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Advanced Micro Devices Inc is expected to deliver its third-quarter earnings results after the regular trading session on Tuesday.

The company which has failed to meet consensus analysts estimates in the past couple of quarters is expected to post earnings that will meet or even exceed most forecasts due to the company’s GPU sales driven by the demand for their products due to miners of cryptocurrencies such as ethereum and bitcoin which has been getting more attention lately.

Second Quarter Earnings Recap

Last July, the company posted earnings of two cents per share while their revenue jumped by 19% to $1.22 billion beating most analysts estimates of $1.16 billion. Sales from AMD’s processor making unit jumped by 51.5% to $659 million during the second quarter.

However, AMD was able to record a net loss of $16 million or two cents per share which is lower than their profits of $69 million during the same quarter last year or eight cents per share.

AMD shares then rose by more than 8% after the company posted a positive annual earnings outlook. Due to the demand for their latest Ryzen PC processors as well as for their graphics chips, the company raised their full-year earnings outlook to a high-teens percentage. The company also provided an outlook for their third-quarter revenue to rise by around 23% from the second quarter which is expected to come at around $1.50 billion.

For the past two months, AMD shares, as well as other chip-maker stocks, were projected to rise due to the crypto currency's outlook for GPU devices and other computer parts. AMD’s stock which has jumped by more than 80% over the past twelve months to August was projected to jump by as much as 40%. Aside from the growing prices of processors and graphics chips, AMD’s products were also seen to be performing well against some of its toughest competitors.

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Third Quarter Forecasts

AMD which will be releasing their third-quarter earnings results on Tuesday’s market close is expected to post mostly a positive earnings report that will meet most estimates.

Although the company posted a missed earnings during the previous quarter, revenues of the company have grown by 19% year over year to $1.22 billion due to the growing demand for AMD’s GPUs as well as the growing number of its patrons.

For the third quarter, the company expects its revenue to rise by 23% which represents a year over year growth of 15%. AMD’s recent product launches including the RX Vega 64 priced higher than AMD’s previous GPUs is expected to pull the company’s sales and help them compete with their top rivals including NVIDIA and Intel. The sales of their product line would be considered by investors in determining the direction of the company’s sales especially as the market is headed to the holiday quarter.

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