AMD(US:AMD) Zhi Tong Cai Jing·2025-08-04 03:00Core Viewpoint - AMD is expected to report strong revenue growth driven by data center sales, but adjusted net profit is projected to decline significantly due to export restrictions to China and other factors [1] Group 1: Financial Performance - AMD's Q2 revenue is forecasted to reach $7.43 billion, a 27% year-over-year increase, while adjusted net profit may drop from $1.26 billion ($0.69 per share) to $796.6 million ($0.48 per share) [1] - The stock price has risen over 40% this year, closing around $172, with analysts maintaining a cautiously optimistic outlook [1] Group 2: Market Dynamics - AMD plans to increase the price of its Instinct MI350 AI accelerator from $15,000 to $25,000, indicating strong demand for AI products and a potential shift in pricing strategy [2] - AMD's market share in the server CPU segment has reached one-third, with projections suggesting it could exceed 40% by 2026 [2][3] Group 3: Competitive Landscape - AMD faces strong competition from Arm architecture, which has gained a 11.9% share in the x86 market, but AMD's client CPU demand is increasing [3] - If Intel's market share continues to decline, AMD could capture over 30% of the CPU market by 2026, up from less than 20% in 2023 [3] Group 4: Export License and AI Strategy - The U.S. export ban on MI308 chips led to an $800 million impairment for AMD, but the recent suspension of the ban has positively impacted the stock price [4][6] - AMD's AI strategy is bolstered by partnerships with major companies, including a significant contract with Oracle for deploying MI355X GPU clusters [6]