AMD is set to report its Q2 earnings, with expectations of adjusted earnings per share (EPS) of $0.49 on revenue of $7.4 billion. This represents a 29% decline in EPS but a 27% increase in revenue year-over-year. The anticipated growth is driven by strong demand in the Data Center segment, projected to generate $3.2 billion, a 14% increase from the previous year, and a significant rise in the Client business, expected to reach $2.5 billion, up 71% from last year.

The company is poised to benefit from the recent lifting of the Trump administration's ban on chip sales to China, which had previously impacted its revenue. Additionally, the launch of AMD's MI350 line of AI chips is expected to enhance its competitive position against Nvidia. Analysts predict that AMD will see improved results and guidance due to rising server demand and market share gains, despite potential normalization in demand in the latter half of the year.