Free cash flow margins have expanded significantly to 25.0% in 2026Q1, supported by an operating cash flow to net income ratio of 2.16.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 9.72B | 7.71B | 3.04B | 1.67B | 3.56B | 3.52B | 1.07B | 493M | 34M | 68M | 90M | -237M | -98M | -148M | -338M | 382M | -412M | 473M | -692M | -310M | 1.29B | 1.48B | 1.09B | 295.59M | -88.91M | 167.65M | 1.21B | 259.92M | 144.41M | 398.81M | 73.24M |
| Operating CF Margin % | - | 22.26% | 11.79% | 7.35% | 15.11% | 21.43% | 10.97% | 7.32% | 0.53% | 1.29% | 2.08% | -5.94% | -1.78% | -2.79% | -6.23% | 5.82% | -6.34% | 8.75% | -11.91% | -5.29% | 22.87% | 25.36% | 21.72% | 8.4% | -3.3% | 4.31% | 25.96% | 9.1% | 5.68% | 16.92% | 3.75% |
| Operating CF Growth % | 797.76% | 153.5% | 82.42% | -53.24% | 1.25% | 228.76% | 117.24% | 1350% | -50% | -24.44% | 137.97% | -141.84% | 33.78% | 56.21% | -188.48% | 192.72% | -187.1% | 168.35% | -123.23% | -124.09% | -13.21% | 36.48% | 267.58% | 432.46% | -153.03% | -86.09% | 363.82% | 79.98% | -63.79% | 444.55% | -88.03% |
| Net Income | 4.99B | 4.27B | 1.64B | 854M | 1.32B | 3.16B | 2.49B | 341M | 337M | 43M | -497M | -660M | -403M | -83M | -1.18B | 3M | 471M | 293M | -3.1B | -3.38B | -166M | 165.48M | 91.16M | -274.49M | -1.3B | -60.58M | 983.03M | -88.94M | -103.96M | -21.09M | -68.95M |
| Depreciation & Amortization | 3.02B | 3B | 3.18B | 3.55B | 4.26B | 463M | 354M | 258M | 170M | 144M | 133M | 167M | 203M | 236M | 260M | 317M | 383M | 1.13B | 1.22B | 1.14B | 837M | 1.22B | 1.22B | 995.66M | 756.17M | 622.87M | 579.07M | 515.52M | 467.52M | 394.46M | 332.64M |
| Stock-Based Compensation | 1.76B | 1.64B | 1.41B | 1.38B | 1.08B | 379M | 274M | 197M | 137M | 97M | 86M | 63M | 81M | 91M | 97M | 90M | 87M | 75M | 83M | 77M | 5M | 5.19M | 1.92M | 1.92M | 2.89M | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 336M | 248M | -1.16B | -1.02B | -1.5B | 308M | -1.22B | -4M | -4M | 9M | 11M | 0 | 294M | 1M | -40M | -6M | 5M | 130M | 26M | -24M | -2M | -21.81M | -39.24M | 2.97M | 35.43M | -36.05M | -19.08M | 160.67M | -106.86M | -18.57M | 17.13M |
| Other Non-Cash Items | -113M | 928M | 77M | -54M | 253M | -17M | 107M | 243M | 121M | 39M | 177M | 91M | 18M | 55M | 308M | 230M | 143M | -114M | 1.42B | 1.85B | 441M | -104.63M | -69.85M | -124.71M | 256.77M | 69.53M | -215.31M | -449.78M | 8.57M | 11.43M | -82.76M |
| Working Capital Changes | -221M | -2.38B | -2.1B | -3.05B | -1.85B | -774M | -931M | -542M | -727M | -264M | 180M | 102M | -291M | -448M | 220M | -252M | -1.5B | -1.04B | -341M | 27M | 172M | 219.28M | -121.71M | -305.76M | 162.84M | -428.12M | -122.16M | 122.45M | -120.86M | 32.58M | -124.83M |
| Change in Receivables | -589M | -121M | -1.86B | -1.25B | -1.09B | -640M | -209M | -623M | -806M | -89M | 222M | 280M | 7M | -200M | 290M | -347M | -1.14B | -960M | 101M | -55M | -276M | -276.23M | 67.88M | 39.09M | 259.5M | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -1.63B | -2.19B | -1.46B | -580M | -1.4B | -556M | -417M | -137M | -151M | 12M | -73M | -11M | 199M | -322M | -83M | 157M | -144M | 89M | 152M | 4M | 6M | -27.78M | -179.98M | -77.43M | -51.98M | -36.98M | -156.28M | 0 | 0 | 0 | 0 |
| Change in Payables | 595M | 410M | -109M | -419M | 931M | 801M | -513M | 373M | 207M | -75M | 58M | -156M | -224M | 384M | -232M | -28M | 55M | -105M | -666M | 301M | 313M | 214.33M | -67.88M | 32.34M | -259.5M | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -7.74B | -5.53B | -1.1B | -1.42B | 2B | -686M | -952M | -149M | -170M | -114M | 277M | 147M | -12M | 455M | -19M | -113M | -1.12B | -1.27B | -27M | -1.68B | -4.3B | -2.27B | -1.56B | 83.18M | -854.39M | -553.52M | -815.8M | -142.37M | -998.11M | -633.3M | -275.51M |
| Capital Expenditures | -1.15B | -974M | -636M | -546M | -450M | -301M | -294M | -217M | -163M | -113M | -77M | -96M | -95M | -84M | -133M | -250M | -148M | -466M | -624M | -1.69B | -1.86B | -1.51B | -1.44B | -570.32M | -705.15M | -678.87M | -805.47M | -619.77M | -996.17M | -685.1M | -485.02M |
