AMD’s Q4 Earnings Spark Market Volatility Amid AI Growth Ambitions
Advanced Micro Devices (AMD) delivered a mixed fourth-quarter performance, beating earnings estimates but disappointing on forward guidance. The chipmaker reported $1.53 EPS on $10.3 billion revenue, surpassing Bloomberg's consensus of $1.32 EPS and $9.6 billion revenue. Despite year-over-year growth from $7.7 billion in Q4 2022, shares plummeted 17% as Q1 revenue projections of $9.5-$10.1 billion fell short of some bullish $10+ billion expectations.
CEO Lisa Su highlighted accelerating AI momentum, citing the MI400 series launch and Helios platform as inflection points. "We're positioned to grow data center revenue by over 60% annually through 2027," Su stated, projecting tens of billions in AI revenue. This technological Optimism contrasts with immediate market reaction, revealing investor impatience with long-term AI roadmaps versus quarterly benchmarks.