Advanced Micro Devices (NASDAQ: AMD) is on a tear. The stock is up 84% this year after a brutal sell-off in the 2022 bear market.

Such a rapid increase might lead some investors to question whether it is too late to benefit from the semiconductor stock's gains. They need not worry too much. As its industry recovers from a cyclical downturn, AMD likely will continue to serve investors well. Here's why.

Admittedly, AMD as a company has had its share of disappointing news in 2023, including in the most recent earnings release. In the first quarter of 2023 (ended April 1), revenue of just under $5.4 billion dropped 9% compared with the same quarter in 2022. Most of that drop came from a 65% year-over-year revenue decline for its client segment. While the embedded segment rose by over 160%, that growth came primarily from the Xilinx acquisition. That decrease took AMD to an operating loss in the quarter, and it reported $139 million in quarterly net losses, down from a $786 million profit in the year-ago quarter.

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Source Fool.com