Very little debt to repay and plenty of cash on hand, so it is hard to shake.
Metrics · D/E ~6% · Current Ratio 2.72
💲Is the price expensive now?
On the expensive side
Even accounting for growth expectations, the price is set high.
Metrics · P/E 176.4 · P/B 13.9
💡Almost no debt (~6% D/E, 2.7x current ratio) and fast +35% revenue growth. GAAP earnings are recovering, so P/E is 176x and ROE only 8% — pricey vs earnings.
Compiled from public financial data. Not a recommendation to buy or sell any security. · Source: Company filings · TradingView · S&P Global (margins, debt, liquidity, P/B are TTM), as of 2026-06-18
Business Summary · Key Value Metrics
Designs data-center CPUs (EPYC), AI accelerators (Instinct), PC CPUs/GPUs (Ryzen, Radeon), and game-console chips. FY2025 (December year-end) revenue $34.6B, GAAP operating income $3.7B (10.7% margin), non-GAAP operating income $7.8B. Data center is about half of revenue.
Current Price
$537.37
+4.86%+$24.89· Close 2026-06-18
Analyst Consensus Target (external reference)
$498.62
Avg. of 51 external analysts · TradingView (~51-analyst consensus) · S&P Global Market Intelligence
P/E (TTM)
176.4x
TTM · high, early earnings recovery
P/E (Forward)
~41x
FY27 non-GAAP EPS consensus ~$13
Operating Margin
11.7%
TTM GAAP (non-GAAP ~22%)
ROE
8.1%
TTM · Xilinx equity dilution
Revenue Growth
+35.0%
TTM YoY
Market Cap
$876B
As of 2026-06-18
Economic Moat · Key Business Segments
Since 2017, the Zen architecture has lifted AMD's x86 server-CPU share from around 1% to roughly 40% by revenue (30%-plus by units), with hyperscalers such as Microsoft, Google, Amazon, and Meta adopting EPYC. It is effectively the only integrated x86 designer with PC and server CPUs plus GPUs and console chips. That said, its ROCm AI software stack is seen as 2–3 years behind Nvidia's CUDA ecosystem (source: company IR · Mercury Research · industry).
Zen architecture
Since 2017, a common core for EPYC and Ryzen; TSMC's leading-edge nodes give a performance-per-watt edge over Intel.
Hyperscaler adoption
Microsoft, Google, Amazon, and Meta have adopted EPYC; server revenue share is in the 40% range.
Integrated x86 design
Server and PC CPUs plus GPUs and console chips (PS5, Xbox) — a broad product lineup.
Instinct AI accelerators
The MI300 and MI350 series enter the AI-accelerator market — a growth driver for data-center GPUs.
10-Year Financial Trends
Revenue rose steadily at a 9-year CAGR of +26% (2016 $4.3B → 2025 $34.6B), but GAAP operating income swung widely with cycles and acquisitions ($-0.37B in 2016 → $3.65B in 2021 → $0.40B in 2023 → $3.7B in 2025). The 2022 all-stock acquisition of Xilinx ($49B) lifted equity from $7.5B to $54.8B, diluting ROE into the single digits thereafter. In 2025, revenue grew +34% and data-center revenue reached $16.6B (+32%), signaling a recovery (source: company IR · SEC EDGAR · macrotrends).
9-Year CAGR: Revenue +26% · Operating Income Swung to profit (2016 loss) · Net Income Swung to profit · EPS Swung to profit
Sources: SEC EDGAR (10-K) · macrotrends · company IR. Revenue and operating income are on a fiscal-year (December) GAAP basis. EPS is diluted (GAAP). ROE is net income ÷ average equity (computed regardless of splits or acquisitions). The 2022 all-stock Xilinx acquisition ($49B) sharply raised equity, lowering ROE. P/E is fiscal year-end price ÷ diluted EPS (the 2025 close is assumed at roughly $200, provisional). GAAP and non-GAAP profitability differ substantially.
Mega-Cap Value Metric Comparison
Among the peer group (NVDA, INTC), AMD's +35% revenue growth outpaces Intel (which is contracting), but its 11.7% operating margin and 8.1% ROE fall far short of Nvidia's (64% and 114%). Its trailing P/E of 176x — the highest of the three — reflects early-stage earnings recovery. In AI accelerators, its ROCm ecosystem trails Nvidia's CUDA by 2–3 years (P/E, ROE, margin = TTM · source: TradingView · company IR).
Metric
★ AMD
NVDA
INTC
P/E (TTM)
176.4
32.3
Loss/N.A.
ROE
8.1%
114.3%
Negative
Operating Margin
11.7%
64.0%
Negative
Revenue YoY Growth
+35.0%
+70.7%
Single digits
P/E, ROE, operating margin = TTM; revenue growth = TTM YoY · source: TradingView · company IR, as of 2026-06-18. Intel is in a loss/low-profit phase amid restructuring.
Key Risk Factors (from 10-K)
●
Overheated price and high valuation— Shares are up roughly +319% over 52 weeks, at a trailing P/E of 176x and P/S of 23x. The average analyst target ($498) sits below the current price ($537), implying downside and a re-rating risk if growth slows.Source: TradingView
●
Weaker AI software ecosystem— The Instinct GPUs' ROCm stack trails Nvidia's CUDA by 2–3 years, a key factor in wider AI-accelerator adoption.Source: Industry · company 10-K
●
Semiconductor-cycle dependence— Results swing widely with PC, gaming, and server demand cycles (operating income slumped in 2022–23). Memory and foundry prices are also variables.Source: Company 10-K Risk Factors
●
Competition from Nvidia and Intel— Nvidia dominates AI accelerators with 90%-plus share, while in server and PC CPUs Intel is fighting back and the Arm camp is expanding.Source: Company 10-K · industry
✦ ValueCrab Dashboard PreviewAMD $537.37 +4.86% · as of 2026-06-18
Q. What are AMD's key value-investing metrics?P/E (TTM) 176.4, forward P/E about 41x, ROE 8.1%, GAAP operating margin 11.7% (non-GAAP about 22%), TTM revenue +35%, and a 9-year revenue CAGR of +26% (source: TradingView · company IR · SEC, as of 2026-06-18).
Q. What is AMD's price-target consensus?The average target across about 51 analysts is $498.62. This is an external consensus, not our own estimate. Versus the current price of $537.37, that is about -7.2%, meaning the average target is below the current price. Sources: TradingView · S&P Global, 2026-06.
Q. Why is the P/E as high as 176x?GAAP net income is only in the early stages of recovery, so the small denominator (EPS) makes the trailing P/E look high. Reflecting earnings-growth assumptions, the forward P/E is about 41x (based on a ~$13 FY27 non-GAAP EPS consensus). Views on valuation versus growth are mixed, and we do not offer a definitive buy or sell opinion.
Q. Why is ROE low at 8%?The 2022 all-stock acquisition of Xilinx (about $49B) lifted equity from $7.5B to $54.8B. The larger denominator (equity) diluted ROE into the single digits, and as earnings recover it is climbing back to roughly 7–8% in 2025 (source: SEC EDGAR 10-K).
Q. Who are AMD's main competitors?In AI accelerators and GPUs, Nvidia (NVDA); in server and PC CPUs, Intel (INTC) and the Arm camp.