AMD’s price has massively detached from forward earnings expectations
u/Zipski577 ·
Reddit — r/StockMarket
· 2026년 6월 3일, 07:20
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I have seen an exhibit going around that compares price to consensus forward EPS for CSCO in 2000 to NVDA in in 2026, with the figures indexed to 100 and the caption being “bubble vs not a bubble” and “the difference now is that the companies are backed by actual earnings.”
Everyone who follows the stock market knows that CSCO then to NVDA now is a very disingenuous comparison being that MSFT was the largest tech stock at the time and had very strong earnings, while CSCO was an extreme case of irrational exuberance and hype.
However it led to me questioning what some of the other “AI”/ tech names in the S&P 500 that have recently gone parabolic look like on the same scale.
What I found immediately is that AMD’s stock price has massively detached from consensus forward earnings estimates, which are currently forecasting EPS growth of 76%+ over the next 2 years.
Is it worrisome at all that the stock price has massively detached from earnings growth expectations that are already very high?