AMD Falls 5%, Intel Drops 4%, NVIDIA Slides 3% Before Recovering as Rotation Hits Semiconductor Stocks Quick Read – AMD stock fell 5% and Intel stock dropped 4% Friday before recovering somewhat in a positioning-driven unwind as investors questioned the returns on heavy AI…
frastructure spending. – Global semiconductor stocks shed $3.3 trillion since June, with Taiwan Semiconductor’s higher-than-expected capex guidance stoking fears of margin compression across the supply chain. – AMD’s P/E of 163x leaves little cushion if AI capex expectations slip, making the stock’s triple-digit year-to-date run a prime target in any risk-off tape. – Don’t wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now
Shares of Advanced Micro Devices (NASDAQ:AMD) were down 5% Friday morning to $477.81, leading a selloff across semiconductor stocks. Intel (NASDAQ:INTC) stock was off 4% to $93.24, while NVIDIA (NASDAQ:NVDA) stock was down 3% to $201.60. Broadcom (NASDAQ:AVGO) stock slipped 2% to $366.51.
The iShares Semiconductor ETF (NASDAQ:SOXX), the sector’s most-watched basket, had slid 3% to $515.76 in early trading. The ETF move caps a rough stretch for the AI-hardware complex, with the most-extended names taking the deepest hits so far this session. These stocks and the SOXX ETF recovered some of their losses within the first hour of trading, but traders still felt the effects of a rotation out of semiconductor stocks.