New York, Feb 5, 2026, 09:41 ET — Regular session
- After tumbling 17.3% the day before, AMD shares clawed back roughly 1.3% in early Thursday trading.
- Investors are weighing a Q1 revenue forecast that factors in a reduced share of MI308 shipments headed to China.
- Big-tech earnings drop Thursday, with investors keen to gauge the pace of AI spending growth.
Advanced Micro Devices Inc shares climbed roughly 1.3% to $202.82 by 9:40 a.m. ET on Thursday, clawing back some ground after a steep 17.3% fall on Wednesday. So far today, the stock has fluctuated between $196.70 and $203.40.
The shift is significant as the market grows uneasy over the actual cost of the AI boom, beyond its potential. Alphabet’s recent spending announcements have intensified the debate about whether increased capital investments will translate into lasting profits for chipmakers and their clients.
AMD reported fourth-quarter revenue of $10.3 billion on Tuesday, with adjusted earnings of $1.53 per share—both beating expectations. The company’s outlook for first-quarter revenue is around $9.8 billion, plus or minus $300 million, factoring in about $100 million from MI308 sales in China, which suggests a slight decline from the previous quarter. AMD also forecast an adjusted gross margin near 55%, reflecting profitability after production costs.
China played a big role in AMD’s fourth-quarter results. Reuters reported the company booked $390 million in AI-chip sales to the Chinese market, boosting data-center revenue 39% to $5.38 billion. Strip out those China shipments, and the figure drops to $4.99 billion—below the $5.07 billion forecast. Bob O’Donnell, president of TECHnalysis Research, noted the market now expects “large blowout quarters” from AI hardware players. Reuters
Bernstein analyst Stacy Rasgon said AMD’s results barely exceeded “inline” once the China lift was removed, adding that near-term AI figures “are not really inflecting.” CEO Lisa Su told investors shipments of next-gen AI servers are expected to pick up in the second half, and she assured memory supply won’t limit production. Super Micro Computer surged about 11% after boosting its full-year revenue forecast, highlighting how the market is nitpicking across the AI supply chain. Reuters
Separately, AMD submitted an amended annual report after discovering an error in a client revenue disclosure, according to a filing. The company acknowledged it had mistakenly swapped year-over-year changes in average selling price and unit shipments in its management discussion, but confirmed no other parts of the original report were altered.
Thursday’s bounce aside, bulls face a clear challenge: investors need to see AI accelerator sales grow steadily, not just spike on one-off boosts or unstable licensing deals. Any stumble in demand during the second half, or a change in export rules, would keep the shares under pressure.
Attention shifts to the upcoming “AI spend” cues, with Amazon set to report once the market closes. Investors are still unpacking Alphabet’s ramped-up investment outlook. AMD faces a key moment: can it maintain early-session gains while the market balances second-half server demand against short-term margin pressures and China-related risks? Reuters
