AMD 4Q24 in-line, margins are improving. AI GPU roadmap for 2025 is impressive and accelerating. The stock is at the bottom of a massive correction. Buy.

Feb 05, 2025

∙ Paid

4Q24: just inline (revenue, margins) with a flattish AI GPU revenue and recovery in Server and PC CPU. Not impressive but it’s ok. What matters is: accelerating launch of GPU in 2025, the open-source software development platform s gaining traction.
Please take this literally, from CEO Lisa Su: Data Center AI (revenue will increase) from more than US$5 bn in 2024 to tens of billions of dollars of annual revenue over the coming years. 1H25 AI revenue will see low sequential growth (teens), acceleration in 2H with the launch of MI350.
Stock has corrected by -32% since Oct-24. It’s trading at -1 standard deviation on forward EPS or 23x 2025EPS. Time to Buy

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