In recent years there has been a dramatic rise in the fight between Advanced Micro Devices (NASDAQ:AMD) and Intel (NASDAQ:INTC). AMD stock took a technological lead after decades behind the power curve when Intel’s development was short-circuited. But that doesn’t mean it’s out of the race because Intel has fallen behind. Intel also makes more than its rivals. It still maintains its customers including Dell, Lenovo and HP. It is a permanent force in the market.
Investors must now determine if the emerging name of success or the long-term technological titan will upload better returns for investors. See all chip stocks to see which could be more suitable for investors.
State in both businesses
A drastic reversal of the position has established the relationship between AMD and Intel. Intel lagged in the PC market for a long time with AMD and was left dead after PCs decreased.But it has made a dramatic return under CEO Lisa Su. He has been an outstanding NVIDIA rival on the GPU market. The new Xbox of Microsoft and Sony PlayStation 5 are among the most notable successes.
Today, his greatest accomplishment lies in his strategic leadership over Intel. AMD is now selling 7nm processors, though Intel is not launching a 7nm chip until 2022. Furthermore, Taiwan Semiconductor’s fab had to be used to make all their own chips more extensively for the production of their own chips. CEO Bob Swan also said that he plans to outsource 7nm processors.
Intel aims to redefine in today’s technology market, despite these deceptions. One of the non-pc business lines is data center, the Internet of Things and independent vehicles. The platform has already been incorporated into evolving 5G networks. It’s time to tell if any of these developments will improve Intel inventory recovery.
How to compare finances
A rebound from Intel is not in sight right now. This year’s AMD supply has grown by about 110%. The Intel stock, on the contrary, has encountered substantial lag, as the level for 2020 has dropped by about 15%.
This has made AMD a more costly stock, as most people probably would expect. The future rate to benefit (P/E) ratio of AMD stock is now around 54. That outpaced Intel’s multiple forward of around 11 significantly.
Nevertheless, in the most recent year, non-GAAP sales of AMD hit $0.41 per share. This is 128% more than in the previous year. Conversely, the $1.11 earnings per share from Intel’s non-GAAP fell by 22 percent over the same period. It’s also a bigger business for one. Its quarterly sales of $18.3 billion is 6.5 times that of AMD’s $2.8 billion. You can check thebalance sheet of AMD at https://www.webull.com/balance-sheet/nasdaq-amd before investing.
Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.