--- title: "AMD’s $17 Billion Answer, Apple's AI Bill And Next 3 Trading Days" type: "News" locale: "en" url: "https://longbridge.com/en/news/304271695.md" description: "AMD, Arista, and Supermicro reported strong Q3 earnings driven by heavy AI infrastructure spending. AMD forecast $17B Q4 revenue; Arista saw fastest growth since IPO; Supermicro's sales nearly quadrupled despite narrower margins. Meanwhile, Apple faces higher costs, Iran tensions unsettle oil markets, and the U.S. job market awaits a test over the next three trading days." datetime: "2026-11-04T11:50:58.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/304271695.md) - [en](https://longbridge.com/en/news/304271695.md) - [zh-HK](https://longbridge.com/zh-HK/news/304271695.md) generator: "portal-rs" --- # AMD’s $17 Billion Answer, Apple's AI Bill And Next 3 Trading Days ### GROWTH IS REAL. SO ARE THE BILLS. AMD and Arista delivered fresh evidence that companies are spending heavily on AI infrastructure: the chips, servers and networking equipment that make AI work. That spending does not help every company equally. Apple faces higher costs, the Iran war keeps energy markets unsettled, and the next three days bring a fresh test of the U.S. job market. ### TECH UP. BREADTH THIN. | INDEX | CLOSE | DAY / WTD | | ------------ | --------- | --------------- | | S&P 500 | 7,568.92 | +0.36% / -0.15% | | Nasdaq | 25,372.01 | +0.83% / -0.26% | | Dow | 51,786.72 | -0.38% / +0.03% | | Russell 2000 | 2,812.45 | +0.23% / +0.02% | Tuesday’s U.S. closes. Day compares with Monday; week to date compares with Friday, October 30. Most S&P 500 stocks fell even as the index rose. **Rates & risk:** Treasury’s 10-year yield was **4.95%** and its 2-year was **4.61%**, up 4 and 2 basis points. A basis point is one-hundredth of a percentage point. VIX, a measure of expected stock-market volatility, closed at **20.83**. The dollar index was **101.89** at 6:05 p.m. ET. The Fed’s target rate remains **3.75% to 4.00%**. **Crypto & gold:** Bitcoin was **$76,889**, down **0.16% over 24 hours**, at 7:46 p.m. ET. Spot gold was **$3,927.18 an ounce**, down **0.5%**, at 2:06 p.m. ET. These are separately timed quotes, not a shared closing snapshot. **Energy:** December WTI crude settled at **$96.09 a barrel**, down **0.38%**; January Brent settled at **$103.60**, down **1.12%**. Different contract months are labeled to avoid a misleading comparison. ## ENERGY & GEOPOLITICS: LOWER OIL. UNSETTLED WAR. Oil finished lower, but the trading day was far from calm. January Brent traded between **$100.80 and $107.24** as the Iran conflict and diplomatic developments pulled prices in different directions. The economic connection is straightforward: expensive oil raises transport and production costs and leaves households with less room for other spending. AAA’s national average for regular gasoline was about **$4.15 a gallon** today. **Our read:** A lower settlement is useful context, but it does not mean the conflict or its inflation risk has disappeared. ## AMD EARNINGS: THE FORECAST-$17 BILLION. AMD reported **$13.38 billion in third-quarter revenue**, up **45%** from a year earlier. Its data-center business, which sells chips for servers and AI systems, grew **97%** to **$8.55 billion**. Adjusted earnings were **$2.09 a share**, ahead of the **$1.95** LSEG estimate. Adjusted earnings exclude certain expenses and accounting items; reported earnings under standard accounting rules were **$1.46 a share**. The bigger number came next: AMD forecast **$17 billion in fourth-quarter revenue**, with a range 3% above or below that midpoint, versus about **$16.23 billion** expected. Management also projected more than **80% sales growth in 2027**. That is an outlook, not a result already achieved. **Our read:** Demand is reaching the income statement. Data-center operating profit, profit before interest and taxes, rose about **168%** to **$2.88 billion**. The next test is delivering those systems while controlling costs. > AMD'S $AMD DATA CENTER BUSINESS NOW MAKES MORE PROFIT THAN THE WHOLE COMPANY DID A YEAR AGO > > Data center operating income hit $2.88 billion in Q3, up 168% from $1.07 billion a year ago. That's more than AMD's entire adjusted operating income of $2.24 billion in Q3 2025.