AMD stock

2022 - 10 - 7

AMD shares fall more than 7% on weak outlook (CNBC)

AMD pointed to slumping PC demand and overall supply chain issues. Shares of other chipmakers, including Intel and Nvidia, were also down.

[WATCH: AMD's third quarter cut was deeper than the market expected, says Bernstein's Stacy Rasgon](https://www.cnbc.com/video/2022/10/06/amds-third-quarter-cut-was-deeper-than-the-market-expected-says-bernsteins-stacy-rasgon.html) AMD now expects preliminary quarterly revenue of about $5.6 billion thanks to "reduced processor shipments." [Intel](/quotes/INTC/) and [Nvidia](/quotes/NVDA/) were also down, more than 5% and 8%, respectively, as weak PC demand and supply chain issues could weigh on other semiconductor players.

AMD Misses Sales Estimates By a Mile -- Time to Sell the Stock? (Motley Fool)

Third quarter 2022 sales were deeply impacted by a rapid slump in PCs. AMD (AMD -10.78%) is the latest semiconductor company to report trouble with the PC ( ...

[INTC](/quote/nasdaq/intc/) -5.37%) signaling it [still has a long uphill battle ahead](https://www.fool.com/investing/2022/08/14/should-nvidia-amd-investors-worry-intel-warning/) in its own recovery, AMD can continue to win semiconductor design market share in the coming years. [NVDA](/quote/nasdaq/nvda/) -8.03%) provided a bleak picture of consumer-facing product sales. Sure, the stock market overall had a rough go of things, but the Nasdaq Composite Index is only down about 10% over that period. That still represents a jump from the 48% adjusted gross margin from the same quarter in 2021, but it's nonetheless far lower than the 54% originally projected a couple of months ago. AMD said it will miss its sales guidance for the third quarter of 2022 in dramatic fashion as a result. AMD said that its Q3 2022 revenue will be about $5.6 billion, a 29% year-over-year increase but a 15% decrease compared to Q2.

Why Is Advanced Micro Devices (AMD) Stock Down Today? (Investorplace.com)

AMD stock is under heavy pressure after the chipmaker's CEO issued a warning about slow PC sales and supply-chain woes.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. Still, there may be a bargain here for intrepid traders as this challenged chipmaker navigates tough tech-market terrain. Also, the shares are at a 52-week low. [AMD](https://investorplace.com/stock-quotes/amd-stock-quote/)) CEO Lisa Su gave investors some tough talk. Investors should just accept that AMD’s upcoming quarterly report will probably be worse than previously expected. There might be a silver lining for prospective, value-focused investors, however.

Chip stocks slide as Samsung, AMD expect steep fall in demand (Reuters)

Dire forecasts from Samsung Electronics Co Ltd and Advanced Micro Devices Inc sent chip-related shares lower on Friday, sparking fears that a slump in ...

Shares of major U.S. Register now for FREE unlimited access to Reuters.com "We still think the industry is heading for its deepest downcycle in a decade, thanks to high supply chain inventories and falling end demand," Jefferies analysts said. [preliminary results](/technology/samsung-elec-q3-profit-likely-fell-32-demand-slumped-downturn-2022-10-06/) add to a flurry of earnings downgrades and gloomy forecasts. [(NVDA.O)](https://www.reuters.com/companies/NVDA.O), Intel Corp [(INTC.O)](https://www.reuters.com/companies/INTC.O), Qualcomm Inc [(QCOM.O)](https://www.reuters.com/companies/QCOM.O) and Micron Technology Inc [(MU.O)](https://www.reuters.com/companies/MU.O) were down between 1.2% and 6.0%, weighing on smaller peers such as Marvell Technology Inc [(MRVL.O)](https://www.reuters.com/companies/MRVL.O) and Applied Materials Inc [(AMAT.O)](https://www.reuters.com/companies/AMAT.O). [(005930.KS)](https://www.reuters.com/companies/005930.KS) and Advanced Micro Devices Inc sent chip-related shares lower on Friday, sparking fears that a slump in demand for semiconductors could be much worse than expected.

Will AMD Stock Ever Make a Bottom? (RealMoney)

In the daily bar chart of AMD, below, we can see that the shares gapped lower Friday morning and reached a new 52-week low. Prices remain in a downward trend ...

[Our last review](https://realmoney.thestreet. [OPEC Panicked](/investing/opec-panicked-16104752) [AMD](/quote/AMD.html)) issued a third-quarter revenue warning Thursday after the close of trading.

AMD Stock: Does Q3 Earnings Miss Impact The 5 Year Outlook? (Seeking Alpha)

Investors are panicking after AMD missed on its third quarter results. Read more to see bull and bear cases for AMD over the next five years.

In the worst case, perhaps due to an extremely poor macro environment impacting the cyclical semiconductor industry and/or unexpected success from AMD's competition, AMD fails to generate much growth and has a very negative return due to multiple contraction. Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. AMD is right in the middle of the pack at 1.1. Although AMD is growing off of a larger revenue base in a potentially weaker economy, I still believe that growth between 15% and 19% is achievable over the next five years. That said, AMD could still produce respectable and market-beating returns of a more modest form. While there is perhaps some room for further operating margin improvement and further P/S multiple expansion that would likely accompany it, there's simply no way that AMD's P/S or P/E multiple will 14x again in the next decade. If AMD manages to grow revenue at an 11% CAGR, then its EPS CAGR may be closer to 15%, especially if the company continues to beat analyst estimates as it often has in the past. Assuming that growth lands somewhere in the 11-19% range, AMD is still positioned for respectable growth going forward, even as client revenue has fallen off a cliff. Going forward, AMD will likely continue to gain some share in PCs, but now that it has over 50% share there's less room for rapid growth in this mature market. Adjusting for AMD's recently announced Q3 results, data center is now the largest segment in addition to being the fastest growing. Nevertheless, AMD remains in an improving competitive position with strong secular tailwinds at its back and will likely be a market-beating investment from the current valuation. In this article, I'll look at where AMD could be in five years and whether investors should expect strong returns going forward.