AMD (AMD) Reports Q2: Everything You Need To Know Ahead Of Earnings

Jabin Bastian /
2022/08/01 5:05 am EDT

Computer processor maker AMD (NASDAQ:AMD) will be reporting earnings tomorrow after market hours. Here's what investors should know.

Last quarter AMD reported revenues of $5.88 billion, up 70.8% year on year, beating analyst revenue expectations by 6.47%. It was an impressive quarter for the company, with a beat on the bottom line and a significant improvement in operating margin.

Is AMD buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting AMD's revenue to grow 69.6% year on year to $6.53 billion, slowing down from the 99.2% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.04 per share.

AMD Total Revenue

The analysts covering the company have had mixed opinions about the business heading into the earnings, with revenue estimates seeing three upward and two downward revisions over the last thirty days. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 6.5%.

Looking at AMD's peers in the semiconductors segment, some of them have already reported Q2 earnings results, giving us a hint of what we can expect. Intel's revenues decreased 21.9% year on year, missing analyst estimates by 14.5% and Qualcomm reported revenues up 35.6% year on year, exceeding estimates by 0.76%. Intel traded down 8.51% on the results, and Qualcomm was down 2.22%. Read our full analysis of Intel's results here and Qualcomm's results here.

There has been positive sentiment among investors in the semiconductors segment, with the stocks up on average 19.8% over the last month. AMD is up 25.6% during the same time, and is heading into the earnings with analyst price target of $122.8, compared to share price of $94.71.

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The author has no position in any of the stocks mentioned.