AMD inventory rose Wednesday after the chipmaker reported stronger-than-expected information heart chip gross sales within the fourth quarter. However Superior Micro Gadgets (AMD) tempered that information with mushy steerage for the present interval.
X
The Santa Clara, Calif.-based firm late Tuesday stated it earned an adjusted 69 cents a share on gross sales of $5.6 billion within the December quarter. Analysts polled by FactSet had anticipated AMD earnings of 67 cents a share on gross sales of $5.51 billion.
On a year-over-year foundation, AMD earnings fell 25% whereas gross sales rose 16%. The acquisition of Xilinx boosted income and helped offset declining PC and gaming chip gross sales.
Within the fourth quarter, AMD’s PC chip gross sales dropped 51% yr over yr to $903 million amid weak private laptop demand. Gaming section income slid 7% to $1.6 billion.
In the meantime, information heart chip gross sales elevated 42% to $1.7 billion, pushed by Epyc server processors.
AMD Inventory Rises After Report
For the present quarter, AMD predicted gross sales of $5.3 billion, down 10% yr over yr. Analysts had been in search of $5.5 billion within the first quarter.
In morning trades on the inventory market immediately, AMD inventory superior 3.7% to 77.94. Throughout the common session Tuesday, AMD inventory climbed 3.7% to shut at 75.15.
“Though the demand setting is combined, we’re assured in our capability to achieve market share in 2023 and ship long-term progress primarily based on our differentiated product portfolio,” Chief Government Lisa Su stated in a information launch.
AMD inventory ranks No. 12 out of 34 shares in IBD’s fabless semiconductor business group, in keeping with IBD Inventory Checkup. It has a so-so IBD Composite Ranking of 72 out of 99. The Composite Ranking scores a inventory’s key progress metrics in opposition to all different shares no matter business group.
Observe Patrick Seitz on Twitter at @IBD_PSeitz for extra tales on shopper know-how, software program and semiconductor shares.
YOU MAY ALSO LIKE:
Chipmaker Allegro MicroSystems Posts Beat-And-Elevate Quarterly Report
NXP Semiconductors Tops Views On Automotive Chip Gross sales Progress
Intel Inventory Tanks As Chipmaker Misses This fall Targets, Forecasts Loss
See Shares On The Record Of Leaders Close to A Purchase Level
MarketSmith: Analysis, Charts, Information And Teaching All In One Place