… pic.twitter.com/ALPBrtLlZP > > — WOLF (@WOLF\_Financial) November 3, 2026 ## ARISTA EARNINGS: THE AI BOOM NEEDS A NETWORK. Powerful chips need to move enormous amounts of information between servers. Arista sells the networking equipment and software that help them do it. Third-quarter revenue reached **$3.66 billion**, up **58.5%** from a year earlier. Adjusted earnings of **$1.20 a share** topped the **$1.08** MarketBeat consensus. The company expects **$3.9 billion to $4.0 billion** in fourth-quarter revenue. Arista kept **49.1% of revenue as adjusted operating profit**. That measure excludes certain costs and is not the same as bottom-line net profit. The "agentic AI" in the post below means AI designed to carry out tasks, rather than only answer a prompt. Our **read:** AI spending is showing up beyond the chipmakers. Arista’s results provide another check on how much of that infrastructure buildout is turning into actual sales. > ARISTA NETWORKS $ANET JUST POSTED ITS FASTEST REVENUE GROWTH SINCE GOING PUBLIC IN 2014 > > Revenue hit $3.66B last quarter, up +58.5% from $2.31B a year ago and +20.5% from just 3 months earlier. > > Arista had guided to $3.3B. It beat its own forecast by about $360M. > > CEO Jayshree… pic.twitter.com/eyPj15F3Og > > — WOLF (@WOLF\_Financial) November 3, 2026 ## SUPERMICRO EARNINGS: SALES NEARLY QUADRUPLE. MARGINS NARROW. Supermicro builds servers that house AI chips. Quarterly revenue reached **$19.9 billion**, up from **$5.0 billion** a year earlier. Net income rose to **$1.59 billion** from **$168 million**. But its **12.7% gross margin** was below **17.5% last quarter**, though above a year ago. Gross margin is the share of sales left after direct costs, before other expenses. The business also used **$434 million in operating cash**. **Our read:** Bigger sales and higher profit do not automatically mean more cash in the bank. The next quarter’s sales forecast is **$19.5 billion to $21.5 billion**; delivering it remains a future test. > SUPER MICRO $SMCI REVENUE NEARLY QUADRUPLED IN A YEAR TO A RECORD $19.9 BILLION > > That's up from $5.0 billion a year ago and $11.1 billion last quarter. Net income jumped to $1.59 billion from $168 million. > > But gross margin fell to 12.7% from 17.5% the quarter before, and the… pic.twitter.com/1f7uaKhSio > > — WOLF (@WOLF\_Financial) November 3, 2026 ## APPLE: THE OTHER SIDE OF THE AI BILL. Apple’s fiscal fourth-quarter revenue reached **$114.5 billion**, with earnings of **$2.10 a share**. Both beat FactSet estimates. Yet the shares fell about **1.9%** Tuesday. The pressure point is the coming quarter. Apple expects a **45% to 46% gross margin**, compared with **47.9%** in the quarter just reported. Gross margin is the share of sales left after direct product and service costs, before other business expenses. Higher memory-chip and AI costs are part of the squeeze. The comparison also includes a benefit that will not necessarily repeat: tariff refunds lifted the reported quarter’s margin by about one percentage point. **Our read:** The same spending cycle can lift suppliers’ revenue and raise their customers’ costs. A strong sales headline alone does not explain the whole earnings picture. > APPLE $AAPL JUST HAD ITS BEST SEPTEMBER QUARTER EVER FOR THE IPHONE > > iPhone revenue hit $57.6B, up +17% from $49.0B a year ago. It's now just over half of Apple's total revenue. > > For the full fiscal year, iPhone brought in $254.1B, up +21%. > > CEO John Ternus called the new iPhone… pic.twitter.com/CzO9UbCwUu > > — WOLF (@WOLF\_Financial) November 2, 2026 ## PALANTIR EARNINGS: BUSINESSES OVERTAKE GOVERNMENT. Palantir sells software that helps organizations combine data and put it to work. Its U.S. business customers generated **$984 million in quarterly revenue**, up **148%** from a year ago, passing **$953 million** from U.S. government customers for the first time. Government sales still grew **96%**. This shift reflects faster business growth, rather than shrinking government work. Total company revenue reached **$2.31 billion**, also up **96%**. **Our read:** AI spending is reaching software as well as chips, servers and networks. The post’s "commercial revenue" means sales to businesses. These are sales figures, not profit. > PALANTIR $PLTR