Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) rallied in premarket trading on Thursday, moving in sympathy with peer Nvidia Corp. (NASDAQ:NVDA).
Nvidia reported Wednesday after the close of first-quarter earnings and revenue that exceeded estimates and issued second-quarter revenue guidance that exceeded the consensus by a wide margin. The company also flagged robust demand for its data center family of products, increasing visibility into the second half.
The data center strength of Nvidia is attributable to the strong uptake of its generational AI products. Given AMD has a presence in the segment, investors were lapping up the shares of the company.
In premarket trading on Thursday, AMD shares climbed 8.98% to $117.99, according to Benzinga Pro data.
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