The upcoming report from Advanced Micro Devices (AMD) is expected to reveal quarterly earnings of $0.93 per share, indicating an increase of 50% compared to the year-ago period. Analysts forecast revenues of $7.12 billion, representing an increase of 30.1% year over year.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 2.7% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
Given this perspective, it's time to examine the average forecasts of specific Advanced Micro metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts' assessment points toward 'Net revenue- Data Center' reaching $3.68 billion. The estimate indicates a year-over-year change of +57.4%.
Analysts expect 'Net revenue- Embedded' to come in at $827.19 million. The estimate points to a change of -2.2% from the year-ago quarter.
The consensus among analysts is that 'Net revenue- Gaming' will reach $519.48 million. The estimate indicates a change of -43.7% from the prior-year quarter.
The combined assessment of analysts suggests that 'Net revenue- Client' will likely reach $2.07 billion. The estimate suggests a change of +51.4% year over year.
View all Key Company Metrics for Advanced Micro here>>>
Over the past month, shares of Advanced Micro have returned -5.5% versus the Zacks S&P 500 composite's -0.7% change. Currently, AMD carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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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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