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Forget Nvidia: 1 Super Semiconductor Stock Down 29% You'll Regret Not Buying on the Dip Instead

The Motley Fool
Summary
Nutrition label

80% Informative

AMD stock is trading 29% below its all-time high, but its recent financial report suggests investors might want to buy it right now.

AMD generated $5.8 billion in total revenue during Q2 , which was an increase of just 9% from the year-ago period.

AMD 's data center revenue soared 115% year over year to a record $2.9 billion .

AMD also makes the most powerful chips for AI -enabled personal computers, and it has taken a dominant position in that market.

AMD stock trades at a price-to-earnings (P/E) ratio of 52.5 .

That's a substantial premium to the Nasdaq-100 index.

However, the stock appears much cheaper when measured against its future earnings.

Wall Street predicts AMD will generate $ 5.51 in earnings per share in 2025 , placing the stock at a forward P/E ratio of just 26.4 .

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English

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40

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short-lived

External references

7

https://www.fool.com/investing/2024/07/30/when-look-5-years-youll-wish-2-trillion-ai-stock/?utm_source=yahoo-host-full&utm_medium=feed&utm_campaign=article&referring_guid=f2e2f688-7bdf-4dcc-839f-2c34fc9cce11https://www.fool.com/author/20380/https://api.fool.com/infotron/infotrack/click?apikey=35527423-a535-4519-a07f-20014582e03e&impression=9d789cd7-0a9c-45ec-892f-db8838b9f15c&url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-foolcom-sa-bbn-dyn%3Faid%3D8867%26amp%253Bsource%3Disaeditxt0010895%26ftm_cam%3Dsa-bbn-evergreen%26ftm_veh%3Darticle_pitch_feed_yahoo%26ftm_pit%3D13885&utm_source=yahoo-host-full&utm_medium=feed&utm_campaign=article&referring_guid=f2e2f688-7bdf-4dcc-839f-2c34fc9cce11https://www.fool.com/terms/g/gpu/?utm_source=yahoo-host-full&utm_medium=feed&utm_campaign=article&referring_guid=f2e2f688-7bdf-4dcc-839f-2c34fc9cce11https://www.fool.com/legal/fool-disclosure-policy/https://api.fool.com/infotron/infotrack/click?apikey=35527423-a535-4519-a07f-20014582e03e&impression=9d789cd7-0a9c-45ec-892f-db8838b9f15c&url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-foolcom-sa-bbn-dyn%3Faid%3D8867%26source%3Disaeditxt0010895%26ftm_cam%3Dsa-bbn-evergreen%26ftm_pit%3D13885%26ftm_veh%3Darticle_pitch_feed_yahoo%26company%3DAdvanced%2520Micro%2520Devices&utm_source=yahoo-host-full&utm_medium=feed&utm_campaign=article&referring_guid=f2e2f688-7bdf-4dcc-839f-2c34fc9cce11https://www.fool.com/investing/2024/08/05/forget-nvidia-1-semiconductor-stock-29-not-buying/?utm_source=yahoo-host-full&utm_medium=feed&utm_campaign=article&referring_guid=f2e2f688-7bdf-4dcc-839f-2c34fc9cce11

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