From Nasdaq: 2025-05-07 08:57:00

Advanced Micro Devices (NASDAQ: AMD) exceeded Q1 2025 expectations with revenue reaching $7.44 billion, up 36% from the previous year. Earnings per share also rose by 55% to $0.96. Data center revenue soared by 57%, driven by demand for EPYC server CPUs and Instinct AI accelerators.

AMD’s first-quarter success was propelled by strong data center sales and growth in the PC segment, with revenue hitting a record $7.4 billion. Data center revenue surged by 57% to $3.7 billion due to high demand for server CPUs and AI accelerators. The company did not provide specific guidance for AI accelerator sales in 2025.

Shares of AMD rose by 5% in early after-hours trading following the strong first-quarter report. The company’s outlook for Q2 predicts revenue between $7.1 billion and $7.7 billion, with an adjusted gross margin of 43% due to a charge related to AI chip exports. The market will closely monitor the earnings call for any potential impact of macroeconomic conditions on AMD.

Investors are advised to consider the latest stock recommendations by The Motley Fool analyst team before investing in Advanced Micro Devices. While AMD saw success in Q1, potential challenges from U.S. tariff policies and economic conditions could affect future performance. Stay informed about the evolving market conditions to make well-informed investment decisions.



Read more at Nasdaq: AMD Earnings: Data Center Shines Again