Advanced Micro Devices (AMD) has announced its third quarter financial results. The company posted revenue of $6.8 billion, beating expectations of $6.71 billion. Meanwhile, adjusted earnings per share were $0.92, in line with expectations.
Matt Stuckey, chief portfolio manager for equities at Northwestern Mutual Wealth Management, joins “Seeking Trends” to dig into the earnings report and what’s next for the chipmaker.
“I think this was actually inline printing and kind of looked at a little bit of a softening to the guidance for the fourth quarter. You know, they had guidance for $7.5 billion worth of revenue, but that Composition is going to be really important,”’ Stuckey told Yahoo Finance, commenting on the chipmaker’s fourth-quarter guidance, which didn’t surprise Wall Street investors at all.
As AI competition intensifies, Stucky notes that AMD has made several acquisitions to “strengthen its software ecosystem around its AI accelerator business.” This will allow the chipmaker to compete with giants like Nvidia (NVDA).
“NVIDIA is expected to generate approximately $165 billion worth of data center revenue in calendar year 2025. And looking forward to next year, expectations for AMD are around $10 billion. So this is a huge It’s a big market, and there’s a huge opportunity.” If AMD executes, they can break through. ”
Nvidia is currently scheduled to report earnings on Wednesday, November 20th.
Watch the video above to see what Stucky has to say about AMD’s valuation.
For more expert insights and analysis on the latest market trends, visit See the Trends here.
This post was written by Melanie Leal
