AMD shares lower despite Q3 beat

Core Insights - AMD reported earnings that exceeded Wall Street estimates, driven by stronger-than-expected data center revenue, indicating positive momentum in this segment [1][2] - The company has guided for Q4 revenue above street estimates, suggesting that its investments in AI are beginning to yield results [2] - Despite the positive earnings report, AMD's stock experienced a decline after hours, potentially due to gross margins being in line but not exceeding expectations [3] Company Developments - Amazon has liquidated its entire stake in AMD, valued at approximately $117 million, which contributed to a sell-off in AMD shares following the 13F filing [3][5] - The reason for Amazon's initial stake in AMD was linked to its investment in ZT Systems, a server manufacturer that AMD acquired, leading to the conversion of that stake into AMD shares [4][5] - The liquidation of AMD shares by Amazon should not be interpreted as a strategic exit from AMD, but rather a consequence of the previous investment structure [5]