AMD: Interesting Combination Of Growth And Valuation
Summary
- AMD's stock decline to $99 from $211 seems excessive; Wall Street analysts remain bullish, while Seeking Alpha analysts offer more moderate optimism.
- AMD's diversified business includes Data Center, Client, Gaming, and Embedded segments, with Data Center showing the most promise despite lagging behind Nvidia.
- Financially strong, AMD expects high double-digit growth in revenue and EPS, driven by their new MI350X architecture.
- Fair Value estimated at $129.1, suggesting a 30% upside; strategy involves a half-position now, adding more if stock drops below $88 or shows clear reversal.
Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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