Hot Technology Stocks: Advanced Micro Devices, Inc (NASDAQ:AMD), Square Inc (NYSE:SQ)
On Wednesday, Advanced Micro Devices, Inc (NASDAQ:AMD), surge 0.68% to $10.39 & Square Inc (NYSE:SQ), dropped – 2.82% to $18.28.
During the last trading session Advanced Micro Devices the minimum price at which share is traded was $9.85 and peak price of the day was $10.68. Analyst price target cuts as well as investors showing concern over AMD’s gross profit margins, sent shares plunging in Tuesday trading. Nvidia also saw its share sink into the red despite a lack of news. Traders are on edge waiting for Nvidia’s first quarter earnings report scheduled for May 9th.
On the other hand, Square Inc (NYSE:SQ), is a commerce ecosystem. The Company facilitates its sellers start, run and grow their businesses. The Company has 367.19M shares outstanding while EPS in next five years is expected to reach 0.00% while EPS growth in past 5 year was -23.70%. Square, Inc. (SQ) announced its financial results for the first quarter of 2017.
Highlights
Our first-quarter results demonstrate our continued balance of investing for growth, with first-quarter GPV up 33% year over year, while also improving margins.
- We launched in the UK, our fourth international market, where small and medium businesses generated £1.8 trillion of revenue in 2016.
- Integration drives product adoption: Invoices grew significantly after we integrated it into the Square app.
- We continue to develop our industry-specific solutions with features that help sellers reach more customers and increase sales, like Caviar pickup for restaurants.
Financial Discussion
Gross Payment Volume (GPV)
In the first quarter of 2017, we processed $13.6 billion of GPV, which represents an increase of 33% from the first quarter of 2016. This is comparable to 34% year-over-year growth in the fourth quarter of 2016 and is in line with normal seasonal trends. We continue to see strength from larger sellers, which are those that generate more than $125,000 in annualized GPV. In the first quarter of 2017, GPV from larger sellers grew 44% year over year and accounted for 43% of total GPV, up from 39% of total GPV in the first quarter of 2016.
Revenue
Total net revenue was $462 million in the first quarter of 2017, up 22% compared to the first quarter of 2016. We did not generate any revenue from Starbucks, which transitioned off of our infrastructure during the fourth quarter of 2016. Excluding Starbucks revenue, total net revenue in the first quarter of 2017 grew 36% year over year. Adjusted Revenue was $204 million in the first quarter of 2017, an increase of 39% from the first quarter of 2016.
Transaction-based revenue was $403 million in the first quarter of 2017, up 34% from the first quarter of 2016. Transaction-based revenue as a percentage of GPV was 2.96% in the first quarter of 2017, up from 2.92% in the prior year period. Transaction-based profit as a percentage of GPV was 1.07% in the first quarter of 2017, up from 1.03% in the prior year period. Excluding the promotional processing credit from the first quarter of 2016, transaction-based revenue and transaction-based profit as percentages of GPV are consistent year over year. Our continued ability to grow GPV at scale, while maintaining our transaction revenue margin, demonstrates that our sellers recognize the value of our managed payments solution and our cohesive ecosystem.