AMD recorded a $1.1 billion noncash charge in the third quarter after it began accounting for stock warrants granted to OpenAI and Meta Platforms. The adjustment was reflected in GAAP diluted earnings of $1.46 per share, which CFO Jean Hu attributed mainly to AMD's higher share price and revised estimates of whether warrant conditions will be met. The warrants accompany chip-supply agreements and could eventually let the two companies purchase as much as 10% of AMD, subject to performance milestones. Hu expects quarterly fair-value adjustments to increase in later quarters as AMD ships MI450-series graphics processors, and said the noncash changes will not affect non-GAAP earnings or free cash flow. If exercised, the warrants could dilute existing shareholders, and AMD plans to provide further guidance in 2027 on when vesting and exercise requirements may be reached.
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META
• NeutralMeta Platforms
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $1.6T |
| Close on 11/03/2026 | 621.03 |
| Change that session | +2.36% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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