Market Overview

Advanced Micro Devices Performing Well With New CEO At The Helm

Advanced Micro Devices Performing Well With New CEO At The Helm

BMO Capital Markets said Advanced Micro Devices, Inc. (NASDAQ: AMD) is executing well under the new CEO after the third-quarter revenue beat estimates and the fourth-quarter estimate is also above on an absolute basis.

Advanced Micro Devices' revenues of $1.31 billion for were well above BMO estimate of $1.21 billion. Pro forma earnings were $0.03 per share versus BMO/consensus’ breakeven.

The company expects fourth-quarter revenues to be down 18 percent sequentially at the midpoint, to $1.07 billion, above BMO expectation of $1.01 billion and consensus of $1.06 billion. For 2016, guidance implies revenues to be up 6 percent year-over-year versus BMO forecast of up 2 percent year-over-year.

Related Link: Advanced Micro Devices Has A Slate Of Exciting Products

Analyst Ambrish Srivastava raised his 2016 and 2017 EPS estimates on higher revenues, lower interest expense from deleveraging, partly offset by higher share count and higher opex.

“Our 2016/2017 EPS estimates go from $(0.21)/$(0.06) to $(0.15)/$0.09. Our target price goes higher to $6 from $5 on a similar EV/Sales multiple on higher sales,” Srivastava wrote in a note.

Advanced Micro Devices closed Friday's trading down 6.32 percent at $6.52.

Full ratings data available on Benzinga Pro.

Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Latest Ratings for AMD

Jun 2019UpgradesUnderweightEqual-Weight
May 2019MaintainsHoldHold
May 2019MaintainsBuyBuy

View More Analyst Ratings for AMD
View the Latest Analyst Ratings

Posted-In: Analyst Color Earnings News Guidance Price Target Reiteration Analyst Ratings Movers Best of Benzinga


Related Articles (AMD)

View Comments and Join the Discussion!

Fast Money Picks For October 24

5 Election-Proof Stocks To Consider