Advanced Micro Devices (NASDAQ:AMD) Trading Down 7.8% – Should You Sell?

Advanced Micro Devices, Inc. (NASDAQ:AMD) dropped 7.8% on Thursday . The company traded as low as $204.53 and last traded at $206.02. Approximately 65,005,403 shares were traded during trading, an increase of 30% from the average daily volume of 50,191,590 shares. The stock had previously closed at $223.55.

Analyst Ratings Changes

AMD has been the subject of several research reports. Dbs Bank raised Advanced Micro Devices from a “hold” rating to a “moderate buy” rating in a report on Monday, October 6th. Erste Group Bank downgraded Advanced Micro Devices from a “buy” rating to a “hold” rating in a report on Thursday, September 11th. Wall Street Zen raised shares of Advanced Micro Devices from a “hold” rating to a “buy” rating in a research report on Saturday, November 8th. Stifel Nicolaus raised their price target on shares of Advanced Micro Devices from $240.00 to $280.00 and gave the stock a “buy” rating in a research report on Wednesday, November 5th. Finally, CICC Research raised shares of Advanced Micro Devices from a “market perform” rating to an “outperform” rating and set a $265.00 price objective for the company in a report on Friday, November 7th. Three analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating and eleven have issued a Hold rating to the company’s stock. According to data from MarketBeat, Advanced Micro Devices presently has a consensus rating of “Moderate Buy” and a consensus target price of $278.54.

Advanced Micro Devices Price Performance

The company has a quick ratio of 1.81, a current ratio of 2.49 and a debt-to-equity ratio of 0.05. The stock has a market capitalization of $335.41 billion, a price-to-earnings ratio of 118.40, a P/E/G ratio of 2.42 and a beta of 1.92. The business’s 50 day simple moving average is $212.60 and its 200-day simple moving average is $166.99.

Advanced Micro Devices (NASDAQ:AMD) last issued its quarterly earnings results on Tuesday, November 4th. The semiconductor manufacturer reported $1.20 earnings per share for the quarter, topping analysts’ consensus estimates of $1.17 by $0.03. The company had revenue of $9.25 billion during the quarter, compared to the consensus estimate of $8.76 billion. Advanced Micro Devices had a net margin of 9.57% and a return on equity of 7.54%. The firm’s quarterly revenue was up 35.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.92 EPS. Advanced Micro Devices has set its Q4 2025 guidance at EPS. On average, research analysts forecast that Advanced Micro Devices, Inc. will post 3.87 earnings per share for the current year.

Insiders Place Their Bets

In related news, SVP Ava Hahn sold 2,868 shares of the company’s stock in a transaction on Monday, October 6th. The stock was sold at an average price of $226.01, for a total transaction of $648,196.68. Following the completion of the sale, the senior vice president directly owned 9,033 shares in the company, valued at $2,041,548.33. This represents a 24.10% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Forrest Eugene Norrod sold 2,250 shares of the firm’s stock in a transaction dated Wednesday, September 24th. The shares were sold at an average price of $165.01, for a total value of $371,272.50. Following the completion of the sale, the executive vice president directly owned 311,598 shares in the company, valued at $51,416,785.98. This trade represents a 0.72% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 39,118 shares of company stock worth $7,555,369 over the last three months. Insiders own 0.06% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in AMD. Ariadne Wealth Management LP acquired a new stake in shares of Advanced Micro Devices in the 3rd quarter valued at approximately $202,000. WBI Investments LLC bought a new position in Advanced Micro Devices in the 3rd quarter valued at approximately $419,000. Kensington Investment Counsel LLC boosted its position in Advanced Micro Devices by 9.1% in the third quarter. Kensington Investment Counsel LLC now owns 3,567 shares of the semiconductor manufacturer’s stock valued at $577,000 after buying an additional 298 shares in the last quarter. Centaurus Financial Inc. grew its stake in shares of Advanced Micro Devices by 12.4% during the third quarter. Centaurus Financial Inc. now owns 41,157 shares of the semiconductor manufacturer’s stock worth $6,659,000 after buying an additional 4,531 shares during the last quarter. Finally, First Affirmative Financial Network increased its holdings in shares of Advanced Micro Devices by 8.0% during the third quarter. First Affirmative Financial Network now owns 5,383 shares of the semiconductor manufacturer’s stock worth $871,000 after buying an additional 397 shares in the last quarter. Institutional investors own 71.34% of the company’s stock.

About Advanced Micro Devices

Advanced Micro Devices, Inc operates as a semiconductor company worldwide. It operates through Data Center, Client, Gaming, and Embedded segments. The company offers x86 microprocessors and graphics processing units (GPUs) as an accelerated processing unit, chipsets, data center, and professional GPUs; and embedded processors, and semi-custom system-on-chip (SoC) products, microprocessor and SoC development services and technology, data processing unites, field programmable gate arrays (FPGA), and adaptive SoC products.