Investors in Advanced Micro Devices (AMD) will pay close attention to the company’s future revenue guidance when it reports its first-quarter earnings on Tuesday after the market closes
. Analysts expect AMD to report $7.1 billion in revenue and adjusted earnings per share of 94 cents for the March quarter. For the next quarter, analysts project revenue of $7.2 billion and earnings per share of 88 cents, according to FactSet.
Recently, Bernstein analyst Stacy Rasgon maintained a Market Perform rating on AMD and cautioned that the company’s outlook might not please shareholders. He mentioned that the AI growth story for AMD, which was already uncertain, could face even more challenges due to new sanctions on China.
In April, AMD announced it would incur up to $800 million in charges related to inventory and purchase commitments due to stricter export controls for China. Intel, AMD’s main competitor, also provided a weaker-than-expected outlook for the June quarter, citing concerns about tariffs.
AMD’s shares have fallen 17% this year, while the iShares Semiconductor ETF has dropped 12%.