Latest news with #chipmaker
Yahoo
5 hours ago
- Business
- Yahoo
Advanced Micro Devices (AMD) Advances While Market Declines: Some Information for Investors
Advanced Micro Devices (AMD) ended the recent trading session at $128.24, demonstrating a +1.14% change from the preceding day's closing price. This change outpaced the S&P 500's 0.22% loss on the day. On the other hand, the Dow registered a gain of 0.08%, and the technology-centric Nasdaq decreased by 0.51%. Coming into today, shares of the chipmaker had gained 14.52% in the past month. In that same time, the Computer and Technology sector gained 2.98%, while the S&P 500 gained 0.45%. The investment community will be paying close attention to the earnings performance of Advanced Micro Devices in its upcoming release. In that report, analysts expect Advanced Micro Devices to post earnings of $0.54 per share. This would mark a year-over-year decline of 21.74%. Meanwhile, our latest consensus estimate is calling for revenue of $7.41 billion, up 27% from the prior-year quarter. For the full year, the Zacks Consensus Estimates project earnings of $3.92 per share and a revenue of $31.75 billion, demonstrating changes of +18.43% and +23.15%, respectively, from the preceding year. Investors should also note any recent changes to analyst estimates for Advanced Micro Devices. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 4.68% lower within the past month. At present, Advanced Micro Devices boasts a Zacks Rank of #3 (Hold). Investors should also note Advanced Micro Devices's current valuation metrics, including its Forward P/E ratio of 32.37. This denotes a premium relative to the industry average Forward P/E of 19.27. Investors should also note that AMD has a PEG ratio of 1.32 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Computer - Integrated Systems industry was having an average PEG ratio of 1.81. The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 57, finds itself in the top 24% echelons of all 250+ industries. The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
a day ago
- Business
- Yahoo
Wolfspeed nears bankruptcy deal with lenders including Apollo, Bloomberg News reports
(Reuters) -Wolfspeed will be taken over by creditors including Apollo Global Management under a proposal that would put the struggling chipmaker into bankruptcy, Bloomberg News reported on Wednesday, citing people familiar with the plan. The company will soon announce a deal for a so-called prepackaged bankruptcy, that would be long enough to slash billions in debt, the report said. After a restructuring support agreement is signed, Wolfspeed will ask creditors to vote on the plan and then file for Chapter 11 bankruptcy protection. Shares of Wolfspeed, which makes chips using silicon carbide — a more energy-efficient material than traditional silicon, rose about 3% to $1.29 on Wednesday. The stock had fallen about 81% so far this year. Wolfspeed and Apollo did not immediately respond to Reuters requests for comment. The chipmaker raised going-concern doubts earlier in May, as deepening economic uncertainty stemming from changing U.S. trade policies, combined with weakening demand, triggered a series of financial challenges for the company. As of March, the company had about $1.33 billion in unrestricted cash, cash equivalents and short-term investments, and about $6.5 billion of debt obligations, it said in a regulatory filing in May. In a prepackaged bankruptcy, companies and their creditors agree on a reorganization plan prior to the bankruptcy filing and creditors even vote on the plan. Shareholders could recover as much as 5% in the proposed scenario, the report said. In a typical bankruptcy, shareholders are usually wiped out because creditors must be paid first, and there often is not enough value left for equity holders. In 2023, Wolfspeed announced $1.25 billion in debt financing led by Apollo, with the option to increase the total to as much as $2 billion to support the company's U.S. expansion plans.
Yahoo
2 days ago
- Business
- Yahoo
NVDA: Barclays Sees $200 Nvidia Surge Ahead as Chip Demand Soars
June 18- Barclays raised its price target on Nvidia (NASDAQ:NVDA) to $200 from $170, projecting stronger-than-expected growth for the chipmaker in the second half of 2025. The updated forecast reflects a potential 38% gain from Nvidia's June 16 closing price of $144.69. Barclays cited fresh supply chain checks that suggest about $2 billion in revenue upside for July, prompting the firm to boost its full-year Compute revenue estimate to $37 billion from $35.6 billion. Warning! GuruFocus has detected 4 Warning Signs with NVDA. Although Blackwell chip production reached only 30,000 wafers per month in June, below the bank's earlier 40,000-wafer estimate, utilization rates remain solid. Barclays also highlighted continued progress on Blackwell Ultra, which is expected to enter mass production in the third quarter. System sales are picking up, projected to make up 25% of revenue in July and rising to nearly half by October. The analysts said higher volumes and the Ultra rollout should lift gross margins in the second half. Compute revenue projections were revised up for Q3 and Q4, to $42 billion and $48 billion, respectively. The new $200 target is based on a 29-times multiple of Barclays' updated 2026 non-GAAP EPS estimate of $6.86. The firm kept its "Overweight" rating on Nvidia, while maintaining a Neutral stance on the broader U.S. semiconductor sector. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
NVDA: Barclays Sees $200 Nvidia Surge Ahead as Chip Demand Soars
June 18- Barclays raised its price target on Nvidia (NASDAQ:NVDA) to $200 from $170, projecting stronger-than-expected growth for the chipmaker in the second half of 2025. The updated forecast reflects a potential 38% gain from Nvidia's June 16 closing price of $144.69. Barclays cited fresh supply chain checks that suggest about $2 billion in revenue upside for July, prompting the firm to boost its full-year Compute revenue estimate to $37 billion from $35.6 billion. Warning! GuruFocus has detected 4 Warning Signs with NVDA. Although Blackwell chip production reached only 30,000 wafers per month in June, below the bank's earlier 40,000-wafer estimate, utilization rates remain solid. Barclays also highlighted continued progress on Blackwell Ultra, which is expected to enter mass production in the third quarter. System sales are picking up, projected to make up 25% of revenue in July and rising to nearly half by October. The analysts said higher volumes and the Ultra rollout should lift gross margins in the second half. Compute revenue projections were revised up for Q3 and Q4, to $42 billion and $48 billion, respectively. The new $200 target is based on a 29-times multiple of Barclays' updated 2026 non-GAAP EPS estimate of $6.86. The firm kept its "Overweight" rating on Nvidia, while maintaining a Neutral stance on the broader U.S. semiconductor sector. This article first appeared on GuruFocus. Sign in to access your portfolio
Tahawul Tech
2 days ago
- Business
- Tahawul Tech
Intel makes new appointments in bid to be more engineering-focused
Intel recently hired three chip industry executives for roles in engineering and networking in an effort to overhaul top management. These comprise a part of CEO Lip-Bu Tan's plans turn around the embattled chipmaker by trimming the company's large workforce, hiring new leadership, focusing on customer satisfaction and ensuring the foundry business succeeds. Tan started to flatten Intel's leadership team since taking over as top boss in March with many important chip groups reporting directly into him, including sales veteran Greg Ernst, who was appointed chief revenue officer. Ernst previously served as Intel's head of U.S. sales and marketing operations. In keeping with its plans to become more engineering-focused, the company also tapped Srinivasan Iyengar, Jean-Didier Allegrucci and Shailendra Desai to lead engineering roles. 'Greg, Srini, J-D and Shailendra are highly accomplished leaders with strong reputations across our ecosystem and they will each play important roles as we position our business for the future,' Tan said. Iyengar joined Intel from Cadence Design Systems and will lead a new customer engineering centre, while Allegrucci, a former Rain AI executive, will manage the development of the AI System on Chip engineering. Desai, who joined Intel from Google, will head the development of new AI chip architectures. Iyengar will report into Tan, while Allegrucci and Desai will report into Sachin Katti, Intel's chief technology and AI officer. Source: Reuters Image Credit: Stock Image/Intel
