Strong AMD stock numbers still disappoint investors

AMD said sales were helped by selling older chips to China but that activity lowered profit margins, and the stock closed at $242.11 before falling in after-hours trading after the company's guidance disappointed some investors.

AMD reported sales were helped by selling older chips to China. The company said that activity weighed on profit margins. AMD faces trade restrictions similar to rival Nvidia. Key details: - AMD sold older chips to China, which boosted sales but reduced profit margins. - The company and rival Nvidia face trade restrictions on some sales to China. - Shares closed at $242.11 and fell in after-hours trading after the company's guidance disappointed some investors. - AMD said a more powerful chip design is due later this year. Summary: Investor reaction trimmed the company's share price after hours and reflected disappointment with the outlook. The company still points to a new, more powerful chip design arriving later this year as its next major milestone.