AMD's HPC Portfolio Powers El Capitan: How Should You Play the Stock?

Zacks11-21

Advanced Micro Devices AMD showcased its high-performance computing (HPC) dominance at Supercomputing 2024 with the El Capitan supercomputer. Powered by AMD Instinct MI300A APUs, it became the fastest...

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Powered by AMD Instinct MI300A APUs, it became the fastest...</p>\n\n<a href=\"https://finance.yahoo.com/news/amds-hpc-portfolio-powers-el-163500000.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>AMD's HPC Portfolio Powers El Capitan: How Should You Play the Stock?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nAMD's HPC Portfolio Powers El Capitan: How Should You Play the Stock?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-21 00:35 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/amds-hpc-portfolio-powers-el-163500000.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Advanced Micro Devices AMD showcased its high-performance computing (HPC) dominance at Supercomputing 2024 with the El Capitan supercomputer. Powered by AMD Instinct MI300A APUs, it became the fastest...</p>\n\n<a href=\"https://finance.yahoo.com/news/amds-hpc-portfolio-powers-el-163500000.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU0094547139.USD","symbol_name":"abrdn SICAV I - GLOBAL SUSTAINABLE EQUITY FUND \"A\" (USD) ACC","start_time":0,"source_url":"https://finance.yahoo.com/news/amds-hpc-portfolio-powers-el-163500000.html","article_id":"2485612546","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/501H47h5ygSgSbhanVrDkw--~B/aD00MDA7dz02MzU7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/c0a0d5596f2ebb626a8c1aabf1b4fb40"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2485612546","pubTimestamp":1732120500,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Advanced Micro Devices AMD showcased its high-performance computing  dominance at Supercomputing 2024 with the El Capitan supercomputer. Powered by AMD Instinct MI300A APUs, it became the fastest on the Top 500 list with a 1.742 exaflop High-Performance Linpack score.The El Capitan supercomputer is housed at Lawrence Livermore National Laboratory and built by Hewlett Packard Enterprise HPE. It is AMD’s second system to have broken the exascale barrier.AMD now powers 50% of the top 10 fastest and 40% of the 10 most energy-efficient supercomputers globally.Advanced Micro Devices also announced a partnership with International Business Machines IBM to offer AMD Instinct MI300X accelerators on IBM Cloud, further advancing HPC and AI capabilities.With this, AMD has significantly strengthened its HPC and AI portfolio, targeting high-performance needs in data centers, scientific research, aerospace, defense and communications markets.AMD Stock Underperforms Despite Strong Data Center Growth. ","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU0094547139.USD":"abrdn SICAV I - GLOBAL SUSTAINABLE EQUITY FUND \"A\" (USD) ACC","LU2360032135.SGD":"ALLSPRING GLOBAL EQUITY ENHANCED INCOME \"A\" (SGDHDG) INC","LU0444973449.USD":"CT (LUX) I GLOBAL TECHNOLOGY \"DU\" (USD) ACC","NVD":"GraniteShares 2x Short NVDA Daily ETF","BK4585":"ETF&股票定投概念","2NVD.UK":"2X NVIDIA ETP","NVDD":"Direxion Daily NVDA Bear 1X Shares","LU2097344431.USD":"SCHRODER ISF SUSTAINABLE MULTI-ASSET INCOME \"A\" (USDHDG) INC","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","NVD2.UK":"2X NVIDIA ETP","IE00BYXW3230.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"AA\" (USD) ACC","LU2592432038.USD":"WELLINGTON MULTI-ASSET HIGH INCOME \"A\" (USD) ACC","SNVD.UK":"LS -1X NVIDIA","IE00BDRTCR15.