Advanced Micro Devices ( (AMD) ) has been popular among investors this week. Here is a recap of the key news on this stock.
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Advanced Micro Devices (AMD) has reported impressive first-quarter results, showcasing a 36% year-over-year revenue increase to $7.44 billion, driven by strong performances in the data center and client segments. The data center segment alone surged by 57%, fueled by demand for EPYC processors and Instinct GPUs. Despite these gains, AMD faces challenges, including a projected $1.5 billion revenue hit due to new U.S. export restrictions on AI chips to China, impacting its financial outlook for 2025.
Investors have reacted cautiously to AMD’s earnings, with shares initially rising but settling with modest gains as the market digested the impact of regulatory headwinds. The company’s gaming segment saw a 30% decline, while the embedded segment experienced a 3% decrease. However, CEO Lisa Su remains optimistic, highlighting AMD’s differentiated product portfolio and operational execution as key strengths. The company is focusing on expanding its AI and data center markets globally to mitigate the impact of export restrictions, projecting double-digit growth in these areas to offset challenges in China.