Why Advanced Micro Devices Surged 13.1% in July
Shares of Advanced Micro Devices (NASDAQ: AMD) rose 13.1% in July, according to data from S&P Global Market Intelligence. AMD, an ascendant force in both semiconductor CPUs and GPUs, had actually drifted lower for most of the month, as the technology sector experienced some headwinds ahead of earnings; however, the stock skyrocketed in July's final days following a strong July 27 earnings report, along with a raised guidance for the rest of the year.
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In the second quarter, AMD's sales surged 99%, with adjusted (non-GAAP) earnings per share of $0.63, up 250% -- both figures were well above analyst estimates. The company also raised guidance to 60% growth for 2021, up from initial guidance of 50%. Of particular note, the company's EESC (enterprise, embedded, and semi-custom) segment was up 183%, driven by the success of its EPYC data center chips.
Source Fool.com