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC A","NVD3.UK":"LS 3X NVIDIA","NVDA":"英伟达","LU1883839398.USD":"AMUNDI FUNDS INCOME OPPORTUNITIES \"A2\" (USD) ACC","NVDS":"Tradr 1.5X Short NVDA Daily ETF","IBM":"IBM","IE00BK4W5L77.USD":"HSBC GLOBAL FUNDS ICAV US EQUITY INDEX \"HC\" (USD) ACC","NVDS.UK":"LS -1X NVIDIA","LU2237957811.SGD":"NIKKO AM GLOBAL EQUITY \"F\" (SGD) ACC","NVDU":"Direxion Daily NVDA Bull 2X Shares","LU2361044865.SGD":"WELLINGTON US QUALITY GROWTH \"A\" (SGDHDG) ACC","GFS":"GLOBALFOUNDRIES Inc.","AMD":"美国超微公司","LU1814569148.SGD":"WELLINGTON GLOBAL QUALITY GROWTH \"D\" (SGDHDG) ACC","NVDX":"T-REX 2X LONG NVIDIA DAILY TARGET ETF","LU2505996509.AUD":"WELLINGTON MULTI-ASSET HIGH INCOME \"AM4H\" (AUDHDG) INC","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","LU0096364046.USD":"CT (LUX) I AMERICAN \"DU\" (USD) ACC","LU0225283273.USD":"SCHRODER ISF GLOBAL EQUITY ALPHA \"A\" (USD) ACC","NVDY":"YIELDMAX NVDA OPTION INCOME STRATEGY ETF","IE00B3M56506.USD":"NEUBERGER BERMAN EMERGING MARKETS EQUITY \"A\" (USD) ACC","LU0787776722.HKD":"AB SELECT US EQUITY PORTFOLIO \"A\" (HKD) ACC","LU0985320562.USD":"NORDEA 1 GLOBAL STARS EQUITY \"BP\" (USD) ACC","LU0786609619.USD":"高盛全球千禧一代股票组合Acc","HPE":"慧与科技","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","IE0034235303.USD":"PINEBRIDGE US RESEARCH ENHANCED CORE EQUITY \"A\" (USD) ACC","BK4548":"巴美列捷福持仓","LU0256863811.USD":"ALLIANZ US EQUITY \"A\" INC","LU1316542783.SGD":"Janus Henderson Horizon Global Technology Leaders A2 SGD","LU2403377893.USD":"ALLIANZ SELECT INCOME AND GROWTH \"AM\" (USD) INC","LU2125909247.SGD":"Natixis Thematics Meta H-R/A SGD","LU0234570918.USD":"高盛全球核心股票组合Acc Close","3NVD.UK":"LS 3X NVIDIA"},"translate_title":"AMD的HPC产品组合为El Capitan提供动力：您应该如何玩这只股票？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"AMD":1,"GFS":1,"HPE":1,"IBM":1,"NVDA":1,"NVD3.UK":0.6,"NVD":0.6,"NVD2.UK":0.6,"NVDD":0.6,"NVDS":0.6,"NVDS.UK":0.6,"NVDU":0.6,"NVDX":0.6,"NVDY":0.6,"SNVD.UK":0.6,"3NVD.UK":0.6,"2NVD.UK":0.6},"content_text":"Advanced Micro Devices AMD showcased its high-performance computing (HPC) dominance at Supercomputing 2024 with the El Capitan supercomputer. Powered by AMD Instinct MI300A APUs, it became the fastest on the Top 500 list with a 1.742 exaflop High-Performance Linpack score.\nThe El Capitan supercomputer is housed at Lawrence Livermore National Laboratory and built by Hewlett Packard Enterprise HPE. It is AMD’s second system to have broken the exascale barrier.\nAMD now powers 50% of the top 10 fastest and 40% of the 10 most energy-efficient supercomputers globally.\nAdvanced Micro Devices also announced a partnership with International Business Machines IBM to offer AMD Instinct MI300X accelerators on IBM Cloud, further advancing HPC and AI capabilities.\nWith this, AMD has significantly strengthened its HPC and AI portfolio, targeting high-performance needs in data centers, scientific research, aerospace, defense and communications markets.\n \n \nAMD Stock Underperforms Despite Strong Data Center Growth\nAMD shares have lost 5.4% in the year-to-date period, underperforming the Zacks Computer & Technology sector’s return of 27.8% and the Zacks Computer - IT Systems Market’s growth of 9.8%.\nYTD Performance\nImage Source: Zacks Investment Research\nThe drop can be attributed to weakness in the Gaming and Embedded segments. AMD’s fourth-quarter 2024 guidance is not so encouraging.\nHowever, the semiconductor chip provider has been riding on a strong performance of the Data Center segment.\nIn the third quarter of 2024, Data Center revenues surged 122.1% to a record $3.5 billion and accounted for 52% of total revenues. Sequentially, data center revenues increased 25%.\nAMD’s top line greatly benefited from the well-grounded Instinct product portfolio and strong growth in the fourth-gen EPYC CPU sales.\nThe chipmaker has been on an acquisitive spree to strengthen its AI ecosystem. The acquisition of ZT Systems, which provides AI infrastructure to large hyperscale computing companies, is noteworthy. This will enable AMD to simultaneously design and validate its next-gen AI silicon and systems, speeding up large-scale deployment of data center accelerators.