What Happens To AMD’s Valuation If Embedded & Semicustom Revenue Declines To $2 Billion In 2016?
We estimate AMD’s Embedded and Semicustom revenue will increase marginally (~5%), to $2.2 billion, in 2016. If revenue from the division decline by 5% instead, then our valuation for the company will decline by more than 20%. Factors that can lead to lower revenue from the division this year –
>> Delay in generating revenue from new semicustom deals
>> Decline in unit price of game consoles, which result in lower revenue for AMD
Have more questions about AMD (NYSE:AMD)? See the links below:
>> By What Percentage Did AMD’s Revenue & EBITDA Grow In The Last 3 Years?
>> How Has AMD’s Revenue And EBITDA Composition Changed Between 2012 And 2015?
>> AMD’s Revenue & EBITDA Growth in The Next 5 Years: Trefis Estimate
>> AMD’s Potential Valuation In 2020
>> How Much Revenue Can AMD Earn From Its Server Business BY 2020?
>> How Much Revenue Can AMD Add By Increasing Its GPU Market Share?: Trefis Estimate
>> How Is AMD’s Revenue & EBITDA Composition Expected To Change In The Future?
>> AMD: The Year 2015 In Review
>> What’s AMD’s Fundamental Value Based On Expected 2016 Results?
>> Where is AMD’s 2016 Revenue Growth Expected To Come From?
>> How Important Is the PC Market For AMD’s Business?
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