11AM Hour: P&G CEO Announces Deal, Williams CEO on Earnings & Chip Stocks Bounce Back 8/4/26

**Sara Eisen** (0:00)
The board recommends approving...

**Chad Zamarin** (0:01)
Regarding that seat on the committee, we're promoting...

**SPEAKER_3** (0:02)
to most quarterly earnings...

**SPEAKER_4** (0:04)
Every day, shareholders meet to discuss important matters about the companies you invest in. Now you can easily make your voice heard. Vanguard Investor Choice gives you a say in the companies you invest in. With just a few taps, you can set your proxy voting preference for your index funds. Visit vanguard.com/investorchoice to learn more. Vanguard Investors own shares of our index funds, which own shares of the companies they invest in. Available for Vanguard index funds that participate in Investor Choice. Vanguard Marketing Corporation Distributor.

**SPEAKER_5** (0:30)
How do you turn your strategy into action and action into impact? Bold leaders do it through transformative strategy and transactions. Ones that work in practice, not just on paper. At EY Parthenon, we use an investor mindset to help you create value. How?
By combining deep sector experience with AI-powered technology, so you can reimagine your business for tomorrow while building it today.
Shape your future with EY Parthenon. Learn more today.

**Carl Quintanilla** (1:00)
Good Tuesday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Sara Eisen, Live at Post 9 of the New York Stock Exchange. Today, the Dow and the S&P record highs and chip stocks are bouncing back. We're going to break down what's driving those moves plus what to expect when AMD reports tonight.

**Sara Eisen** (1:14)
Then the chairman and CEO of P&G will join us in his first broadcast interview since taking the helm. We'll discuss his strategy for the company and their recent earnings report.

**Carl Quintanilla** (1:23)
Plus, natural gas company, Williams, just making a more than $5 billion acquisition. CEO is going to join us to discuss that deal as they raise their annual outlook. As for the markets, we mentioned Dow S&P joining the Dow in that record high party, first time since the middle of July. Kind of a mixed bag sector-wise, we got some weakness in names like Staples, Healthcare, Consumer Discretionary, and Energy as Brent falls below 80 for the first time in a few weeks. Let's begin though with the move in chips this morning as we look ahead to AMD tonight, our Christina Parts-Nevalos has more. Morning, KP.

**Christina Parts-Nevalos** (1:56)
Hi, Carl. Well, plenty moving in chips. And I want to start with the optical names because Coherent and Lumentum sharply higher, specifically after Reuters reported the Trump administration is drafting a ban on imports of new Chinese optical transceivers. That's the parts that move data inside AI data centers. Coherent and Lumentum are the US plays on this, so it would benefit them. Switching gears on Semi was up, but now down. It did have a beat last night. Meantime stretching and AI data center revenue now set to more than double this year, but the auto revenue came in a little weak, especially when compared to Texas Instruments. Memory, big names moving. The Usuals, SK Hynex up about four percent after three sell side firms started at a buy.
Micron Hire on a counterpoint research data showing it's gaining DRAM share, which is really the standard memory inside phones, PCs, AI servers. It's now just behind SK Hynex according to this report. Then lastly, DigiTimes, which is out in Asia, reports that the industry as a whole has already sold out of its 2027 DRAM and high bandwidth memory capacity. So again, just think the more advanced memory for AI compute months ahead of schedule. So very bullish commentary there. But the main event lands after the close today, AMD. Walking into that same sold out setup and a high bar. AMD can essentially sell every chip it makes right now. The problem is just building enough of them. Morgan Stanley says the company is essentially sold out with the squeeze across wafers, memory, and packaging. So the numbers tonight might matter just a little bit less than the actual guide. How fast AMD ramps its new MI450 GPU. So just think of it the most advanced GPU. How quickly the Helios racks get adopted. So that's the entire system think of this massive piece of equipment. And whether Venice, its next server CPU chip, keeps taking share away from Intel. Strong though might not be enough. You had TSMC, ASML, both smashing records just within last quarter. And then they got sold off anyway. The bar for chips has climbed so high that even great prints are getting punished. And AMD ran what 196 percent into this spring, gave back over 25 percent into the July drop. And then it's still definitely a consensus long, but it's priced near the top. Wall Street is crowded into this one. So even a good quarter may not be enough, guys. And you can see it, AMD 142 percent year to date versus the SMH 58 percent year to date.