\nNod.ai and Mipsology are some other notable acquisitions in the recent past. It recently closed the acquisition of Helsinki, Finland-based Silo AI.\nAMD’s acquisitiveness is aimed at reducing the technological gap with NVIDIA NVDA in the ongoing race for AI dominance.\nStrong Portfolio Boosts AMD’s Prospects\nAMD’s expanding portfolio, which now includes the Instinct MI300 Series data center AI accelerators and the Alveo V80 accelerators in the embedded segment, has been noteworthy.\nAdvanced Micro Devices has a rich partner base with the likes of Dell Technologies, HPE, Lenovo and Supermicro, all having the Instinct platforms in production.\nIn the third quarter of 2024, AMD’s public cloud instances increased 20% year over year to more than 950, with Microsoft, AWS, Uber and Netflix deploying it at scale.\nMeta Platforms alone employed more than 1.5 million EPYC CPUs globally to power its social media platforms. EPYC instance adoption by enterprise customers also expanded, with wins from Adobe, Boeing and Tata, among others.\nThese developments are making AMD well-poised to challenge NVIDIA not only in the data center market but also in the growing AI-enabled consumer PC market.\nAMD has diversified its enterprise customer portfolio in the third quarter with wins from energy, large technology and automotive companies, including Airbus, FedEx, HSBC, Walgreens and others.\nHowever, NVIDIA’s strategy to release new AI chip models annually instead of its previous two-year update timeline intensifies competition for AMD.\nFor the fourth quarter of 2024, AMD expects Data Center and Client revenues to be up significantly, driven by the strong product portfolio. However, it expects the Embedded and Gaming segment revenues to decline year over year.\nAMD expects fourth-quarter 2024 revenues to be $7.5 billion (+/-$300 million). At the mid-point of the revenue range, this represents a year-over-year rise of approximately 22% and sequential growth of approximately 10%.\nThe Zacks Consensus Estimate for the fourth-quarter 2024 revenues is pegged at $7.51 billion, indicating 21.82% year-over-year growth. The consensus mark for earnings is pegged at $1.06 per share, down by 7 cents over the past 30 days, but suggesting 37.66% year-over-year growth.\n\nAdvanced Micro Devices, Inc. Price and Consensus\n  \nAdvanced Micro Devices, Inc. price-consensus-chart | Advanced Micro Devices, Inc. Quote\n\nFind the latest EPS estimates and surprises on Zacks Earnings Calendar.\nAMD Stock Overvalued\nAMD stock is overvalued, as the Value Score of D suggests a stretched valuation at this moment.\nThe stock is trading at a premium with a forward 12-month Price/Sales of 7.16X compared with the Zacks Computer & Technology sector’s 6.21X.\nPrice/Sales (F12M)\nImage Source: Zacks Investment Research\nConclusion\nAMD’s near-term prospects are dull, given the weakness in the Embedded and Gaming segments amid stiff competition from NVIDIA.\nHowever, the chipmaker’s expanding portfolio due to acquisitions of ZT Systems and Silo AI is expected to boost top-line growth. Hence, investors who already own the stock may expect these factors to be rewarding over the long term.\nAMD currently carries a Zacks Rank #3 (Hold), suggesting that it may be wise for investors to wait for a more favorable entry point in the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.\nWant 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\nAdvanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report\nInternational Business Machines Corporation (IBM) : Free Stock Analysis Report\nNVIDIA Corporation (NVDA) : Free Stock Analysis Report\nHewlett Packard Enterprise Company (HPE) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2485612546"}