Advanced Micro Devices (NASDAQ:AMD) Trading 2.7% Higher – Here’s What Happened

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s share price was up 2.7% on Monday . The company traded as high as $562.99 and last traded at $551.63. Approximately 25,219,908 shares traded hands during mid-day trading, a decline of 34% from the average session volume of 37,951,813 shares. The stock had previously closed at $537.37.

Key Advanced Micro Devices News

Here are the key news stories impacting Advanced Micro Devices this week:

• Positive Sentiment: UBS raised its price target on AMD to $670 from $455, signaling continued optimism about the company’s AI and data center growth prospects. AMD Stock Is Trending: What's Happening Today?
• Positive Sentiment: Gartner said AMD is the “company to beat for enterprise AI server CPUs,” reinforcing the view that AMD is gaining share in a high-growth market. Gartner Says AMD Is the ‘Company to Beat for Enterprise AI Server CPUs’
• Positive Sentiment: Bernstein upgraded AMD and argued AI remains the key growth driver for semiconductors, adding to the string of bullish analyst revisions. Bernstein Analyst Calls NVDA and AVGO “Absurdly Cheap,” Upgrades AMD, Stays Cautious on QCOM
• Positive Sentiment: AMD continues to benefit from AI infrastructure demand, with recent articles highlighting its expanding role in data centers, memory optimization, and enterprise CPUs. Arm Stock Isn’t Immune to the Tech Selloff. Wall Street Still Sees Big Upside.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on the company. Evercore reiterated an “outperform” rating and issued a $579.00 price target on shares of Advanced Micro Devices in a research note on Tuesday, May 19th. DA Davidson raised their price target on shares of Advanced Micro Devices from $375.00 to $425.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Bank of America lifted their price objective on shares of Advanced Micro Devices from $500.00 to $560.00 and gave the stock a “buy” rating in a research note on Thursday, June 11th. Morgan Stanley raised their target price on Advanced Micro Devices from $360.00 to $410.00 and gave the stock an “equal weight” rating in a research note on Wednesday, May 6th. Finally, The Goldman Sachs Group raised Advanced Micro Devices from a “buy” rating to a “buy” rating in a research report on Friday, June 12th. Two analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Advanced Micro Devices has an average rating of “Moderate Buy” and an average target price of $440.41.

Advanced Micro Devices Stock Down 0.3%

The company has a market capitalization of $845.55 billion, a price-to-earnings ratio of 170.02, a P/E/G ratio of 1.63 and a beta of 2.50. The business’s 50-day moving average is $428.95 and its 200-day moving average is $290.18. The company has a quick ratio of 1.96, a current ratio of 2.72 and a debt-to-equity ratio of 0.04.

Advanced Micro Devices (NASDAQ:AMD) last posted its quarterly earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, beating the consensus estimate of $1.29 by $0.08. The company had revenue of $10.25 billion for the quarter, compared to analyst estimates of $9.90 billion. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The firm’s revenue was up 37.8% on a year-over-year basis. During the same period in the prior year, the company earned $0.96 earnings per share. As a group, equities analysts predict that Advanced Micro Devices, Inc. will post 6.15 earnings per share for the current year.

Insider Transactions at Advanced Micro Devices

In related news, EVP Mark D. Papermaster sold 6,000 shares of the firm’s stock in a transaction dated Monday, June 15th. The stock was 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 ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Lisa T. Su sold 125,000 shares of Advanced Micro Devices stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $460.69, for a total value of $57,586,250.00. Following the transaction, the chief executive officer owned 2,896,899 shares of the company’s stock, valued at approximately $1,334,572,400.31. This represents a 4.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 378,032 shares of company stock valued at $161,876,596. 0.50% of the stock is owned by insiders.

Hedge Funds Weigh In On Advanced Micro Devices

Several institutional investors have recently made changes to their positions in AMD. Jefferies Financial Group Inc. raised its holdings in Advanced Micro Devices by 6,228.8% in the 4th quarter. Jefferies Financial Group Inc. now owns 308,021 shares of the semiconductor manufacturer’s stock valued at $65,966,000 after buying an additional 303,154 shares during the period. Williamson Legacy Group LLC purchased a new position in Advanced Micro Devices during the fourth quarter worth about $1,118,000. Thoroughbred Financial Services LLC boosted its stake in Advanced Micro Devices by 8.8% during the fourth quarter. Thoroughbred Financial Services LLC now owns 32,827 shares of the semiconductor manufacturer’s stock worth $7,030,000 after buying an additional 2,654 shares during the period. Valtinson Bruner Financial Planning LLC acquired a new stake in shares of Advanced Micro Devices during the fourth quarter valued at about $1,523,000. Finally, Weaver Consulting Group acquired a new stake in shares of Advanced Micro Devices during the fourth quarter valued at about $246,000. 71.34% of the stock is owned by hedge funds and other institutional investors.

About Advanced Micro Devices

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.