AMD Gives Bullish Forecast, Raises 2021 Revenue Outlook
- Chipmaker said it expects server processor sales to grow
- While overall chip supply is tight, AMD to get more output
Advanced Micro Devices Inc. gave a strong second-quarter sales forecast indicating the chipmaker is taking market share from Intel Corp. amid robust demand for personal computers and servers.
Second-quarter revenue will be about $3.6 billion, plus or minus $100 million, in the period ending in June, Santa Clara, California-based AMD said Tuesday in a statement. That compares with an average analyst estimate of $3.28 billion.
Investors have poured money into the stock, betting that new products, including its Epyc server chips, and stumbles by Intel present an opportunity for AMD. Intel reported data-center revenue that dropped 20% in the first quarter, leading many analysts to project that it was losing sales to its smaller rival in the most profitable part of the market for computer processors. AMD said its server business surged in the quarter.