Advanced Micro Devices reported first-quarter earnings Tuesday that topped expectations, while the company’s revenue forecast also exceeded estimates as demand soars for chips to power artificial intelligence workloads.
The stock ripped 20% higher in premarket trading on Wednesday.
Here’s how the chipmaker did versus LSEG consensus estimates for the quarter ended in March:
- EPS: $1.37 vs. $1.29 adjusted expected
- Revenue: $10.25 billion vs. $9.89 billion expected
Revenue climbed 38% from $7.44 billion a year ago, the company said in a release on Tuesday. Data center sales increased 57% to $5.8 billion from $3.67 billion in the same period a year earlier. Net income rose to $1.38 billion, or 84 cents per share in the quarter, from $709 million, or 44 cents per share, a year ago.
For the second quarter, AMD said it expects about $11.2 billion in revenue, versus expectations of $10.52 billion, according to LSEG.
Source: https://www.cnbc.com/2026/05/05/amd-q1-2026-earnings-report.html
AMD’s stock soars 20% as data center growth pushes revenue and guidance past estimates
byu/Puginator instocks
Posted by Puginator
7 Comments
Is this not pure euphoria? That’s a pretty meh beat given the run up after INTC earnings, but it’s up 20%? Market completely lost ability to price in anything and is running on peak FOMO
I was too bearish sayin $380 a week ago when people were selling at low $300s lol. We go some juice left before this tumbles sideways
I don’t understand how this is not a bubble. In the last few months AI providers have increased their prices substantially because they can. I’ve seen stories though that individuals are cancelling their subscriptions and companies have used up their entire year of AI budget due to these increases and it’s only May. Hyperscalers say they need to build more DC’s to meet demand so they can offer better pricing. However, by my estimation the cost of building a data center has gone up 2-3X in one year. So the construction of the product has gone up 2-3X but the end users want to go back to a heavily subsidized pricing model.
Damn. Stock was at $100 a year ago and now 400.
In march I opened an account at IBKR, I had literally no clue what to do, but started looking on AMD calls around at that time 185-190 $, I had 3k to invest, but instead I bought fucking S&P500, because couldn’t figure it out how to buy options with chatgpt. I’m so sad at this point.
Not a surprise. Retail and institutions underestimated the CPU shortage and AI capabilities. So the street street forced to rerate the Stock
A huge amount of stock will be supplied at opening? Who will be buying this large volume at $420?