NOW MAKES MORE MONEY FROM U.S. COMPANIES THAN FROM THE U.S. GOVERNMENT, FOR THE FIRST TIME EVER > > U.S. commercial revenue hit $984 million in Q3, up 148% from a year ago. U.S. government revenue was $953 million, up 96%. > > A year ago it was the other way around: $397… pic.twitter.com/BRNFx9UlZ9 > > — WOLF (@WOLF\_Financial) November 2, 2026 ## AI DEAL WATCH: A $115 BILLION BET ON AI CONNECTIONS. Marvell agreed to buy Lumentum in an all-stock deal with an implied **$115 billion enterprise value**. Enterprise value includes debt as well as the value of the shares; it is not a $115 billion cash payment. Marvell makes chips, while Lumentum supplies lasers and optical equipment that move data using light. The aim is to connect AI systems more effectively. Lumentum holders would receive **4.5 Marvell shares for each Lumentum share**. The companies expect closing in the **first half of 2028**, subject to shareholder and regulatory approvals. The agreement is signed; the acquisition is not completed. ## CRYPTO SECURITY: THE HACK STARTED WITH A JOB INTERVIEW. Binance’s new account of its **October 29 security incident** describes a multi-stage attack that included a fake recruitment process. An engineer was told to download an interview assignment containing malicious code. Binance says about **$6.34 billion in digital assets** was affected and about **$2.85 billion** was frozen or intercepted. These are the company’s initial findings, and the investigation remains open. This is a new explanation of the earlier incident, not a second hack today. It also illustrates a separate issue from Bitcoin’s price: an asset’s market value and the security of the platform holding it are different risks. ## BLOCK’S $764 MILLION PROPOSAL. Block’s gross profit rose **22% to $3.24 billion**, and Cash App had **60 million monthly transacting accounts** in September. Gross profit is sales left after direct costs, not final net income. Separately, Block disclosed an **agreement in principle** with the Justice Department over its money-laundering controls, the checks intended to detect illicit money movements. The proposed payment is about **$764 million after credits for prior resolutions**, versus about **$964 million before credits**. The proposal would pause a charge for **three years**, with dismissal depending on compliance. It still needs a final agreement and court approval. Block has set aside the expected cost; this is not a statement that the payment is completed. > BLOCK $XYZ EXPECTS TO PAY ABOUT $764M TO SETTLE A JUSTICE DEPARTMENT MONEY-LAUNDERING PROBE > > The deal would delay a charge that Block's anti-money laundering program fell short, for 3 years, per Bloomberg > > The settlement totals about $964M before credits, or about $764M net.… pic.twitter.com/gwAQ5P5z6k > > — Evan (@StockMKTNewz) November 3, 2026 ## MORE EARNINGS: TRAVEL AND ONLINE SHOPPING. **Booking:** The travel company recorded a **$900 million revenue reduction** and **$100 million expense** tied to an FTC matter. That is a **$1 billion accounting impact**, not a statement that a final $1 billion settlement has been paid. It also explains why reported and adjusted results differ. **Shopify:** Revenue grew **32%**, while merchants processed about **$119 billion in orders** through its platform. Those merchant orders are not Shopify’s own revenue. Management expects revenue growth in the low 30% range next quarter. ## MARKET RULES: A NEW KIND OF STOCK CONTRACT. The CFTC said U.S. exchanges registered with both the CFTC and SEC can begin offering **equity perpetual futures**. These are contracts that track stocks without the ordinary expiration date of a traditional futures contract. A contract is not the same as owning the underlying shares. Some contracts let traders control a larger position than the cash they put up. That can magnify losses as well as gains. The announcement does not mean they are available at every broker. > 🇺🇸 PERPETUAL FUTURES ON INDIVIDUAL STOCKS CAN NOW TRADE ON US-REGULATED EXCHANGES FOR THE FIRST TIME > > The CFTC said Tuesday that "Equity Perps" are approved > > They fall under both the CFTC and SEC, so only exchanges registered with both agencies can offer them. pic.twitter.com/D2tDMVTUsT > > — Evan (@StockMKTNewz) November 