AMD Stock Jumps 7.32% as CoreWeave's Blowout Quarter Reignites the AI Trade

Wall Street spent Veterans Day taking back Tuesday. Stocks closed higher across the board on Wednesday after cloud-computing firm CoreWeave's stronger-than-expected quarter reignited the artificial-intelligence trade — and few names rode it higher than AMD, the chipmaker at the center of Austin's semiconductor economy, which jumped 7.32% to close at $552.90.

The numbers behind the day: the Nasdaq Composite climbed 400.31 points (1.60%) to 25,466.19, the S&P 500 rose 1.31% to 7,619 and the Dow added 254.60 points (0.49%) to 52,486.49, according to the closing reports read by the desk. CoreWeave itself soared 24.7% to $60.77 after reporting third-quarter revenue of $3.661 billion — up 168% from a year earlier — a backlog of about $132.5 billion, and a raised full-year revenue forecast of $13.0 to $13.3 billion. The Philadelphia Semiconductor Index rose 5.66%, with all 30 of its members higher.

AMD's move came on heavy trading — 42.5 million shares, about 83% above its three-month average — after Goldman Sachs named it one of three attractive semiconductor stocks amid the broader sell-off, The Motley Fool reported. The Fool also noted AMD's recent quarter: revenue up 45% year-on-year to a record $13.4 billion, fourth-quarter revenue guided to about $17 billion, and a Google cloud deal that will put AMD's fifth-generation EPYC server chips into Google's TPU cloud. Nvidia rebounded 2.87% to $173.73 and Intel rose 7.52% to $62.50; Dallas-based Texas Instruments added 3.09%.

One day is not a trend, and the desk reported Tuesday's fall in the same plain terms. But for Austin, where chip design is one of the city's signature industries, Wednesday's close was the other half of the week's story: the AI buildout's order books — CoreWeave's $132.5 billion backlog above all — are still growing faster than the market's doubts.