AMD stocks have fallen over 20% in 24 hours

The largest single day fall in 12 years

AMD stocks have fallen over 20% in 24 hours after the release of the company’s Q1-2017 financial results. The AMD stock value has reached $10.30 plummeting by more than 20%. This is the largest single-day fall in 12-years for AMD. In their Q1 2017 financial results, AMD shows an increase in revenue by 18% and a lower operating loss than during previous quarters. However AMD has also revealed lower than expected margin for Q2.


As you might know, AMD is losing money every quarter and it's not a big surprise that the AMD's stock price decreased. Nevertheless in the case of their Q1 financial results, AMD has met the expectations, but still investors expected a better result. During the last year, AMD’s stock price increased by 330% and AMD might have been overvalued, which led to targets, that could have not been met.

Since the beginning of the second quarter AMD is selling their Ryzen 5 processors and Ryzen 7 is available since the first quarter. So far these chips are still benefitting from new BIOS updates which are still being released by motherboards vendors on a regular basis. The overall good performance is certainly one aspect that helped AMD drive more revenue in Q1 but apparently the margin is not high enough thus far.

Until the end of this year we can certainly expect a few more exciting products from AMD, which should help drive the stock price up again. At this point one can especially look forward to the launch of Vega and Naples.








Source: OC3D

News by Luca Rocchi and Marc Büchel - German Translation by Paul Görnhardt - Italian Translation by Francesco Daghini


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