Estimates
AMD’s stock has gained steadily in the past three months, outperforming the broad market. The last closing price is approximately 40% higher than the stock’s 52-week average of $128.46. The positive investor sentiment reflects the steady growth of the company’s Data Center business that currently accounts for nearly 50% its revenue.
Earnings Beat
In the first quarter, AMD’s adjusted earnings increased to $0.96 per share from $0.62 per share in the same period of 2024. On a reported basis, net income was $709 million or $0.44 per share in Q1, compared to $123 million or $0.07 per share in the prior-year period. The company reported revenues of $7.44 billion for the March quarter, compared to $5.47 billion in the comparable period in the prior year. Earnings and revenues beat Wall Street’s estimates.
“We expect enterprise adoption to accelerate over the coming quarters, as more than 150 tern platforms become broadly available from Dell, Cisco, HPE, Lenovo, Supermicro, and others. Looking forward, we see a clear path to continued share gains as customers ramp their 5th Gen EPYC offerings that deliver unmatched performance, efficiency, and TCO across every major cloud and enterprise data center workload.
On Wednesday, AMD’s stock opened at $175.56 and traded higher in the afternoon. The shares have grown about 48% since the beginning of 2025.