BUZZ-US chip stocks fall after AMD's downbeat Q4 revenue forecast
U.S. chip stocks declined in premarket trading following Advanced Micro Devices' (AMD) disappointing Q4 revenue forecast, which fell short of investor expectations amid the AI boom. AMD's shares dropped 8.5%, impacting the sector, with Nvidia down 0.8%, Micron down 1.2%, and Broadcom slipping 0.5%. Other notable declines included Intel (1.2%), Qualcomm (2.6%), and Arm Holdings (2.8%). The iShares semiconductor ETF fell 1.9%.
U.S.-listed chip stocks fall premarket after Advanced Micro Devices (AMD.O) revenue forecast failed to impress investors looking for a bigger windfall from the AI boom
AMD on Tuesday forecast Q4 rev. just shy of estimates and raised its AI chip sales forecast to $5 bln for 2025 - not enough to impress Wall Street
Demand for AI chips from big tech companies has been rising much faster than their production
AMD CEO Lisa Su said that supplies of AI chips would be tight going into next year
AMD’s results weighed on the chip sector
AMD down 8.5%, while AI darling Nvidia (NVDA.O) falls 0.8%
Micron (MU.O) down 1.2%, Broadcom (AVGO.O) slips 0.5%, and Intel (INTC.O) falls 1.2%
Qualcomm (QCOM.O) down 2.6%, Super Micro Computer (SMCI.O) slips 0.9%
U.S.-listed shares of British chip designer Arm Holdings (ARM.O) down 2.8%, while Marvell Technology (MRVL.O) falls 1.3%
iShares semiconductor ETF (SOXX.O) down 1.9%, and VanEck Semiconductor ETF (SMH.O) slips 1.5%