AMD Shatters Q1 Earnings Expectations with a 38% Revenue Surge to $10.3 Billion
Advanced Micro Devices (AMD) has reported a remarkable first-quarter 2026 earnings that surpassed Wall Street projections. The revenue saw a 38% year-over-year increase, reaching $10.25 billion. The non-GAAP earnings per share stood at $1.37, outperforming the consensus estimate of $1.29.
The chipmaker’s Data Center segment emerged as the star performer, generating a revenue of $5.8 billion. This marked a 57% increase year-over-year, fueled by the robust demand for AMD EPYC processors and Instinct GPU shipments for AI workloads. CEO Lisa Su stressed that the data center unit has now become the “primary driver” of the company’s revenue and earnings growth.
Looking into the future, AMD has guided the second-quarter revenue to approximately $11.2 billion, significantly surpassing analyst expectations of $10.52 billion. The stock experienced a 16% jump following the announcement, with Su expressing “strong and increasing confidence” in achieving tens of billions of dollars in data center AI revenue. Morgan Stanley elevated its price target from $255 to $360, indicating confidence in AMD’s competitive position in the thriving AI chip market.
Source: CNBC