AMD shares rally on earnings beat
Advanced Micro Devices Inc. shares rallied in the extended session Wednesday after the chipmaker’s quarterly results topped Wall Street estimates. AMD shares surged 6.5% after hours, after closing down 0.9% at $16.05 in the regular session. The company reported second-quarter net income of $116 million, or 11 cents a share, compared with a loss of $42 million, or 4 cents a share, in the year-ago period. Adjusted earnings were 14 cents a share. Revenue rose to $1.76 billion from $1.15 billion in the year-ago period. Analysts surveyed by FactSet had estimated earnings of 12 cents a share on revenue of $1.72 billion. “We had an outstanding second quarter with strong revenue growth, margin expansion and our highest quarterly net income in seven years,” said Lisa Su, AMD president and chief executive, in a statement. For the third quarter, AMD estimates revenue of $1.65 billion to $1.75 billion, while analysts expect revenue of $1.76 billion.