AMD Shares Jump About 7% as Data Center Sales Nearly Double and Q4 Forecast Tops Estimates

AMD’s offices in Santa Clara, California (file photo). Photo: Coolcaesar / Wikimedia Commons (CC BY-SA 4.0).

Advanced Micro Devices shares rose about 7% in premarket trading Wednesday after the chipmaker reported record third-quarter revenue of $13.4 billion, up 45% from a year earlier, and forecast fourth-quarter sales above Wall Street’s models, Tradingpedia reported. Data center revenue, driven by AI chips, nearly doubled.

The quarter

For the quarter that ended Sept. 26, AMD reported, according to its earnings release:

• Data center: $8.5 billion, up 97% from a year earlier
• Client and gaming: $3.7 billion, down 8%; client chips rose 7% to $2.9 billion while gaming fell 40% to $773 million
• Embedded: $1.1 billion, up 29%
• Gross margin: 54% on a GAAP basis, 56% adjusted
• Earnings per share: $1.46 GAAP and $2.09 adjusted, with adjusted EPS up 74%

Chief Executive Lisa Su said AMD “delivered a record quarter with revenue exceeding the high end of our guidance.”

The forecast

AMD expects fourth-quarter revenue of about $17 billion, plus or minus 3%, which it said would mean roughly 66% growth from a year earlier at the midpoint, with an adjusted gross margin of about 55%. That forecast was about $700 million to $800 million above analysts’ models, Tradingpedia reported.

The market backdrop

AMD’s gain came as other chip stocks were mixed before the open: Nvidia and Micron fell more than 1%, Yahoo Finance reported. Investors were also digesting Democrats’ win of both chambers of Congress, which our markets report covered overnight, and earnings due this week from Arm, Qualcomm, McDonald’s, Novo Nordisk and Uber.

See how bonds and the dollar reacted in our bond and currency report.

This article is for information only and is not investment advice.

Sources

• AMD: Third quarter 2026 financial results
• Tradingpedia: AMD soars after blowout Q3 results
• Yahoo Finance: Stock market today, Nov. 4