AMD shares stall despite earnings beat as chip rivals slide

AMD shares were essentially unchanged at $483.34 in morning trading after the chipmaker reported record quarterly results, while rivals fell despite a broader market rebound. Intel dropped 5%, NVIDIA declined 2%, and Broadcom slipped 1%.

AMD reported Q3 2026 revenue of $13.38 billion, exceeding Bloomberg’s consensus estimate of $13.08 billion. Adjusted earnings per share reached $2.09, ahead of the $1.97 estimate. Data Center revenue rose 97% year over year to $8.5 billion as demand strengthened for Instinct accelerators and EPYC processors. CEO Lisa Su expects revenue to grow more than 80% in 2027. Management projected Q4 2026 revenue of approximately $17 billion, plus or minus 3%.

Supply limitations and divergent analyst assessments tempered the response. BofA and Mizuho lowered their price targets, while Stifel and JPMorgan raised theirs. Su acknowledged that demand exceeds supply, although AMD has secured additional capacity to support growth. Rising memory costs and an expected sequential decline of greater than 20% in client and gaming revenue in Q4 remain risks.

Intel’s decline extended losses after its disappointing outlook. The company forecast Q4 revenue of $15 billion to $16 billion, below analysts’ $17.29 billion expectation. Management expects industry PC unit sales to decline 12% in 2026 and 10% in 2027 as memory shortages increase prices, overshadowing strong growth in its Data Center and AI business.