Advanced Micro Devices (AMD) reported a mixed financial performance in its first quarter, with a significant 80% growth in data center revenue driven by strong demand for AI capabilities, while facing a nearly 50% drop in gaming-chip sales. Despite beating Q1 revenue and EPS expectations, AMD's stock declined due to its future revenue guidance, which failed to meet Wall Street expectations. The company raised its 2024 forecast for AI data center GPU sales from $3.5 billion to $4 billion, yet this adjustment was deemed insufficient by the market, resulting in a 7% drop in stock price after hours. CEO Lisa Su highlighted the industry's robust demand for AI, which is creating a backlog due to supply constraints, particularly for the MI300X AI chip. AMD is set to report its Q1 earnings on Tuesday, with a projected second-quarter revenue of $5.7 billion. The stock fell by 3% due to the gaming chip sales drop and further declined by 7.5% after the earnings announcement.
⚠️ AMD AI chip revenue forecast fails to impress, shares dive 7% Full Story → https://t.co/lgxWVDi0p7
AMD stock falls as earnings, outlook come in line with expectations https://t.co/4mgoqoiCFw https://t.co/UfMDzeA5UR
AMD CEO Lisa Su comments indicate that AMD's supply constrained for MI300X and that's holding them back. Su says the demand-side of the AI chip market is "very strong" while supply is "tight" and that the company is building an AI demand backlog. $AMD
AMD CEO foresees sustained growth driven by insatiable demand for AI #AI #AMD https://t.co/F13FheoiGR via @VentureBeat
AMD beats on Q1 revenue and EPS, stock edges lower on light guidance https://t.co/zJa7d5W5uf by @DanielHowley
AMD: $4 billion of AI chip sales for 2024, up $500 million from prior forecast. Wall Street: ain't enough.
AMD’s outlook fails to impress, and its stock falls https://t.co/cWptl8UjOz
$AMD CEO Lisa Su just said AMD increased its estimates for sales of its AI data center chip the MI300 “We now expect data center GPU revenue to exceed $4 billion in 2024, up from the $3.5 billion we guided in January”
$AMD down ~7% in AH. AMD raised the forecast for its AI accelerator sales to $4B (from $3.5B) and it seems investors are disappointed. $INTC: $500M this year in Gaudi sales $AMD: $4B for MI300X $NVDA will likely do $40B in AI accelerator sales this year.
$AMD raises its 2024 data center GPU sales guide to $4B+ from $3.5B+ on its call. Stock is down 7.5% AH (markets were looking for a bigger guidance hike).
AMD beats on Q1 revenue and EPS, but light guidance sends stock lower https://t.co/H6IIjSpFB5 by @DanielHowley
What's old is new! $AMD impact from weaker gaming demand is really interesting. Second-quarter revenue will be approximately $5.7 billion (touch below consensus estimates). But again, much of the hope is on AI accelerator and MI300X
AMD’s gaming-chip sales drop nearly 50%, and stock falls 3% https://t.co/aFzohWuUnt
$AMD CEO: "This is an incredibly exciting time for the industry as widespread deployment of AI is driving demand for significantly more compute across a broad range of markets. We are executing very well as we ramp our data center business and enable AI capabilities across our… https://t.co/YFfNJWXxw0 https://t.co/BBnWBiirbC
AMD's data center business grew 80% but the stock is down https://t.co/DdhfMsdJrW
AMD gaming revenue falls 48% year-over-year and the stock is down https://t.co/fVdsOk0tJA
Advanced Micro Devices reported strong data center revenue that grew 80% in the first quarter ended March 31, but gaming revenue fell 48%. https://t.co/DMZfe64ThX
AMD projects around 6% revenue growth in current quarter. Stock off about 4% at the moment
AMD to report Q1 earnings Tuesday, as Wall Street looks for jump in AI and PC sales https://t.co/TBscbdfihs by @DanielHowley
Cantor Fitzgerald previews $AMD earnings “With AMD’s projected first year of MI300 revenue of ~$3.5B in CY24, this would suggest a market share of just 3% of the overall AI accelerator market. We expect the company to continue gaining market share off a small base” https://t.co/Ew1lSb9txQ