Advanced Micro Devices, Inc.

AMD IPO

Advanced Micro Devices (AMD) went public with its initial public offering (IPO) on February 4, 1972. The company’s shares were listed on the New York Stock Exchange (NYSE) under the ticker symbol “AMD.”

During the IPO, AMD offered 1,250,000 shares at a price of $15 per share. The IPO raised approximately $18.75 million in capital for the company.

AMD’s IPO marked a significant milestone in the company’s history, providing it with the necessary funds to expand its operations and invest in research and development.

AMD IPO Prospectus

A prospectus is a formal document required by and filed with the Securities and Exchange Commission (SEC) that provides details about an investment offering to the public. You can find AMD’s Prospectus here.

Company Overview & History

Advanced Micro Devices, Inc. (AMD) was founded in 1969 by Jerry Sanders III in Sunnyvale, California. The company initially focused on designing and producing semiconductor products.

AMD emerged as a key player in the microprocessor industry with the launch of its first commercial product, the Am9080, in 1970. The company continued to innovate in the following decades, introducing notable processors such as the AMD Athlon, AMD Opteron, and AMD Ryzen.

AMD has established itself as a prominent competitor to Intel in the x86 microprocessor market. The company’s processors have gained recognition for their performance, power efficiency, and competitive pricing.

In addition to microprocessors, AMD develops and sells graphics processing units (GPUs) through its Radeon brand. Radeon GPUs have become popular among gamers and professionals for their advanced graphics capabilities.

Over the years, AMD has expanded its product portfolio to include server solutions, embedded processors, and semi-custom chips for gaming consoles. The company’s commitment to innovation and technological advancements has helped it gain market share and become a trusted brand in the semiconductor industry.

Financial Performance

Year	Revenue($B)	Net Income($B)	EBITDA($B)	Operational Cash Flow($B)
2022	23.6	1.32	3.65	3.57
2021	16.43	3.16	0.97	3.52
2020	9.76	2.49	0.21	1.07
2019	6.73	0.34	0.21	0.49
2018	6.48	0.33	1.06	0.38
2017	5.33	0.43	0.8	0.39
2016	4.27	-0.5	0.44	0.3
2015	3.99	-0.66	0.49	-0.10
2014	5.51	-0.40	0.36	0.16
2013	5.30	-1.35	-0.07	0.21
2012	5.42	-1.18	-0.21	0.15
2011	6.57	-0.49	0.81	0.59
2010	6.49	-0.47	0.63	0.38

Business Model

AMD’s business model revolves around the design, development, and sale of high-performance computing solutions. The company focuses on producing microprocessors, graphics processors, and related technologies for various markets, including personal computers, data centers, gaming consoles, and embedded systems.

AMD’s product lineup includes Ryzen processors for consumer and commercial desktops, Threadripper processors for high-end desktops, Epyc processors for data centers, and Radeon graphics processors for gaming and professional applications.

The company’s business model emphasizes innovation, performance, and competitive pricing to attract customers and gain market share. AMD collaborates with technology partners and works closely with software developers to optimize its products for a wide range of applications.

Market Cap Over the Years

Year	Market Cap($B)
2022	134.2
2021	127.1
2020	96.5
2019	43.3
2018	18.5
2017	11.2
2016	9.7
2015	1.8
2014	2.9
2013	3.2
2012	2.0
2011	4.6
2010	5.7
2009	1.7
2008	1.6
2007	6.0
2006	5.9
2005	5.8
2004	5.6
2003	1.9
2002	1.8

Risk Factors

AMD faces several risk factors that could impact its business and financial performance. These include intense competition in the semiconductor industry, rapid technological advancements, supply chain disruptions, and dependence on third-party suppliers for key components.

Other risks include potential defects in its products, intellectual property disputes, changes in market demand, and fluctuations in foreign currency exchange rates.

To mitigate these risks, AMD invests in research and development, maintains strategic partnerships, focuses on product quality and innovation, and diversifies its product portfolio across multiple markets and applications.

Market Opportunity

The semiconductor industry presents significant opportunities for AMD. The growing demand for computing power, advancements in artificial intelligence, cloud computing, and gaming are driving the need for high-performance processors and graphics solutions.

AMD’s strong position in the x86 microprocessor market, along with its expanding product portfolio, positions the company to capture opportunities in various sectors, including personal computing, data centers, gaming, and emerging technologies.

The increasing adoption of cloud-based services, the development of 5G networks, and the proliferation of Internet of Things (IoT) devices also contribute to the market opportunity for AMD’s products.

Competitors

Intel Corporation
NVIDIA Corporation
Qualcomm Incorporated
IBM Corporation
Samsung Electronics Co., Ltd.

Key/Fun Company Facts

AMD was founded on May 1, 1969, by Jerry Sanders III.
The company’s first product, the Am9080, was a bipolar 8-bit microprocessor introduced in 1970.
AMD’s Athlon processors gained popularity among enthusiasts and gamers in the early 2000s.
The acquisition of ATI Technologies in 2006 enabled AMD to enter the graphics processing unit (GPU) market.
AMD’s Ryzen processors, launched in 2017, introduced significant performance improvements and competitive pricing, challenging Intel’s dominance in the desktop CPU market.
The company’s Radeon graphics solutions are widely used in gaming consoles, including the PlayStation and Xbox.
In 2020, AMD announced its plans to acquire Xilinx, a leading provider of adaptive computing solutions, further expanding its product portfolio.
AMD’s headquarters, known as AMD Campus, is located in Santa Clara, California. The campus features modern facilities and serves as a hub for the company’s research, development, and operations.