Advanced Micro Devices, Inc. (NASDAQ:AMD – Get Free Report) dropped 2.9% during trading on Monday . The stock traded as low as $469.29 and last traded at $469.56. 19,419,108 shares changed hands during mid-day trading, a decline of 46% from the average daily volume of 36,073,605 shares. The stock had previously closed at $483.36.
Advanced Micro Devices News Summary
Here are the key news stories impacting Advanced Micro Devices this week:
- Positive Sentiment: Institutional buying provides support. Migdal Insurance opened an estimated $134.2 million AMD position, while AGF Management increased its holding by approximately 554,209 shares, worth about $322 million. These additions suggest continued institutional interest in AMD’s long-term growth story. Fund Update: New $134.2M AMD stock position opened by Migdal Insurance & Financial Holdings Ltd.
- Positive Sentiment: AMD is expanding its AI-inference strategy. The planned acquisition of Taalas adds specialized inference-chip technology intended to improve performance and efficiency, potentially strengthening AMD’s position against Nvidia and Google. AMD also added support for Meta’s Muse Glimmer 30B model, expanding its local-AI ecosystem. Taalas Buyout Boosts AMD’s AI Inference Abilities Against Nvidia and Google
- Positive Sentiment: Analyst sentiment remains favorable. AMD’s average brokerage view is equivalent to a Buy or Moderate Buy, with several price targets well above recent trading levels, including targets of $550 to $700. Is Advanced Micro AMD a Buy as Wall Street Analysts Look Optimistic?
- Neutral Sentiment: Strong earnings have not translated into immediate buying. AMD exceeded quarterly earnings and revenue estimates, with revenue rising 50.1% year over year, but investors remain focused on whether future AI growth can justify the stock’s elevated valuation.
- Negative Sentiment: Free-cash-flow and valuation concerns are weighing on the shares. Recent coverage highlighted lower free cash flow compared with the prior quarter, while AMD trades at a high earnings multiple. The combination raises the bar for future results and increases sensitivity to profit-taking. Advanced Micro Devices Dips on Lower FCF
- Negative Sentiment: Persistent insider selling is a notable overhang. AMD insiders reportedly made 99 open-market sales and no purchases during the past six months, including substantial sales by CEO Lisa Su and other senior executives. This may reinforce concerns that some insiders view the recent valuation as attractive for taking profits.
Analyst Ratings Changes
AMD has been the subject of a number of research analyst reports. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $540.00 target price on shares of Advanced Micro Devices in a report on Wednesday, August 5th. Melius Research set a $660.00 price target on Advanced Micro Devices in a research note on Friday, July 24th. Wall Street Zen upgraded Advanced Micro Devices from a “hold” rating to a “buy” rating in a report on Monday, July 20th. Seaport Research Partners raised Advanced Micro Devices from a “neutral” rating to a “buy” rating and set a $430.00 price objective for the company in a research note on Wednesday, May 6th. Finally, Robert W. Baird set a $1,250.00 price objective on Advanced Micro Devices in a report on Friday, July 24th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-one have given a Buy rating, ten have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $546.87.
Advanced Micro Devices Stock Down 2.9%
The company has a debt-to-equity ratio of 0.03, a current ratio of 2.61 and a quick ratio of 1.91. The firm has a market capitalization of $766.54 billion, a price-to-earnings ratio of 120.71 and a beta of 2.48. The firm’s 50-day moving average price is $514.56 and its 200 day moving average price is $360.00.
Advanced Micro Devices (NASDAQ:AMD – Get Free Report) last announced its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 EPS for the quarter, beating analysts’ consensus estimates of $1.62 by $0.04. The firm had revenue of $11.54 billion for the quarter, compared to analysts’ expectations of $11.31 billion. Advanced Micro Devices had a return on equity of 12.30% and a net margin of 15.58%.Advanced Micro Devices’s quarterly revenue was up 50.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.48 EPS. Sell-side analysts expect that Advanced Micro Devices, Inc. will post 6.38 EPS for the current year.
Insider Activity
In other Advanced Micro Devices news, EVP Mark D. Papermaster sold 6,000 shares of the firm’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $536.33, for a total transaction of $3,217,980.00. Following the sale, the executive vice president directly owned 1,233,687 shares of the company’s stock, valued at $661,663,348.71. This trade represents a 0.48% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Nora Denzel sold 8,626 shares of Advanced Micro Devices stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $522.00, for a total transaction of $4,502,772.00. Following the sale, the director owned 87,173 shares of the company’s stock, valued at approximately $45,504,306. This trade represents a 9.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 285,934 shares of company stock valued at $130,353,006 over the last quarter. 0.50% of the stock is currently owned by company insiders.
Institutional Trading of Advanced Micro Devices
Hedge funds and other institutional investors have recently bought and sold shares of the company. Lcnb Corp acquired a new position in Advanced Micro Devices in the 2nd quarter valued at $497,000. Essential Partners LLC boosted its holdings in shares of Advanced Micro Devices by 21.3% during the second quarter. Essential Partners LLC now owns 729 shares of the semiconductor manufacturer’s stock worth $423,000 after purchasing an additional 128 shares during the last quarter. TPG Financial Advisors LLC acquired a new stake in shares of Advanced Micro Devices during the second quarter worth $200,000. Chancellor Financial Group WB LP grew its position in shares of Advanced Micro Devices by 9.2% in the second quarter. Chancellor Financial Group WB LP now owns 1,192 shares of the semiconductor manufacturer’s stock valued at $692,000 after purchasing an additional 100 shares during the period. Finally, Great Lakes Advisors LLC grew its position in shares of Advanced Micro Devices by 484.8% in the second quarter. Great Lakes Advisors LLC now owns 30,251 shares of the semiconductor manufacturer’s stock valued at $17,574,000 after purchasing an additional 25,078 shares during the period. 71.34% of the stock is owned by hedge funds and other institutional investors.
Advanced Micro Devices Company Profile
Advanced Micro Devices, Inc (NASDAQ: AMD) is a global semiconductor company that designs and sells microprocessors, graphics processors, chipsets and adaptive computing solutions for a broad set of markets. The company’s product portfolio includes consumer and commercial CPUs under the Ryzen and Threadripper brands, data center processors under the EPYC brand, and Radeon graphics processing units for gaming and professional visualization. AMD also offers semi-custom system-on-chip (SoC) products for gaming consoles and other specialized applications, and provides supporting software and platform technologies for OEMs, cloud service providers and end users.
Founded in 1969, AMD has evolved from a supplier of logic chips into a diversified, fabless semiconductor designer.
Read More
- Five stocks we like better than Advanced Micro Devices
- SoundHound AI Sends a Loud Signal After Its Q2 Earnings Beat
- 3 Dividend Champion Utilities for a Market That Can’t Sit Still
- These 3 Most-Upgraded Stocks Have Almost Nothing to Do With AI
- First Solar’s Profit Engine Faces a New Policy Test in Washington
Receive News & Ratings for Advanced Micro Devices Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Advanced Micro Devices and related companies with MarketBeat.com's FREE daily email newsletter.