| CapEx % of Revenue | 3.07% | 2.81% | 2.47% | 2.41% | 1.91% | 1.83% | 3.01% | 3.22% | 2.52% | 2.15% | 1.78% | 2.41% | 1.73% | 1.59% | 2.45% | 3.81% | 2.28% | 8.62% | 10.74% | 28.76% | 33% | 25.88% | 28.79% | 16.21% | 26.15% | 17.44% | 17.34% | 21.69% | 39.19% | 29.07% | 24.83% |
| Acquisitions | -1.76B | -1.76B | -565M | -131M | 822M | 0 | -27M | 0 | 0 | 1M | 0 | 0 | 0 | 0 | -281M | 16M | -904M | 0 | 127M | 157M | -3.89B | 9.68M | -6.26M | -6.26M | -26.51M | 1.74M | 0 | 0 | 0 | 43.6M | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 1.33B | 1.33B | -98M | -11M | -16M | -7M | 27M | 27M | 71M | -2M | 2M | 8M | 0 | 238M | -9M | -19M | 20M | 62M | 254M | 91M | 303M | -142.2M | 40.45M | 177.56M | 8.62M | -122.36M | 387.9M | 458.26M | 106.97M | -128K | 2.49M |
| Cash from Financing | -2.45B | -431M | -2.06B | -1.15B | -3.26B | -1.9B | 6M | 43M | 28M | -33M | 122M | 59M | 46M | 13M | 37M | -6M | 484M | 1.52B | 220M | 2.04B | 3.76B | 494.19M | 412.8M | 267.4M | 907.44M | 231.71M | -100.85M | -173.54M | 974.95M | 308.95M | 242.15M |
| Debt Issued (Net) | -2.44B | 1.49B | -750M | 0 | 679M | 0 | 0 | -473M | -41M | -40M | -561M | 56M | 40M | 0 | 2M | -39M | 446M | 477M | 142M | 1.36B | 2.83B | -69.38M | -152.24M | -93.58M | 802.53M | 234.72M | -239.23M | -231.7M | 709.4M | 203.69M | 195.11M |
| Equity Issued (Net) | -837M | -1.03B | -1.59B | -1.41B | -4.11B | -2B | -78M | -6M | -6M | 0 | 667M | 5M | 0 | 3M | 14M | 18M | 15M | 1.22B | 0 | 686M | 726M | 189.35M | 123.68M | 35.44M | 29.18M | -40.51M | 122.99M | 43.8M | 44.1M | 40.47M | 47.04M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -968M | -1.32B | -1.59B | -1.41B | -4.11B | -2B | -78M | -6M | -6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -77.22M | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 831M | -891M | 278M | 266M | 165M | 104M | 84M | 522M | 75M | 7M | 16M | -2M | 6M | 10M | 21M | 15M | 23M | -171M | 78M | -7M | 210M | 374.22M | 441.37M | 325.55M | 75.73M | 37.51M | 15.38M | 14.4M | 221.45M | 64.78M | 0 |
| Net Change in Cash | -284M | 1.86B | -122M | -902M | 2.3B | 940M | 125M | 387M | -108M | -79M | 479M | -20M | -64M | 320M | -320M | 263M | -1.05B | 724M | -499M | 52M | 747M | -285.31M | -49.81M | 678.34M | 1.46M | -164.17M | 297.33M | -67.78M | 121.25M | 74.46M | 39.88M |
| Free Cash Flow | 8.57B | 6.74B | 2.4B | 1.12B | 3.12B | 3.22B | 777M | 276M | -129M | -45M | 13M | -333M | -193M | -232M | -471M | 132M | -560M | 7M | -1.32B | -2B | -570M | -30.32M | -353.62M | -274.73M | -794.06M | -511.22M | 400.08M | -359.85M | -851.76M | -286.29M | -411.78M |
| FCF Margin % | 22.89% | 19.44% | 9.33% | 4.94% | 13.2% | 19.59% | 7.96% | 4.1% | -1.99% | -0.86% | 0.3% | -8.34% | -3.51% | -4.38% | -8.69% | 2.01% | -8.62% | 0.13% | -22.66% | -34.06% | -10.13% | -0.52% | -7.07% | -7.81% | -29.44% | -13.14% | 8.61% | -12.59% | -33.51% | -12.15% | -21.08% |
| FCF Growth % | 211.44% | 180.04% | 114.54% | -64.01% | -3.26% | 314.41% | 181.52% | 313.95% | -186.67% | -446.15% | 103.9% | -72.54% | 16.81% | 50.74% | -456.82% | 123.57% | -8100% | 100.53% | 34.04% | -250% | -1780.07% | 91.43% | -28.71% | 65.4% | -55.33% | -227.78% | 211.18% | 57.75% | -197.52% | 30.48% | -4517.93% |
| FCF per Share | 5.20 | 4.12 | 1.47 | 0.69 | 1.98 | 2.62 | 0.64 | 0.25 | -0.12 | -0.04 | 0.02 | -0.43 | -0.25 | -0.31 | -0.64 | 0.18 | -0.76 | 0.01 | -2.17 | -3.58 | -1.16 | -0.07 | -0.95 | -0.79 | -2.32 | -1.54 | 1.14 | -1.22 | -2.96 | -1.02 | -1.52 |
| FCF Conversion (FCF/Net Income) | 1.72x | 1.78x | 1.85x | 1.95x | 2.70x | 1.11x | 0.43x | 1.45x | 0.10x | -2.06x | -0.18x | 0.36x | 0.24x | 1.78x | 0.29x | 0.78x | -0.87x | 1.26x | 0.22x | 0.09x | -7.75x | 8.96x | 11.92x | -1.08x | 0.07x | -2.77x | 1.23x | -2.92x | -1.39x | -18.91x | -1.06x |
