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AMD is having a bad day on the stock market. Its shares have fallen by 4.8% by mid-afternoon, even dropping as much as 5.5% at one point.
It seems that several factors are working against it. The U.S. employment report came in weak. Only 45,000 new jobs, quite a bit lower than expected. Strange. This could lead the Fed to lower rates, but investors are nervous.
Tariffs also complicate things. AMD manufactures abroad and that is going to cost them. Their margins could suffer.
Despite everything, AMD remains a heavyweight. It is gaining ground on Intel in CPUs. And although Nvidia dominates in AI GPUs, AMD is not far behind.
AMD's stocks are risky, of course. But at these prices, who knows. If you believe in their long-term potential in CPUs and GPUs for AI, it might be worth it.