The chip maker more commonly known as AMD has been the second-hottest semiconductor stock this year next to Nvidia. That will put AMD up against Nvidia, the AI chip powerhouse whose stock has outperformed AMD’s this year. The company said three months ago that it expects its data-center revenue in the second half of this year to jump 50% from the first half. Analysts are currently projecting $2.26 billion in data-center revenue for AMD in the fourth quarter, 37% more than that segment has ever shown since AMD began breaking out those results in 2021. And AMD Chief Executive Officer Lisa Su helped sentiment by noting in Tuesday’s call that the new data-center chips will be “accretive to our corporate gross margins."

Source: Wall Street Journal August 02, 2023 23:32 UTC