BUZZ-AMD stock tumbles as weak Q1 forecast raises concerns on AI momentum

Reuters17:43
BUZZ-<a href="https://laohu8.com/S/AMD">AMD</a> stock tumbles as weak Q1 forecast raises concerns on AI momentum

** Shares of Advanced Micro Devices AMD.O fall 7.2% in premarket trading

** Chipmaker, late on Tuesday, forecast a sequential drop in quarterly revenue, denting confidence in its AI growth trajectory compared with rival Nvidia

** Co expects first-quarter revenue at about $9.8 billion (+/– $300 million), slightly above consensus but down from $10.27 billion in Q4, signaling slower near-term momentum

** In Q4, AMD saw a boost from sales of China-bound AI chips after the U.S. approved a license to ship these orders

** Analysts at RBC Capital Markets said AMD's outlook was largely as expected but partly helped by China AI revenue

** AMD faces limited near-term catalysts until OpenAI volumes ramp in late 2026 - RBC analysts

** CEO Lisa Su said demand for next-generation AI servers is set to accelerate in the second half, adding memory shortages would not constrain production

** YTD, AMD is up 13%

(Reporting by Rashika Singh in Bengaluru)

((Rashika.Singh@thomsonreuters.com;))

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