--- title: "Should You Buy Advanced Micro Devices (AMD) Stock Before Aug. 5? Here's What History Says." description: "Advanced Micro Devices (AMD) has seen a 94% stock increase over the past three years, driven by the AI boom. With earnings expected to be solid on Aug. 5, investors are considering buying before the r" type: "news" locale: "en" url: "https://longbridge.com/en/news/250641748.md" published_at: "2025-07-29T17:07:31.000Z" --- # Should You Buy Advanced Micro Devices (AMD) Stock Before Aug. 5? Here's What History Says. > Advanced Micro Devices (AMD) has seen a 94% stock increase over the past three years, driven by the AI boom. With earnings expected to be solid on Aug. 5, investors are considering buying before the report. However, historical data shows that beating earnings estimates does not guarantee immediate stock price growth. AMD's stock trades at over 43 times its forward earnings, making it more expensive than Nvidia, which is growing revenue faster. Investors are advised to adopt a long-term approach and consider dollar-cost averaging to manage volatility. **Advanced Micro Devices** (AMD 2.94%) (AMD) has been a beneficiary of the artificial intelligence (AI) boom, with the stock up an impressive 94% in the past three years (as of July 28). What's even more impressive is that it has been able to do so while playing little brother to **Nvidia** (NVDA -0.15%) in the graphics processing unit (GPU) space, a key component of data centers that makes AI possible. On Aug. 5, AMD is set to report its fiscal second-quarter earnings, which many anticipate being solid. If revenue comes in around $7.4 billion, like the company estimates, it would've grown business by 35% year over year. Not too shabby at all. This anticipated earnings growth has many investors wondering whether they should buy the stock before Aug. 5 to take advantage of a potential price boost. However, history says that might not be the best thought process. ## Beating earnings expectations doesn't equal immediate stock price growth AMD is no stranger to beating earnings estimates. In its past 10 quarters, it has met or beaten earnings-per-share (EPS) estimates, yet there's been no consistency in how its stock price performs immediately after. This shows investors are considering more than just earnings when deciding how to value the stock. Anticipating how a stock's price will move based on earnings can often be counterproductive because the stock market doesn't behave rationally. A much better approach, if you believe in the company long-term, would be dollar-cost averaging to help offset some of the inevitable volatility. ## Be prepared to pay a premium for AMD's stock Whether you buy AMD shares before or after its Aug. 5 earnings, you should be prepared to pay a premium for the company. It's trading at over 43 times its forward earnings, which is higher than Nvidia, the leader in the space. AMD PE Ratio (Forward) data by YCharts. AMD's premium price isn't inherently a problem, but it makes it a lot harder to justify compared to Nvidia, which is growing revenue at a much faster pace. Trading at 40 times forward earnings is also expensive, but Nvidia's revenue in its last quarter increased 69% year over year, and it's the industry leader. While the ultimate decision to invest in AMD shouldn't revolve around Nvidia, it does help put the stock's valuation into perspective. In either case, approach the stock with a long-term mindset, and don't invest based on what you *anticipate* the stock will do post-earnings. ### Related Stocks - [AMD.US - AMD](https://longbridge.com/en/quote/AMD.US.md) - [AMDL.US - GraniteShares 2x Long AMD Daily ETF](https://longbridge.com/en/quote/AMDL.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | 不靠雲端串流，Sony 新遊戲裝置將直接跑 PS5 遊戲預計 2027 登場 | Sony 正在開發一款新型攜帶式遊戲裝置，預計於 2027 年推出，能夠原生執行 PlayStation 5 的遊戲。該裝置將優化資源使用，減少對雲端串流的依賴，確保主要遊戲系列無縫執行。新硬體將由客製化的 AMD 加速處理單元驅動，具備先 | [Link](https://longbridge.com/en/news/276029191.md) | | 又一機構加入建議買進台積電 ADR 行列 目標價換算台股上看 2,925 元 | D.A. Davidson 給予台積電 ADR「買進」評級，目標價為 450 美元，預計台股價格可達 2,925 元，較現價 1,915 元有 22% 上漲空間。分析師 Gil Luria 指出，台積電是 AI 週期的核心，儘管存在地緣政治 | [Link](https://longbridge.com/en/news/275846509.md) | | Extended 宣佈將上線美股永續合約交易 | Extended 宣佈將上線美股永續合約交易，首批六支股票包括谷歌母公司 Alphabet、英偉達、AMD、特斯拉、Strategy 與亞馬遜。該平台致力於解決流動性不足的問題，並計劃推出更多更新。 | [Link](https://longbridge.com/en/news/275844759.md) | | Mercury 報告 2025Q4 全球 CPU 市場：AMD 出貨量 / 額均創歷史新高 | 市場調查機構 Mercury Research 發佈報告顯示，2025 年 Q4，AMD 在全球 CPU 市場份額實現顯著增長，出貨額和出貨量均創歷史新高。AMD 整體 CPU 營收份額達到 35.4%，同比增長 6.8 個百分點；出貨量份 | [Link](https://longbridge.com/en/news/275704482.md) | | Capital CS Group LLC 收購了 4,049 股 AMD（Advanced Micro Devices, Inc.）股票 | Capital CS Group LLC 在第三季度收購了 4,049 股超微半導體公司（NASDAQ:AMD），價值約 655,000 美元，使其成為該公司的第 19 大持倉。其他機構投資者也增加了對 AMD 的持股。近期內部人士的銷售包 | [Link](https://longbridge.com/en/news/276001896.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.