AMD and Palantir Shares Fall Despite Record Quarterly Results
Advanced Micro Devices and Palantir saw stock prices decline despite reporting record revenue growth driven by massive AI demand.
Shares of Advanced Micro Devices and Palantir declined recently despite both companies reporting record quarterly results. AMD shares fell 30.47% over the past month to $449.04, while Palantir dropped 17.38% to $160.38. Market analysts attribute the selloff to investor concerns over high valuations, debt financing, and the scale of AI spending commitments, potentially compounded by institutional deleveraging and options hedging.
Palantir reported a 95.9% increase in third-quarter revenue to $2.313 billion, with its U.S. commercial revenue growing 148%. AMD reported a 97% increase in Data Center revenue, totaling $8.546 billion.
AMD CEO Lisa Su noted that the company is building inventory to fulfill orders for major clients including Meta, Microsoft, OpenAI, Oracle, and Anthropic. Su stated that the company currently has more demand than supply.
