AMD Tanks Despite AI Surge

Benzinga

AMD beat revenue expectations with $7.69B, but investors weren’t impressed. A minor earnings miss and $800M in inventory charges tied to export restrictions on its AI chips sent the stock sliding nearly 8%. Despite the hit, AMD is doubling down on AI, projecting up to $9B in Q3. Is this a dip worth buying — or a warning sign?

Transcript

00:00AMD beat revenue expectations, but its stock is tanking. Why? Despite pulling in $7.69 billion,

00:07blowing past Wall Street's estimates, AMD's stock is sliding nearly 8%. So what's going on

00:12behind the scenes? Earnings missed just by one cent, but the real kicker? $800 million in

00:17inventory charges tied to export controls on AMD's powerful Instinct MI308 AI chips. That hit their

00:24gross margin and spooked investors. Still, AMD is doubling down on AI and expects up to $9 billion

00:31in Q3 revenue thanks to its new MI350 accelerators. So AMD is investing hard in AI, but Wall Street is

00:39reacting to short-term bumps. Are you buying the dip or are you waiting it out?

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