AMD Stock Price (NASDAQ:AMD)
After the chipmaker AMD (NASDAQ:AMD) released preliminary results for the third quarter that missed projections by a substantial margin on Friday, the rest of the semiconductor market followed AMD Stock Price fall lead and fell.
AMD Stock Price dropped immediately out of the gate and showed no signs of stopping, losing almost 10% and falling to a 52-week low of $60.56. Other semiconductor stocks followed suit, with Nvidia (NVDA) dropping over 7% and Intel (INTC) down about 5%.
Other chip manufacturers’ Shares of ON Semiconductor dropped over 8%. In comparison, those of Qualcomm dropped 2.6%, Texas Instruments (TXN) dropped 3.6%, and Analog Devices down nearly 3%. Micron Technology dropped almost 2%.
Another industry affected is foundry production, with Taiwan Semiconductor reporting a drop in sales from August to September. Taiwan Semiconductor and GlobalFoundries (GFS) plummeted by more than 5%, with TSM down by 5%.
AMD (NASDAQ:AMD) forecasted $5.6 billion in revenue for the third quarter on Thursday, below analysts’ expectations of $6.71 billion. The company’s adjusted gross margins were at 50%, which was lower than the 54% it had previously forecasted.
The business said that the shortage was attributed to a less robust PC market and ongoing inventory adjustments.
CEO Lisa Su of AMD (NASDAQ:AMD) said that the firm’s data center, embedded, and gaming areas were robust. AMD’s (NASDAQ:AMD) business strategy and bank sheet will help the company weather the economic slump.
Revenue from clients was down 53% sequentially and 40% year over year, totaling $1B, while revenue from data centers was up 8% sequentially and 45% year over year, totaling $1.6B.
Sales from its gaming division were unchanged sequentially and up 14% year over year to $1.6B, while revenue from its embedded division rose 4% to $1.3B, partly due to its Xilinx purchase completed earlier this year.
The business also said that it expects to incur expenses of $160 million due to factors including inventories and pricing.
AMD (NASDAQ:AMD), headquartered in Santa Clara, California, reported $1.5 billion in operational expenditures, down from the previous projection of $1.6 billion.
Weakness in the personal computer industry and new worries about the data center sector led Wells Fargo to lower its AMD Stock Price forecast on Wednesday.
Featured Image- Megapixl @ Andreistanescu
Author Shariq Khan 
