Stock Analysis on Net
Stock Analysis on Net

Advanced Micro Devices Inc. (NASDAQ:AMD)

Price to FCFE (P/FCFE)

Intermediate level

Free Cash Flow to Equity (FCFE)

Advanced Micro Devices Inc., FCFE calculation

US$ in millions

Microsoft Excel LibreOffice Calc
12 months ended: Dec 26, 2020 Dec 28, 2019 Dec 29, 2018 Dec 30, 2017 Dec 31, 2016
Net income (loss) 2,490  341  337  43  (497)
Net noncash charges (488) 694  424  289  407 
Changes in operating assets and liabilities (931) (542) (727) (264) 180 
Net cash provided by operating activities 1,071  493  34  68  90 
Purchases of property and equipment (294) (217) (163) (113) (77)
Proceeds from short-term borrowings 200  —  —  70  — 
Proceeds from issuance of convertible senior notes, net of issuance costs —  —  —  —  782 
Repayments and extinguishment of debt (200) (473) (41) (110) (1,343)
Free cash flow to equity (FCFE) 777  (197) (170) (85) (548)

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-02-04), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-21).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Advanced Micro Devices Inc.’s equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. Advanced Micro Devices Inc.’s FCFE decreased from 2018 to 2019 but then increased from 2019 to 2020 exceeding 2018 level.

Price to FCFE Ratio, Current

Advanced Micro Devices Inc., current P/FCFE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
No. shares of common stock outstanding 1,211,280,009
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 777 
FCFE per share 0.64
Current share price (P) 82.15
Valuation Ratio
P/FCFE 128.07
Benchmarks
P/FCFE, Competitors1
Analog Devices Inc. 39.53
Apple Inc. 29.69
Applied Materials Inc. 35.27
Broadcom Inc. 10.12
Cisco Systems Inc. 47.99
Intel Corp. 9.80
Lam Research Corp. 28.48
Micron Technology Inc. 141.80
NVIDIA Corp. 40.84
Qualcomm Inc. 37.58
Texas Instruments Inc. 27.22
P/FCFE, Sector
Technology Hardware & Equipment 27.34
P/FCFE, Industry
Technology 30.20

Based on: 10-K (filing date: 2021-01-29).

1 Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.


Price to FCFE Ratio, Historical

Advanced Micro Devices Inc., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 26, 2020 Dec 28, 2019 Dec 29, 2018 Dec 30, 2017 Dec 31, 2016
No. shares of common stock outstanding1 1,211,280,009 1,169,661,536 1,005,298,882 969,110,191 940,758,118
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 777  (197) (170) (85) (548)
FCFE per share3 0.64 -0.17 -0.17 -0.09 -0.58
Share price1, 4 85.64 49.45 23.05 12.53 14.00
Valuation Ratio
P/FCFE5 133.51
Benchmarks
P/FCFE, Competitors6
Analog Devices Inc. 33.98 37.52 50.53 4.66 11.17
Apple Inc. 24.40 21.64 14.82 11.05 8.20
Applied Materials Inc. 23.21 19.53 10.21 10.60 35.38
Broadcom Inc. 9.15 5.62 13.28 11.06 6.67
Cisco Systems Inc. 37.32 14.83 44.19 8.62 10.13
Intel Corp. 8.57 16.55 18.81 21.34 12.86
Lam Research Corp. 16.89 6.14 14.02 141.80 4.72
Micron Technology Inc. 81.71 13.92 11.22
NVIDIA Corp. 44.22 30.19 69.82 21.54 16.33
Qualcomm Inc. 34.91 16.39 5.55 12.64
Texas Instruments Inc. 24.10 18.77 14.27 19.88 21.53
P/FCFE, Sector
Technology Hardware & Equipment 21.62 17.14 19.73 11.34 10.00
P/FCFE, Industry
Technology 24.66 21.30 23.86 13.65 12.91

Based on: 10-K (filing date: 2021-01-29), 10-K (filing date: 2020-02-04), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-27), 10-K (filing date: 2017-02-21).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2020 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 777,000,000 ÷ 1,211,280,009 = 0.64

4 Closing price as at the filing date of Advanced Micro Devices Inc.’s Annual Report.

5 2020 Calculation
P/FCFE = Share price ÷ FCFE per share
= 85.64 ÷ 0.64 = 133.51

6 Click competitor name to see calculations.