AMD’s AI Momentum Could Fuel Further Gains—Earnings Are Key
AMD has already rallied nearly _90% year-to-date_, driven by blockbuster AI deals with OpenAI and Oracle⁽¹⁾. With Q3 earnings expected to show 27% YoY growth in both revenue and EPS —$8.72B and $1.17 per share respectively⁽²⁾⁽³⁾—Wall Street is watching closely.
The company’s Instinct MI350 accelerators and EPYC server chips are gaining traction in data centers, while seasonal strength in November historically boosts AMD shares by an average _16.8%_ ⁽⁴⁾. If results beat expectations and guidance remains strong, the rally could continue.
However, AMD’s valuation is rich, and competition from NVIDIA looms large. Investors should look for signs of sustained AI adoption and margin expansion. A solid earnings beat could validate the hype—but anything less might stall momentum.
Bottom line: AMD doesn’t just need good numbers—it needs a compelling growth story to keep the rally alive.
Not financial advice. Do your own research.
Sources: ⁽⁴⁾⁽²⁾⁽¹⁾⁽³⁾
[1] AMD Stock: OpenAI and Oracle Deals Drive 90% Rally as Analysts Eye $300 (https://blockonomi.com/amd-stock-openai-and-oracle-deals-drive-90-rally-as-analysts-eye-300/)
[2] AMD Earnings On Watch -- Major Q3 Reveal Coming Next Week (https://finance.yahoo.com/news/amd-earnings-watch-major-q3-121950182.html)
[3] Unveiling Advanced Micro (AMD) Q3 Outlook: Wall Street Estimates for... (https://www.zacks.com/stock/news/2781270/unveiling-advanced-micro-amd-q3-outlook-wall-street-estimates-for-key-metrics)
[4] AMD's November Magic Returns—Earnings Could Be The Spark Again (https://www.benzinga.com/markets/earnings/25/11/48604497/amd-earnings-preview-seasonality-november-price-target-stock-outlook)
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