Semiconductors trended upward today after $AMD reported favorable earnings. AMD followed in the path of NXP Semiconductors and ON Semiconductor, which both reported yesterday.
Today’s upward movement is one in contrast to the market’s reaction after TSMC’s earnings in April. The world’s largest and mightiest semiconductor company shared a mixed outlook and sent the broader semi market tumbling. $TSM, an industry leader, seems to be the outlier given the broader industry’s recent reports.
AMD posted sky-high sales in Q1. 🚀 The semiconductor company reported adjusted EPS of $1.13/share (vs. $0.91/share expected), a gain of 117% YoY. Revenue also posted beefy gains, up 71% YoY at $5.89 billion (vs. $5.52 billion expected.)
Those figures are pretty unprecedented outside of the growth SaaS business. It’s actually pretty impressive for a $138 billion company to post those kinds of growth. $AMD skyrocketed 6.8% after hours. The stock helped pull the broader semi market along with it.
$NVDA booked a 2.5% gain after hours and even the VanEck Semiconductor ETF ($SMH) floated into positive territory today, up about 1% after hours. We’re chaotic people here, so we’ve decided to put all of the companies (and the broader sector ETF) into one chart sandwich. 🤪 This 5-min chart captures moves since the start of the week.
Let’s see if you can follow this mess (tip: up and to the right since the open on Monday.)
We just wanted to add: we’ve received a lot of mail relating to our semi coverage by guys who insisted we should talk about “shorting semis.” Respectfully, we hope our reply guys didn’t do that. Right now, it feels like betting against the semi business is like leaving a party at 10… 👎