AMD Share Price and News: AMD pulls back as chip sector trades lower

NASDAQ:AMD fell by 3.83% on Wednesday as the broader markets crashed at the close.
The chip sector pulled back as the industry awaited NVIDIA’s earnings.
Chip maker GlobalFoundries has officially filed for its IPO.

Stocks Reporter FXStreet

NASDAQ:AMD has had an interesting week, and it could have to do with how options contracts have been traded. This week is OPEX week or Options Expiry week, and for stocks like AMD which have a high ratio of call contracts to put contracts, it was a prime candidate for a healthy pullback. Shares of AMD fell once again on Wednesday, as the stock tumbled by 3.83% and closed the day at $103.44. AMD looks to be creating a bullish flag formation accompanied by call sweeps from institutions that look to still be anticipating a move higher from the stock.

It seems as though much of the chip industry has been awaiting the quarterly earnings report from NVIDIA (NASDAQ:NVDA). Well those earnings came Wednesday after the bell, and while it was not exactly a blowout quarter, the company did top Wall Street estimates and saw a 68% growth in year over year revenues. NVIDIA attributed much of its growth this quarter to its gaming and data center segments, and CEO Jensen Huang did reiterate his confidence in the company’s acquisition of Arm to still be completed.

AMD stock price

GlobalFoundries, the Abu Dhabi Sovereign Wealth Fund backed chip maker, confidentially filed for a U.S. IPO on Wednesday. The details are anticipated to be revealed in October of this year, and a debut on Wall Street is expected to come by the end of the year or in early 2022. Earlier this year, Intel (NASDAQ:INTC) was rumored to be in the process of making an offer for GlobalFoundries but no offer has been officially made. The new entity would be a direct competitor to companies like AMD, so chip industry investors should stay tuned to what comes next in this ongoing saga.

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Stocks Reporter

FXStreet

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