AMD Shares Drop 13% Amid AI Growth Concerns Despite Strong Q4 Results

AMD shares fell 13% in early trading February 06, 2026, despite reporting fourth-quarter revenue of $10.27B and adjusted EPS of $1.53, both exceeding estimates. A significant boost came from MI308 sales in China, but analysts at Wedbush expressed caution about "muted growth" in broader AI sales amid evolving export restrictions limiting AMD's access to key markets. Morgan Stanley analysts were surprised by the reaction, noting the market may be waiting for more proof of the effectiveness of AMD's latest products. The sell-off erased the year-to-date gains for AMD, which remains up about 90% over the past 12 months.