AMD stock surges over 7% as AI chip boom drives 97% growth in data center sales

AMD shares climbed more than 6% after hours on Tuesday after the chipmaker reported 97% growth in third-quarter data center revenue and issued a stronger-than-expected forecast. Total revenue rose 45% to $13.38 billion, beating the $13.09 billion analysts polled by LSEG expected, while earnings per share reached $2.09 versus a $1.95 estimate. Data centers supplied 64% of AMD’s sales, up from 47% a year earlier; the chipmaker is best known for PC processors. For the fourth quarter, AMD projected about $17 billion in revenue, above the $16.2 billion analysts anticipated.