AMD Earnings Beat Estimates and Stock Falls 8%: Was the Bar Too High?

Advanced Micro Devices (AMD) reported earnings that beat Wall Street on revenue, profit, and operating margin. The stock then lost 8% in after-hours trading on Tuesday. The chipmaker posted record revenue of $11.54 billion and guided third-quarter sales to roughly $13 billion.

Investors sold anyway, with the stock already up 140% in 2026 before the release. AMD Stock Performance. Source: Yahoo Finance AMD Earnings Beat Every Consensus Estimate Revenue reached $11.54 billion against a $11.31 billion consensus.

That marked a 50% increase from a year earlier. Adjusted earnings came in at $1.66 per share, ahead of the $1.62 estimate. Adjusted operating margin of 27% edged past the 26.9% forecast and more than doubled the 12% booked a year ago.

Data Center revenue carried the quarter at $6.7 billion, up 107% year over year. That single segment now supplies 58% of company sales, driven by EPYC server processors and Instinct artificial intelligence (AI) accelerators. Elsewhere the picture was mixed.