4, 2026 ## GLOBAL WATCH: KOREA’S CHIP EXPORT SURGE. South Korea’s October exports rose **93.7% to $115.28 billion**, including **$56.44 billion in semiconductor exports**. Both higher chip prices and higher volumes contributed. Part of the leap reflects last year’s holiday calendar, which left a lower comparison base. Growth per working day was **76%**. The U.S. connection is demand for AI hardware and the cost of memory chips. > South Korea's exports nearly doubled in October, jumping 93.7% from a year earlier for the strongest growth since 1974. > > The AI chip boom is driving the surge. Imports rose 36%, leaving a $42.5 billion trade surplus. > > Last year's October Chuseok holidays also lowered the base. pic.twitter.com/EuBWDwdpXJ > > — WOLF (@WOLF\_Financial) November 1, 2026 ## GLOBAL RATES: AUSTRALIA RAISES RATES AGAIN. Australia’s central bank raised its cash rate by a quarter percentage point to **4.85%** in a **6-to-3 vote**. It now expects inflation to return to the top of its target range in late 2027. Inflation pressure is still a global story. ## SECTOR CHECK: A TECH REBOUND, NOT A BROAD RALLY. Across all 11 S&P sector ETFs, Tuesday’s top three were **technology +1.31%**, **communication services +1.18%** and **industrials +0.95%**. The bottom three were **consumer staples -2.07%**, **materials -2.01%** and **energy -0.85%**. Technology outperformed staples by **3.38 percentage points**, yet the technology ETF was still down **1.67% for the week**. These are price returns, not a measurement of money flowing into or out of funds. The question is whether strength spreads beyond a few large companies. ## NEXT THREE TRADING DAYS: THE JOBS TEST IS NEXT. **All times Eastern.** **Wednesday, November 4:** ADP private payrolls at **8:15 a.m.**; trade data and Treasury’s quarterly debt-refunding details at **8:30 a.m.**; ISM services at **10:00 a.m.** The Treasury announcement explains upcoming borrowing plans. It is separate from the day’s 17-week bill auction. **Earnings Wednesday:** Uber, CVS and Datadog report before the open; Qualcomm and Arm report after the close. Watch consumer activity at Uber, medical costs at CVS, cloud usage at Datadog, and chip demand at Qualcomm and Arm. **Thursday, November 5:** Jobless claims, productivity and labor-cost data at **8:30 a.m.**; Cleveland Fed President Beth Hammack at **8:50 a.m.** Four- and eight-week Treasury bills are also auctioned. **Friday, November 6:** The jobs report at **8:30 a.m.**, followed by preliminary University of Michigan consumer sentiment at **10:00 a.m.** Fed Vice Chair Michelle Bowman speaks at **12:15 p.m.** **The number to understand:** MTFX’s calendar showed a forecast of **65,000 new jobs** for Friday, versus **29,000** previously. It is an estimate that can change, and the actual release may differ. ## MONEY EXPLAINED: 5.51% DOES NOT MEAN FOREVER. New U.S. Series I savings bonds issued from **November 2026 through April 2027** carry a **5.51% annualized rate for their first six months**. "Annualized" expresses the rate on a yearly basis; it does not promise that rate for a full year. The rate includes a **1.40% fixed component** that lasts for the bond’s life. The inflation-linked component changes every six months. Bonds cannot be redeemed during the first **12 months**; cashing out before five years forfeits the last **three months of interest**. This is an explanation of the terms, not a recommendation. TreasuryDirect explains the rules and annual limits. ## OUR READ: FOLLOW THE SALES. CHECK THE COSTS. AMD and Arista show that AI demand is producing substantial revenue. Apple shows why the cost of delivering AI matters too. Oil and Friday’s jobs report will help set the wider backdrop against which those company results are judged. **IMPORTANT DISCLOSURES:** WOLF Financial provides news and educational information, not financial, investment, legal or tax advice. Nothing here is a recommendation to buy or sell a security or other asset. Investing involves risk, including loss of principal. Company forecasts and analyst estimates may not be achieved. Prices and data are dated snapshots and may change. ***Benzinga Disclaimer: This article is from an unpaid external contributor. 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