- Ziggma
- Posts
- 🗞️ AMD's AI Boom
🗞️ AMD's AI Boom
Big Moves Decoded: AXON, PINS, SMCI
In partnership with
Market Performance
S&P 500: 6,796.29 ⬆️ 0.37%
Nasdaq: 23,499.80 ⬆️ 0.65%
Dow Jones: 47,311.00 ⬆️ 0.48%
AMD Beats Q3 Estimates
Advanced Micro Devices (AMD) delivered impressive third-quarter results with revenue jumping 36% year-over-year to $9.25 billion, crushing analyst estimates.
But the chip stock still tumbled in early-market before recovering in the second half of the trading session.
Why? Because in the AI chip race, meeting margin expectations isn't enough when investors are hungry for blowout guidance.
AMD's CEO, Lisa Su, attempted to sweeten the deal, revealing that the OpenAI partnership could generate "well over $100 billion" in revenue over the next few years.
The company's also making progress on AI chip exports to China after securing licenses for its MI308 processors.
Additionally, Oracle's commitment to deploy 50,000 AMD AI chips starting next year signals a serious level of enterprise adoption.
AMD is executing brilliantly across its entire business – client revenue is up 46%, data center revenue is up 22%, and gaming revenue is surging 181%.
The company is taking share from Intel in servers and PCs while building a credible alternative to Nvidia in AI.
Yet investors remain skeptical, wanting proof that AMD can capture a meaningful share of the AI market before fully pricing in the potential.
AMD stock has a Ziggma score of 83 and ranks highly in terms of growth, profitability, and financial health.
However, the tech stock has more than doubled in 2025 and is expensive.
Our Takeaway
AMD is playing the long game in AI, and the fundamentals look solid. The market's lukewarm response reflects high expectations, not poor execution.
For patient investors, this might be the buying opportunity that panic sellers are creating.
The AI Race Just Went Nuclear — Own the Rails.
Meta, Google, and Microsoft just reported record profits — and record AI infrastructure spending:
Meta boosted its AI budget to as much as $72 billion this year.
Google raised its estimate to $93 billion for 2025.
Microsoft is following suit, investing heavily in AI data centers and decision layers.
While Wall Street reacts, the message is clear: AI infrastructure is the next trillion-dollar frontier.
RAD Intel already builds that infrastructure — the AI decision layer powering marketing performance for Fortune 1000 brands. Backed by Adobe, Fidelity Ventures, and insiders from Google, Meta, and Amazon, the company has raised $50M+, grown valuation 4,900%, and doubled sales contracts in 2025 with seven-figure contracts secured.
Shares remain $0.81 until Nov 20, then the price changes.
👉 Invest in RAD Intel before the next share-price move.
This is a paid advertisement for RAD Intel made pursuant to Regulation A+ offering and involves risk, including the possible loss of principal. The valuation is set by the Company and there is currently no public market for the Company's Common Stock. Nasdaq ticker “RADI” has been reserved by RAD Intel and any potential listing is subject to future regulatory approval and market conditions. Investor references reflect factual individual or institutional participation and do not imply endorsement or sponsorship by the referenced companies. Please read the offering circular and related risks at invest.radintel.ai.
Market Overview 📈
Wednesday's rally was driven by skepticism about the Supreme Court and a surge in AI stocks.
The big catalyst? The Supreme Court hearing on Trump's tariffs turned into a tough grilling session, with justices from both sides questioning whether the president actually had the authority to impose sweeping duties under the International Emergency Economic Powers Act.
Prediction markets immediately responded, slashing odds of the tariffs being upheld from nearly 50% to just 30%.
Tariff-sensitive stocks loved it. Ford and GM both jumped over 2%, while Caterpillar surged 4% as investors bet on potential rollbacks of duties that have been squeezing manufacturers.
The AI sector staged its own comeback after concerns about Tuesday's valuation. AMD initially opened lower but recovered to close up 2.5%, pulling Broadcom (+2%) and Micron (+9%) along with it. Oracle also bounced back from its prior-day losses.
Economic data painted a surprisingly strong picture. ADP payrolls showed 42,000 private sector jobs added in October – double expectations – while the ISM services index jumped to 52.4% from 50%, signaling accelerating service sector growth.
The strong data pushed Treasury yields higher, though, adding pressure as markets price in potentially fewer Fed rate cuts ahead.
The breadth of Wednesday's gains was notable, with small caps outperforming as the Russell 2000 rallied 1.6%, suggesting risk appetite is returning beyond just mega-cap tech names.