| Interest Paid | 0 | 0 | 72M | 84M | 85M | 25M | 31M | 0 | 0 | 88M | 149M | 149M | 138M | 152M | 142M | 152M | 164M | 319M | 339M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | -128M | 0 | 1.39B | 523M | 685M | 35M | 8M | 0 | 0 | 20M | 20M | 3M | 7M | 9M | 9M | 9M | 12M | 14M | 11M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Geopolitical supply chain disruption
According to recent quarterly filings, AMD's operating cash flow to net income ratio reached 2.16 in 2026Q1, indicating that cash generation is significantly outpacing reported accounting profits, a trend largely driven by substantial non-cash depreciation and amortization charges related to the Xilinx acquisition.
The consistent divergence between net income and operating cash flow suggests that GAAP earnings may understate the company's true cash-generating capacity. Investors should monitor whether this conversion efficiency persists as the amortization of intangible assets eventually rolls off the income statement.
As reported in financial statements, AMD's free cash flow margin has expanded from a low of 3.9% in 2023Q4 to 25.0% in 2026Q1, reflecting a successful transition toward higher-margin data center products and improved operational efficiency across the firm's fabless manufacturing model.
This trajectory suggests that the company is effectively scaling its high-performance computing business without requiring proportional increases in capital intensity. The rapid improvement in FCF margins appears to validate the strategic pivot toward the Instinct and EPYC product lines.
Based on AMD's reported figures, capital expenditures as a percentage of revenue have remained disciplined, averaging approximately 2.9% over the last ten quarters, which highlights the inherent advantage of the company's fabless business model in preserving cash flow for R&D and shareholder returns.
The low capital intensity relative to revenue suggests that AMD avoids the heavy depreciation burdens faced by integrated device manufacturers. This structural flexibility allows the company to direct capital toward software ecosystem development, which is critical for competing in the AI accelerator market.
Analysis of recent cash flow statements reveals significant quarterly fluctuations in working capital, with a notable $456 million inflow in 2026Q1 following periods of heavy inventory build-up, suggesting that the company is actively managing its supply chain to align with volatile demand cycles.
The swings in working capital appear to reflect the cyclical nature of the client and gaming segments, where inventory management is paramount. Investors should monitor these shifts as they may indicate either successful channel clearing or potential future supply chain bottlenecks.
As indicated by historical cash flow data, AMD has prioritized share repurchases, utilizing $355 million in 2026Q1 alone, while maintaining a clean balance sheet that avoids the burden of significant debt service, thereby enhancing long-term shareholder value through disciplined capital deployment.
The company's focus on buybacks suggests management's confidence in the durability of its cash flows despite the competitive intensity of the semiconductor industry. This approach appears to be a prudent use of excess liquidity given the company's lack of significant debt obligations.
Quick answers to the most common questions about buying AMD stock.
Advanced Micro Devices, Inc. (AMD) generated $7.71B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Advanced Micro Devices, Inc. (AMD) generated $6.74B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Advanced Micro Devices, Inc. (AMD) spent $974.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Advanced Micro Devices, Inc. (AMD) spent $1.32B on share repurchases. This shows the company's commitment to returning capital to its equity investors.