AI chip darling AMD struggles to impress Wall Street this earnings season

AMD's recent quarterly results showed revenue projections aligned with Wall Street expectations but failed to impress investors, leading to a nearly 9% drop in stock price. The company's outlook for AI growth and MI300 chips revenue for 2024 was seen as underwhelming compared to more optimistic expectations and Nvidia's strong performance. This sentiment reflected a broader trend of cooling investor enthusiasm in the semiconductor sector, contributing to a downturn in the Philadelphia Semiconductor index.