NEW YORK ( TheStreet ) –– Advanced Micro Devices ( AMD ) shares tanked 19.4% to $3.68 following the release of poor second-quarter earnings. Both AMD's results and its third-quarter outlook, released yesterday afternoon, were disappointing. AMD's revenue of $1.44 billion was in line with analyst estimates and represents a 24% increase from the same quarter last year and a 3% increase from the first quarter. AMD earned 2 cents a share, short of analyst expectations of 3 cents. Gross margin was 40%, down from 35% last quarter. Sales in the computing solutions declined 20% from a year ago. Intel ( INTL ) revenues in the PC processor division rose 6.2%, suggesting that AMD is losing its market share to Intel. The company forecast third quarter revenues from $1.43-$1.51 billion, while analysts estimated an average of $1.57 billion.