AMD Falls 11% to $523 as Post-Huang Rotation Trade Unwinds

Advanced Micro Devices fell 11% to $523.22 in early trading, giving back a large slice of the rally that followed Jensen Huang's resignation as NVIDIA's CEO. Broadcom dropped 6% to $343.23, and Intel slid 6% to $57.66. The broad tech-led selloff dragged the NASDAQ Composite lower.

The reversal unwinds Thursday's rotation out of NVIDIA and into its rivals. Huang resigned effective immediately on November 12, shaking the company most closely tied to the AI expansion. Money flowed toward NVIDIA's competitors, lifting AMD and Broadcom together. NVIDIA now trades at $159.02, down 4%, extending the slide that began with Huang's exit. With the former leader, the rotation winners and the wider tech group all lower, profit taking after a fast run is the best-supported explanation for AMD's drop.

What drove AMD's rally before the reversal?

Strong fundamentals underpinned the run. On November 3, AMD reported Q3 2026 revenue of $13.38 billion, up 44.7% year over year. Data Center segment revenue jumped 97% on demand for Instinct MI450 accelerators and EPYC server processors. Adjusted earnings per share of $2.09 beat the $1.94 consensus estimate.

Wall Street framed the rotation around Huang's departure. Dan Ives told Bloomberg TV the exit "clearly evens the playing field" for NVIDIA's rivals. Michael Burry took a cooler view in a Thursday Substack post. He said chip valuations "still have a ways to fall," while naming Broadcom and AMD as potential beneficiaries if NVIDIA's power decreases.

How deep are the losses across the peer group?

Broadcom's decline is shallower than AMD's, and it follows a smaller run. AMD's gain over the past week outpaced Broadcom's, so AMD has more to give back. The two stocks jumped together on Thursday, so their parallel declines fit a single trade being unwound. Selling in Intel shows the pressure reaching a chipmaker that sat outside that rotation. Intel remains up 56% year to date, though it trades far below its level of a month ago and is adding to a steep monthly decline, while AMD pulls back from a fast run higher.

How do the three chipmakers differ?

Each company carries a different exposure to the AI spending cycle.

• AMD sells merchant AI accelerators under the Instinct brand, EPYC server processors and Helios rack-scale systems, competing directly with NVIDIA for data center spending. Frontier AI labs and hyperscalers lead its customer list. The open ROCm software stack is its answer to NVIDIA's CUDA. Ryzen PC chips, Radeon graphics, console silicon and embedded products round out the mix.
• Broadcom co-designs custom AI accelerators with hyperscale customers and supplies the Ethernet networking chips that link large clusters, so it benefits from AI spending across chip architectures. A separate infrastructure software business built around VMware gives it an enterprise revenue stream AMD lacks.
• Intel designs and manufactures its own chips, selling Xeon server processors and Core PC processors while running a foundry for outside customers. PC exposure weighs more heavily on Intel, whose management expects the PC slowdown to last through at least the first half of 2027.

Can the rotation trade outlast the selloff?

The next test for AMD is whether the rotation into NVIDIA's rivals resumes once the broader tech selloff eases. Bulls can lean on Ives's playing-field argument and on AMD CEO Lisa Su's November 3 comment: "It is true that demand is higher than supply." Burry's valuation warning gives bears their case, and AMD's valuation sits far above NVIDIA's on trailing earnings. A deeper tech selloff could pressure Broadcom and Intel regardless of how NVIDIA's leadership story plays out. Volatility in AMD could persist until the rotation trade into NVIDIA's rivals settles.