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AMD reported earnings after the bell on Tuesday.

The company earned an adjusted $0.10 a share on revenue of $1.64, outpacing the $0.08 and $1.51 billion that Wall Street was anticipating.

The company released lower guidance for the fourth quarter, though. "For the fourth quarter of 2017, AMD expects revenue to decrease approximately 15 percent sequentially," the company said in its release.

Shares of AMD were down as much as 11% in after-market trading.

“Strong customer adoption of our new high-performance products drove significant revenue growth and improved financial results from a year ago,” CEO Lisa Su said in the company's release.

AMD's third-quarter earnings come as the company ramps up its product lines to better compete with competitors Nvidia and Intel. AMD is reportedly working with Tesla to develop a custom self-driving chip for its vehicles which would replace the Nvidia chips Tesla currently uses in its vehicles.

AMD's Radeon RX Vega series of graphics processing units were introduced early in the quarter and are positioned to compete directly with Nvidia's series of GPUs.

AMD also introduced its Threadripper series of central processing units to compete with Intel's mostly dominant hold of the CPU market.

Markets Insider

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