.23, marking a -3.28% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.53%. Elsewhere, the Dow lost 0.71%, while the tech-heavy Nasdaq lost 0.93%.
Heading into today, shares of the chipmaker had gained 47.94% over the past month, outpacing the Computer and Technology sector's gain of 1.25% and the S&P 500's gain of 1.13%.
Analysts and investors alike will be keeping a close eye on the performance of Advanced Micro Devices in its upcoming earnings disclosure. The company's earnings report is set to go public on November 4, 2025. The company is expected to report EPS of $1.17, up 27.17% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $8.72 billion, indicating a 27.89% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.94 per share and revenue of $32.93 billion, indicating changes of +19.03% and +27.72%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for Advanced Micro Devices. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.08% downward. Advanced Micro Devices is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Advanced Micro Devices has a Forward P/E ratio of 60.47 right now. This indicates a premium in contrast to its industry's Forward P/E of 22.87.
It is also worth noting that AMD currently has a PEG ratio of 1.74. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Computer - Integrated Systems stocks are, on average, holding a PEG ratio of 1.56 based on yesterday's closing prices.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 19, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Advanced Micro Devices, Inc. (AMD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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