AMD plunges 14%, hits 52-week low as preliminary results disappoint; Intel, Nvidia among other chips in the red
PonyWang

Advanced Micro Devices (NASDAQ:AMD) led semiconductor stocks lower on Friday in the wake of the chipmaker issuing preliminary third-quarter results that missed estimates by a healthy measure.
AMD (AMD) fell out of the gate, and showed no signs of hitting the brakes as its shares fell nearly 14%, recently touching a 52-week-low of $59.84 a share. The losses washed over other chip stocks, with Nvidia (NVDA) falling almost 7%, and Intel (INTC) off by nearly 5%.
Among other chip companies, Qualcomm (QCOM) shares slipped by 3.5%, Texas Instruments (TXN) and Analog Devices (ADI) declined nearly 4%. ON Semiconductor (ON) slumped more than 8%, while Micron Technology (MU) outperformed, falling around 3%.
Foundry companies were also hit, as Taiwan Semiconductor (TSM) reported September revenue figures that declined from August. Taiwan Semiconductor (TSM) and GlobalFoundries (GFS) each declined more than 5%. 
On Thursday, AMD (AMD) said its third-quarter sales would be about $5.6B, compared to estimates of $6.71B. Adjusted gross margins were roughly 50%, and below the 54% the company had guided to previously.
The company blamed the shortfall on a weaker-than-expected PC market and continued inventory corrections.
AMD (AMD) Chief Executive Lisa Su added that the company's data center, embedded and gaming segments continued to show strength and the company's business model and balance sheet will help it navigate the downturn.
Breaking it down by segment, client revenue fell 53% sequentially and 40% year-over-year to $1B, while data center revenue rose 8% sequentially and 45% year-over-year to $1.6B.
Gaming revenue was flat quarter-over-quarter and up 14% year-over-year to $1.6B, while revenue from its embedded segment was up 4% sequentially to $1.3B, largely thanks to its Xilinx acquisition which closed earlier this year.
The company also said it sees $160M worth of charges for items, including inventory and pricing.
Santa Clara, California-based AMD (AMD) said operating expenses during the period were $1.5B, below the prior guidance of $1.6B.
On Wednesday, Wells Fargo cut estimates on Advanced Micro Devices (AMD) due to PC market weakness and emerging concerns in the data center business.
Preliminary data center revenue for the third-quarter is $1.6B, not $1.8B. Seeking Alpha regrets the error.