AMD Q2 2026 Earnings Overview: Flat 56% Margins Overshadow AI Chip Growth and Trigger a 7.04% Selloff

AMD's Q2 beat on revenue and non-GAAP EPS, driven by a 107% surge in Data Center sales and expanding AI GPU deployments. However, flat 56% gross-margin guidance, higher opex and elevated capex shifted focus from growth to profitability conversion, triggering a 7.04% post-earnings decline. Near term, sentiment hinges on whether accelerating AI/data-center revenue translates into incremental margins and operating leverage.