The early January technology peak arrived late this year. After rallying for weeks, Microsoft (MSFT) a leading mega-capitalization firm, posted strong Q2 results that failed to impress investors last night. Shares were down fractionally. Watch for bulls to step in to buy shares when the market opens.
Microsoft posted $62 billion in quarterly revenue, which translated to $2.93 a share. Azure grew by a solid 30% while overall cloud revenue rose by 24% Y/Y to $33.7 billion.
Advanced Micro Devices (AMD) posted non-GAAP earnings per share of 77 cents. Revenue grew by only 10.7% Y/Y to $6.2 billion. Although its client segment revenue grew by 62%, helped by Ryzen 7000 series chips, the gaming sector revenue fell by 17% Y/Y to $1.4 billion. Radeon GPU sales offset a drop in semi-custom revenue.
Super Micro (SMCI) gave up much of its 10% intra-day gain yesterday to close up by 3.5%. A Susquehanna analyst warned that rising memory and storage costs, plus discounting, will pressure SMCI’s operating and gross margins.
On the upside, Skyworks (SWKS) added 3.5% last night after posting revenue falling by 9.8% Y/Y to $1.2 billion.
