Why AMD Stock Surged Last Week
Shares of Advanced Micro Devices (NASDAQ: AMD) climbed 14% this past week, according to data from S&P Global Market Intelligence. Encouraging signs that the semiconductor industry's slump could be nearing its end and more evidence of AMD's market share gains drove investors to bid up the price of the popular tech stock.
AMD's shareholders breathed sighs of relief when the chipmaker released its fourth-quarter earnings report after the market close on Tuesday. Going into the week, investors were fearful that AMD's results could mimic those of Intel (NASDAQ: INTC). The chip giant reported dismal declines in sales and profits late last month. Intel also warned of more hard times ahead for semiconductor producers.
AMD, however, fared much better than its archnemesis. AMD's revenue jumped 16% year over year to $5.6 billion, bolstered by strong growth in its data center business. AMD's acquisition of adaptive computing leader Xilinx also contributed to its growth.
Source Fool.com
