AMD Shares Rise 18% on Q1 Beat, Strong Guidance

Shares of Advanced Micro Devices Inc. surged more than 18 percent on Wednesday to trade near $421, propelled by first-quarter results that exceeded Wall Street expectations and upbeat guidance for the current period.

The semiconductor company reported revenue of $10.25 billion for the quarter ended March 31, topping analyst estimates of $9.9 billion. Earnings per share came in at $1.37, ahead of the $1.28 consensus. The data center segment led the performance, generating $5.78 billion in revenue, a 57 percent increase from the year-ago period, fueled by strong demand for server processors including EPYC CPUs and Instinct GPUs.

Advanced Micro Devices anticipates second-quarter revenue of $11.2 billion, surpassing the $10.5 billion forecast from analysts. Company executives projected double-digit sequential growth in data center revenue, with server CPU sales expected to rise more than 70 percent year over year. Chief Executive Officer Lisa Su attributed the results to accelerating demand for AI infrastructure, particularly in inferencing and agentic AI workloads. "We are seeing strong momentum as inferencing and agentic AI drive increasing demand for high-performance CPUs and...