From Nasdaq: 2024-05-02 17:57:00

AMD and Super Micro Computer exceeded earnings expectations but saw their stocks fall. Despite this, Super Micro’s shares have skyrocketed 451% in the last year, while AMD is up 79%. Investors are pondering whether to buy the post-earnings dip in these AI leaders. SMCI rebounded +3% on Thursday, with AMD up +1%.

In Q1, AMD reported earnings of $0.62 per share, beating expectations of $0.60 per share. Sales of $5.47 billion were 1% above estimates and up 2% from the previous year. Super Micro posted earnings of $6.65 per share for Q3, beating expectations by 15%, with sales of $3.85 billion, missing estimates by -3%.

AMD’s annual earnings are projected to increase 30% in 2024 and jump 47% in 2025, totaling $5.06 per share. Sales are expected to rise 11% this year and climb 23% in 2025 to $30.97 billion. Super Micro’s earnings are forecasted to soar 85% in 2024 to $21.88 per share and jump 35% in 2025 to $29.51.

Despite the recent selloff, the growth trajectories for AMD and Super Micro remain compelling. AMD holds a Zacks Rank #2 (Buy), while Super Micro has a Zacks Rank #3 (Hold). Experts have identified 7 elite stocks with potential for early price pops, offering an average gain of +24.2% per year since 1988.



Read more at Nasdaq: Should Investors Buy the Dip in AMD (AMD) or Super Micro Computer’s (SMCI) Stock After Earnings?