Stock Moves Deciphered 📈
💾 Seagate Technology (STX) ⬆️ 10%
Data storage specialist Seagate rocketed over 10% after posting stellar first-quarter results, with revenue surging to $2.63 billion, driven by explosive AI-related demand for storage solutions.
The company hit a new 52-week high as investors recognized Seagate's strategic positioning in the AI infrastructure buildout, with hyperscalers and enterprises requiring massive storage capacity for AI workloads.
💉 Zimmer Biomet (ZBH) ⬇️ 15%
Medical device manufacturer Zimmer Biomet plummeted 15% after missing Q3 revenue estimates and slashing its full-year organic growth forecast.
International market weakness drove the guidance cut, overshadowing an earnings beat that couldn't offset concerns about deteriorating global demand.
🏥 Amgen (AMGN) ⬆️ 7.8%
Biotech giant Amgen rose after delivering strong Q3 results that exceeded both earnings and revenue expectations, prompting management to raise its full-year guidance.
The rally gained additional momentum from growing anticipation around positive data for the company's experimental weight-loss drug, positioning Amgen to compete in the lucrative obesity treatment market.
Headlines You Can't Miss 👀
📈 ISM services index jumps to 52.4% from 50%, showing service sector acceleration with new orders spiking to 56.2%.
🗳️ Trump concedes GOP electoral losses, calling Tuesday's Democratic sweep across key races "not good for Republicans" during Senate breakfast meeting.
🏙️ NYC Mayor-elect Zohran Mamdani's rent freeze proposals send commercial real estate stocks lower, with SL Green down 1% and Vornado falling 3%.
🎮 Unity Software rallies 8% on better-than-expected Q3 results and strong Q4 revenue guidance, boosting sentiment in gaming tech.
✈️ Allegiant Travel soars 22% after hiking full-year earnings outlook to above $3 per share, up from prior guidance of $2.25.
🔬 Perrigo plunges 20% despite earnings beat as the pharmaceutical company cuts full-year outlook on revenue miss and weakening demand.
Trending Stocks 📊
📵 Pinterest (PINS) ⬇️ 22%
The image-sharing platform plummeted over 20% after disappointing Q3 results revealed the impact of tariffs on advertising spending.
Pinterest earned $0.38 per share adjusted versus expectations of $0.42, while revenue met estimates at $1.05 billion.
🥙 Cava (CAVA) ⬇️ 2.6%
The Mediterranean fast-casual chain slashed its full-year same-store sales growth guidance to 3-4% from 4-6% for the second consecutive quarter as younger consumers visit less frequently.
CFO Tricia Tolivar pointed to the 25-34 demographic being "impacted a bit more than others," citing higher unemployment, resumed student loan payments, and tariff-created economic fog.
🎥 Axon Enterprise (AXON) ⬇️ 9%
The Taser and body camera maker plunged over 9% in its worst session since May 2023 after missing Q3 profit expectations due to tariff constraints.
Adjusted EPS of $1.17 fell short of the $1.52 forecast, with adjusted gross margins dropping 50 basis points to 62.7%.
What’s Next?
Key market and macro news 👇
💊 AstraZeneca (AZN): Reporting Q3 earnings with estimates of ~$1.14 EPS and ~$14.86 billion revenue. Investors will be watching for pipeline updates and confirmation of continued growth from its key oncology drugs.
⛽️ ConocoPhillips (COP): Announcing Q3 results with analysts expecting ~$1.40 EPS on ~$14.64 billion revenue. Focus is on how oil price volatility has impacted profits and any updates to production guidance.
🍿Warner Bros. Discovery (WBD): Releasing Q3 earnings with an estimated loss of ~$0.07 per share on $9.18 billion revenue. Investors are focused on streaming subscriber numbers and the company's progress on debt reduction.
🎤 Datadog (DDOG): Set to report Q3 earnings with estimates of ~$0.45 EPS and ~$852.27 million revenue.
📊 The Bureau of Labor Statistics will release its preliminary third-quarter 2025 report on productivity and costs, which could influence the Federal Reserve's future interest rate decisions.
🧑💻 The weekly jobless claims report will be released, providing insight into the health of the labor market.
🧑💼 The Challenger Job-Cut Report for October will be released, providing an overview of corporate layoff announcements.
Chart of the Day
Source: Visual Capitalist
Meme of the Day
Great investing starts with great information.
Forward The Market Scoop to anyone who wants to stay ahead of the market through a pertinent and entertaining newsletter format.
DISCLAIMER: None of this is financial advice. The newsletter is strictly educational and is not investment advice or a solicitation to buy or sell assets or make financial decisions. Please exercise caution and conduct your own research.