AMD stock drops 8% premarket despite revenue climbing 50%

AMD shares tumbled 8.2% in premarket trading on August 5, 2026, even though the chipmaker reported second-quarter revenue that exceeded analyst estimates.

Revenue climbed 50% to $11.54 billion, ahead of the consensus estimate of $11.28 billion. Data center sales surged 107% from a year earlier to $6.7 billion, driven by central processing unit and graphics processing unit sales.

Deutsche Bank analysts wrote in a note on August 5 that earnings came in “slightly ahead” of consensus but fell short of “more optimistic estimates.” The stock had rallied 132% so far this year, lifted by confidence in AMD’s GPU and CPU products.

Chief Executive Lisa Su said in a statement on August 4, 2026, that artificial intelligence is driving a significant expansion in demand for compute across all markets. She added that the company’s leadership portfolio and growing customer visibility position it well for substantial revenue and earnings growth.

In July 2026, AMD raised its forecast for the semiconductor industry, projecting it could reach $2 trillion annually by 2028, with $1.4 trillion from artificial intelligence accelerators, up from a previous estimate of $500 billion.