Advanced Micro Devices

Management has prioritized high-return organic R&D, targeted M&A to strengthen AI software and systems (Nod.ai, Silo AI, ZT Systems), and disciplined buybacks.

In 2024 AMD repurchased about 862 million of stock and in 2025 expanded authorization by 6 billion, with 1.2 billion repurchased in H1 2025. The ZT Systems deal is nuanced: AMD keeps design/IP and has agreed to divest the manufacturing business to Sanmina for ~3 billion, aiming to stay asset-light while accelerating system-level capability.

SBC is material but balanced by repurchases. We score capital allocation as strong but not exemplary given integration risk and dilution from acquisition-related share issuance.