Copyright Benzinga
Advanced Micro Devices Inc (NASDAQ:AMD) shares are getting a lift in after-hours Tuesday following the company’s analyst day. The chipmaker provided new long-term growth targets at the event. AMD is trading at elevated levels. View the charts here. What To Know: AMD held its first financial analyst day in three years on Tuesday, highlighting a broad portfolio of hardware, software and solutions to power high-performance and AI compute. AMD shares are popping in extended trading after the company said it expects a greater than 35% revenue compound annual growth rate over the next three to five years. The chipmaker also guided for non-GAAP operating margins above 35%, as well as adjusted earnings per share of more than $20 on an annual basis. AMD said the growth will be led by its AI data center business, which is expected to grow at a compound annual rate of more than 80%. The company also noted that it expects to achieve more than 50% server CPU revenue market share over the next three to five years, with gross margins ranging from 55% to 58%, per Benzinga Pro. “AMD is entering a new era of growth fueled by our leadership technology roadmaps and accelerating AI momentum,” said Lisa Su, chair and CEO of AMD. “With the broadest portfolio of products and our deepening strategic partnerships, AMD is uniquely positioned to lead the next generation of high-performance and AI computing. We see a tremendous opportunity ahead to deliver sustainable, industry-leading growth. We have never been better positioned.” AMD said its Instinct MI350 series GPUs are ramping faster than any product in the company’s history. The company’s MI450 Series GPUs are expected in the third quarter of 2026, with a planned MI500 series anticipated to launch in 2027. AMD Price Action: AMD shares closed Tuesday down 2.65% at $237.52. The stock was up 3.54% in after-hours at the time of publication, according to Benzinga Pro. Read Next: Nvidia Now Larger Than 6 Out Of 11 US Sectors—Tom Lee Says It’s ‘Cheaper Than Costco:’ AI Stocks Still In ‘Really Good Shape’ Photo: Shutterstock
