AMD shares climb on solid Q4 performance
On Tuesday, Advanced Micro Devices Inc. (AMD) announced record financial results for the fourth quarter and upbeat guidance for the current fiscal year. The company continues to benefit from the elevated demand for its chips.
Meanwhile, it regularly rolls out high-performance semiconductors to better compete with rivals, especially Intel. As a result of the solid quarterly performance, AMD shares jumped more than 10 percent in the after-hours trading session on Tuesday.
Financial Highlights of AMD
AMD reported a profit of 80 cents per share for the three months ended December 25, down from $1.45 per share in the year-ago quarter. However, its adjusted profit of 92 cents per share was significantly higher than 52 cents per share in the linked quarter of 2020. Analysts were looking for an adjusted profit of 70 cents per share.
In addition, total sales for the quarter increased to $4.83 billion, crushing the consensus forecast of $4.52 billion. In comparison, AMD had generated revenue of $3.24 billion in the fourth quarter of 2020.
Revenue from the computing and graphics segment climbed 32 percent on a year-over-year basis to $2.6 billion, helped by strong sales of Ryzen and Radeon processors. The numbers were also better than the analyst’s average estimate of $2.42 billion.
In comparison, revenue from the enterprise, embedded and semi-custom segment came in at $2.2 billion, up 75 percent versus the year-ago quarter. On the other hand, analysts were expecting the segment to generate revenue of $2.1 billion.
Solid Outlook for AMD
AMD expects total sales of around $21.5 billion for 2022. If the company achieves that target, it will represent a 31 percent jump over total sales in 2021. Moreover, it is also better than the consensus forecast of $19.26 billion. In addition, AMD expects first-quarter sales of around $5 billion.
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AMD Fundamental Data
You can see below the latest fundamental data of AMD:
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