Investors await AMD’s results amid a 20% decline in chip stocks since mid-June following a year-long rally.
AMD will release its second-quarter earnings after markets close Tuesday, as the semiconductor sector faces a sharp correction. The Philadelphia Semiconductor Index has dropped 20% since mid-June, erasing some of its 100% gain over the past year, according to market data.
AMD shares have surged 194% in the last 12 months, driven by demand for AI-related CPUs and GPUs. The company recently launched its Helios rackscale platform, targeting Nvidia’s dominance in AI data centers with a system offering 15% better compute performance than Nvidia’s Vera Rubin.
The broader chip sector’s pullback contrasts with AMD’s aggressive expansion in AI infrastructure, though rival Intel has outperformed with a 340% gain over the same period.