's (NASDAQ: AMD) stock rose 3% during after-hours trading on Aug. 1 after the chipmaker posted its second-quarter results. Its revenue fell 18% year over year to $5.36 billion, which exceeded analysts' estimates by $40 million, while its adjusted earnings per share (EPS) declined 45% to $0.58 and cleared the consensus forecast by a penny.
Those headline numbers might seem dismal, but Wall Street had already set a low bar for AMD and its peers to account for the cyclical slowdown of the semiconductor market. Therefore, the market was looking for signs of a cyclical bottom at AMD instead of year-over-year growth. Let's see if enough of those green shoots appeared in the second quarter -- and if they indicate it's the right time to buy AMD's stock.
Image source: AMD.
Source Fool.com