AMD: Why The Market Could Be Wrong Here
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Advanced Micro Devices, Inc. (AMD) has seen a significant stock decline of 53% over the past year, but it may be oversold. The company's data center revenue increased by 69% year-over-year, and it anticipates strong growth in the second half of 2025. With a forward P/E ratio below 18, AMD could be undervalued, as the market might have overreacted to its AI GPU challenges.
February 12, 2025 | 7:30 pm
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AMD's stock has declined 53% over the past year, but it may be oversold. The company's data center revenue surged 69% YOY, and it projects strong growth in H2 2025. With a forward P/E ratio below 18, AMD could be undervalued.
The significant decline in AMD's stock price suggests it may be oversold, especially given the strong performance in data center revenue and future growth projections. The low forward P/E ratio indicates potential undervaluation, and the market may have overreacted to AI GPU challenges, suggesting a potential upward correction.
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