Advanced Micro Devices Inc. (NASDAQ:AMD) reported better-than-expected financial results for the third quarter after the market close on Tuesday.
AMD reported third-quarter revenue of $13.38 billion, beating analyst estimates of $13.09 billion. The chipmaker reported adjusted earnings of $2.09 per share for the quarter, beating estimates of $1.95 per share, according to Benzinga Pro.
“We delivered a record quarter with revenue exceeding the high end of our guidance as Data Center segment sales nearly doubled year-over-year,” said Dr. Lisa Su, AMD chair and CEO. “Demand for our Instinct and EPYC products continued to strengthen, and we expect growth to accelerate further in the fourth quarter as we scale Helios and ‘Venice’ production.”
AMD expects fourth-quarter revenue of approximately $17 billion, plus or minus 3%, versus estimates of $16.23 billion. Fourth-quarter adjusted gross margin is expected to be approximately 55%, versus 56% in the third quarter.
AMD shares rose 0.5% to $486.41 in pre-market trading.
These analysts made changes to their price targets on AMD following earnings announcement.
- B of A Securities analyst Vivek Arya maintained the stock with a Buy and lowered the price target from $720 to $650.
- Stifel analyst Ruben Roy maintained the stock with a Buy and raised the price target from $700 to $725.
- Mizuho analyst Vijay Rakesh maintained the stock with an Outperform rating and lowered the price target from $705 to $610.
Considering buying AMD stock? Here’s what analysts think:
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