Advanced Micro Devices shares dropped roughly 6% following the release of second-quarter 2026 results. Shares dropped close to 8% in Wednesday's session following the results on Tuesday and were up 1.5% at the end of the session on Thursday. Despite revenues rising 50.1% year over year and earnings surging 246% year over year, investors focused on near-term risks including a weak Client and Gaming business and a late fourth-quarter and 2027 revenue ramp from AMD's biggest AI catalysts, Helios rack-scale systems and MI450 deployments. Stiff competition from NVIDIA, Broadcom and Intel, along with a lofty valuation, also spooked investors.
