🚀 AMD $AMD SHOCKS THE MARKET! Revenue is up 45% and the 2027 outlook is incredible!

AMD released its third-quarter 2026 results and once again managed to beat analysts’ expectations. But the biggest surprise wasn’t the figures themselves—it was the company’s management outlook for the coming period.

📊 AMD’s key results (Q3 2026)

Revenue: USD 13.38 billion (expected approximately USD 13.1 billion) ✅

Adjusted earnings per share (EPS): USD 2.09 (expected approximately USD 1.95) ✅

Year-over-year revenue growth: +45%

Year-over-year adjusted EPS growth: +74%

Net income (GAAP): USD 2.43 billion (+95%)

Gross margin (GAAP): 54%

Operating margin (GAAP): 21%

AMD not only beat Wall Street expectations, but also significantly increased its profitability.

🔥 Data centers are becoming the main growth engine

The most impressive results came from the data center segment, which now accounts for approximately 64% of the company’s total revenue.

Here’s how the individual segments performed:

🟢 Data centers: USD 8.55 billion (+97% year over year)

🟢 Embedded: USD 1.1 billion (+29%)

🔴 Client & Gaming: USD 3.7 billion (-8%)

The near-doubling of data center revenue is primarily driven by growing demand for EPYC server processors and Instinct AI accelerators.

AMD is also gradually expanding beyond individual chips into complete AI server solutions, opening up further opportunities as it competes with Nvidia.

🚀 Next-quarter outlook beats expectations

AMD expects fourth-quarter revenue of approximately USD 17 billion, above analysts’ expectations.

That represents year-over-year growth of approximately 66% and quarter-over-quarter growth of 27%.

The company also expects an adjusted gross margin of around 55%.

🤯 2027 could be a game-changing year!

CEO Lisa Su said during the conference call that AMD expects total revenue to grow by more than 80% in 2027!

And note, we’re not talking only about the AI segment, but the entire company.

Management also expects data centers to account for more than 80% of AMD’s total revenue.

If these expectations are met, it would mean a remarkable acceleration across the entire business.

📉 Do great results automatically mean the stock will rise?

Definitely not. Although I view the results very positively, investors also need to keep an eye on the stock’s current valuation.

AMD also continues to face strong competition from Nvidia, constraints on supplies of advanced memory, and a weaker PC market.

In my view, however, the most important point is that growing demand for AI infrastructure is increasingly translating into actual revenue and profits for the company.

The question, then, is how much of this future growth is already priced into the stock.

🎥 I’ve prepared an in-depth analysis of AMD’s results, outlook, and valuation on my YouTube channel, Obyčejný investor.

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What do you think of AMD’s latest results? Do you think the company still has room to surprise?