Advanced Micro Devices, Inc. Second Quarter Earnings Preview

S&P 500 (NYSE:SPY) component Advanced Micro Devices, Inc. (NYSE:AMD) will unveil its latest earnings on Thursday, July 21, 2011. Advanced Micro Devices is a semiconductor company with manufacturing, research and development, and sales and administrative facilities throughout the world. It provides processing solutions for the computing and graphics markets. Investing in Technology: Google, Apple, Netflix and Leading Markets>>

Advanced Micro Devices, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 8 cents per share, a decline of 33.3% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged and it has not changed during the last month. For the year, analysts are projecting net income of 54 cents per share, a rise of 10.2% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 3 cents, reporting profit of 8 cents per share against a mean estimate of net income of 5 cents per share.

Savvy Investing Tip: Our CHEAT SHEET investing framework recommends only stocks with two straight quarters of earnings growth. Learn More >>

Wall St. Revenue Expectations: On average, analysts predict $1.58 billion in revenue this quarter, a decline of 4.2% from the year ago quarter. Analysts are forecasting total revenue of $6.72 billion for the year, a rise of 3.5% from last year’s revenue of $6.49 billion.

Analyst Ratings: Analysts seem relatively indifferent about Advanced Micro Devices with 14 of 27 analysts surveyed maintaining a hold rating.

Key Stats:

Revenue has risen the past four quarters. Revenue increased 2.5% to $1.61 billion in first quarter. The figure rose 0.2% in the fourth quarter of the last fiscal year from the year earlier, climbed 15.9% in the third quarter of the last fiscal year from the year-ago quarter and 39.6% in the second quarter of the last fiscal year.

Competitors to Watch: Intel Corporation (NASDAQ:INTC), NVIDIA Corporation (NASDAQ:NVDA), MIPS Technologies, Inc. (NASDAQ:MIPS), Texas Instruments Inc. (NYSE:TXN), ARM Holdings plc (NASDAQ:ARMH), Microsoft Corporation (NASDAQ:MSFT), Intl. Business Machines Corp. (NYSE:IBM), Hewlett-Packard Company (NYSE:HPQ), Broadcom Corporation (NASDAQ:BRCM), and Apple Inc. (NASDAQ:AAPL).

Stock Price Performance: During May 18, 2011 to July 15, 2011, the stock price had fallen $2.24 (-25.8%) from $8.67 to $6.43. The stock price saw one of its best stretches over the last year between November 30, 2010 and December 8, 2010 when shares rose for seven-straight days, rising 12.1% (+88 cents) over that span. It saw one of its worst periods between May 31, 2011 and June 8, 2011 when shares fell for seven-straight days, falling 12.2% (-$1.06) over that span. Shares are down $1.75 (-21.4%) year to date.

(Source: Xignite Financials)

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