AMD shares jump ahead of key Q4 earnings report
AMD is set to report its fourth-quarter earnings after the market close on Tuesday, giving investors a clearer view of the health of the ongoing artificial intelligence boom.
AMD shares rose about 2% in premarket trading ahead of the earnings release, News.Az reports, citing foreign media.
Recent results from major tech peers have drawn mixed reactions: investors were cautious about higher spending and slower growth at Microsoft, while largely applauding strong performance at Meta, despite its sharp increase in AI-related investment.
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Even as concerns persist about a potential AI bubble and overspending, AMD and its main rival Nvidia have delivered strong gains over the past year. AMD shares are up about 114% over the last 12 months, while Nvidia has risen roughly 58%.
Like Intel, AMD is also grappling with a global memory shortage. The constraint could push PC makers to raise prices on laptops and desktops, potentially weighing on sales and affecting AMD’s consumer chip business.
According to Bloomberg analyst consensus estimates, AMD is expected to post fourth-quarter earnings per share of $1.32 on revenue of $9.6 billion. That would represent an increase from earnings of $1.09 per share and revenue of $7.7 billion reported in the same period a year earlier.
Wall Street is forecasting data center revenue of $4.97 billion, up 29% year on year from the $3.86 billion AMD generated in the fourth quarter of 2024. Revenue from the client business—which supplies chips for laptops and PCs—is expected to reach about $2.9 billion.
AMD’s gaming segment is projected to generate $855 million in revenue, marking a 52% increase from the $563 million reported in 2024.
The earnings report comes roughly a month after AMD unveiled a range of new products during a keynote by CEO Lisa Su at CES 2026 in Las Vegas.
Among the highlights was AMD’s upcoming Helios rack-scale server, which Su described as the world’s most advanced AI rack, positioning it as a direct challenge to Nvidia. Helios is designed to compete with Nvidia’s Vera Rubin-powered NVL72 rack-scale system. Both platforms feature 72 GPUs and can be linked with other racks to form massive AI computing systems.
AMD also shared new details about its forthcoming MI500 series GPUs, which the company says could deliver up to a 1,000-fold improvement in AI performance compared with its older MI300X chips. Su has said she believes the AI data center market could be worth around $1 trillion by 2030, underscoring the stakes in the race to attract customers away from Nvidia.
At the same time, AMD faces growing competition from some of its largest customers, including Google, Amazon and Microsoft, as they continue to develop and deploy their own custom chips in data centers.
At the Las Vegas event, AMD also introduced new AI-focused PC chips and outlined plans to expand into the humanoid robotics market.
By Nijat Babayev
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