AMD tops forecasts as data-center sales lead earnings results
$Advanced Micro Devices(AMD.US$on Tuesday reported better-than-expected third-quarter results fueled by data center sales that doubled from the same period a year ago.
After the close of trading AMD said that for the period ending Sept. 25, it eared 73 cents a share, excluding one-time items, on revenue of $4.3 billion, compared with earnings of 41 cents a share, on $2.8 billion in sales, in the third quarter of 2020. The results topped the forecasts of Wall Street analysts, who had forecast AMD to earn 66 cents a share on revenue of $4.11 billion.
AMD Chief Executive Lisa Su said in a statement that in adding to data center sales doubling from a year ago, the company saw particular strength from shipments of the newest version of its Epyc computer processors and business in general "significantly accelerated" during the quarter.
Computing and graphics segment revenue climbed 44% from a year ago, to $2.4 billion, on higher sales of AMD's Ryzen, Radeon and AMD Instinct processor sales. Enterprise, Embedded and Semi-Custom segment revenue totaled $1.9 billion, up 69% from last year's third quarter.
In late September, Su said she sees the component shortage impacting the semiconductor market to ease by next year.
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Pcube : I like the stock, but it's still dropping. My value is hurting now. XD
减半了 Pcube: Wait until half year later then
TeddyC : this is a good stock
Daniel Acret : Here is something to put today's earnings in perspective. Fiscal year revenue for AMD in 2016 was $4.272B. In contrast, quarterly revenue for Q3-2021 was $4.313B. AMD now makes more in one quarter than it did in a single year five years ago.
Karwan Gamage : Revenue up 54% Y/Y and profits up 78% Y/Y....Does anyone have any questions?
B Russ Karwan Gamage: Yeah just one? How many pennies did they make on what size market cap again? Thanks
DollarDog B Russ: I can't wait for my TSM to hike prices again on AMD
waltcessna Karwan Gamage: Can they do it again next year would be the questions, adding XLNX will certainly help
Karwan Gamage DollarDog: any price hikes will just be added to the final cost of goods...It will not affect AMD at all.
Karwan Gamage waltcessna: Well this kind of revenue % growth will not last forever however 25-30% annual growth is projected past 2023. This in itself is powerful. By 2025, their revenues will easily exceed 30 billion. There's no way AMD will not be trading at $200 by the end of 2023. Of course, it could happen sooner and go much higher too bc we don't know everything that Dr. Lisa Su and her capable team are working on. Things are only going to get better.
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