Last quarter, the Embedded and Semi-Custom segment revenue grew 37% helped by higher sales of semi-custom and server products. The company’s 7nm (nanometers) processors will be capable of providing better power efficiency and the addition of new features like Secure Encrypted Virtualization (SEV) will give AMD’s products a significant competitive advantage.
AMD defies crypto blues; stock jumps as Q2 results beat street view
The semiconductor industry is expected to see benefits from the increasing prominence of artificial intelligence and this is likely to bode well for AMD as well. AMD and its new range of products are capable of giving tough competition to Intel (INTC).
Related: AMD Q2 2018 Earnings Transcript
AMD’s shares have soared 143% so far this year and looking at the past three months, the stock is up 52%. If the company meets expectations for the third quarter, the stock is likely to get a lift but if it misses, the stock is likely to see a drop. The overall sentiment around the stock is positive.
AMD’s competitors Intel and NVIDIA (NVDA) are expected to report their third quarter results on October 25 and November 15 respectively.