Advanced Micro Devices Inc Stock Price, News & Analysis

AMD has announced an $8 billion share repurchase program, supplementing the previous $4 billion plan. To date, approximately $3 billion has been repurchased under the earlier program. The initiative aims to enhance shareholder value by offsetting dilution and reducing share count over time. AMD expects to fund these repurchases with cash generated from operations, utilizing strong financial performance to support long-term growth while returning value to shareholders.

AMD announced the launch of Amazon EC2 C6a instances, optimized for compute-intensive workloads, which utilize 3rd Gen AMD EPYC processors. The C6a instances deliver 15% better compute price performance compared to the previous C5a instances, supporting tasks like batch processing and video encoding. They feature high core density with instance sizes up to 192 vCPUs and 284 GB of memory. General availability starts in US East, US West, and Europe. This aligns with AMD's commitment to providing powerful cloud solutions.

AMD has elected Dr. Lisa Su as chair of the board, with John Caldwell appointed as lead independent director. Caldwell has been a board member since 2006 and chair since 2016. Former Xilinx board members Jon Olson and Elizabeth Vanderslice join the AMD board after the completion of AMD's Xilinx acquisition. Dr. Su aims to enhance AMD's focus and shareholder value, supported by Caldwell's praised leadership. Olson and Vanderslice bring extensive industry experience to the board as AMD seeks to maintain its position as a leader in high-performance computing.

AMD has completed its acquisition of Xilinx in an all-stock deal, enhancing its position in high-performance and adaptive computing. Announced initially on October 27, 2020, this transaction is set to create a significant market opportunity valued at approximately $135 billion. AMD anticipates the acquisition will positively impact non-GAAP margins, EPS, and free cash flow generation within the first year. Former Xilinx CEO Victor Peng is now leading the newly formed Adaptive and Embedded Computing Group within AMD.

AMD announced that its EPYC processors will power Google Cloud's new C2D virtual machine instances, enhancing performance for high-performance computing (HPC) workloads. This marks the third instance family using 3rd Gen EPYC processors, joining T2D and N2D. The C2D VMs offer up to 30% better performance than previous EPYC generations. Currently available in multiple regions, the C2D instances target demanding applications in electronic design automation and computational fluid dynamics. Notably, EPYC chipsets power 73 supercomputers globally, underlining their prominence in HPC.

AMD has received all necessary approvals to proceed with its acquisition of Xilinx, expecting the deal to close on or about February 14, 2022. This all-stock transaction, first announced on October 27, 2020, aims to combine their complementary product portfolios, including CPUs, GPUs, and FPGAs. The merger is anticipated to drive leadership in computing platforms for cloud, edge, and intelligent devices, enhancing AMD's market position.

AMD reported a record quarterly revenue of $4.8 billion for Q4 2021, up 49% year-over-year, with an operating income of $1.2 billion and a net income of $974 million. For the full year, revenue reached $16.4 billion, up 68%, and net income was $3.2 billion, a 27% increase. The gross margin improved to 50%. AMD continues to expand its data center solutions, and the acquisition of Xilinx is expected to close in Q1 2022.

AMD has unveiled the new Radeon PRO W6400 graphics card and two mobile GPUs, the Radeon PRO W6500M and Radeon PRO W6300M, aimed at professional users such as CAD designers and engineers. The W6400 boasts up to 3X higher performance than its predecessor in applications like Autodesk AutoCAD 2022, alongside notable gains in office productivity tasks. Built on RDNA 2 architecture, these GPUs promise efficiency with features like AMD Infinity Cache. The W6400 is priced starting at $229 and is expected to be available in Q1 2022.

AMD will report its fourth quarter and full year 2021 financial results on February 1, 2022, after the market closes. A conference call to discuss these results will be held at 5:00 p.m. EST / 2:00 p.m. PST. Interested parties can access the webcast on AMD’s Investor Relations website.

AMD has established itself as a leader in high-performance computing and graphics technologies, serving consumers, businesses, and research facilities globally. For further details, visit AMD's official website.