Advanced Micro Devices (NASDAQ:AMD) Stock Price Down 6.1% – Should You Sell?

Advanced Micro Devices, Inc. (NASDAQ:AMD) dropped 6.1% during trading on Friday . The stock traded as low as $234.55 and last traded at $236.73. Approximately 39,471,101 shares were traded during mid-day trading, an increase of 4% from the average daily volume of 37,950,848 shares. The stock had previously closed at $252.18.

Advanced Micro Devices News Roundup

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

• Positive Sentiment: Wells Fargo reiterated an “overweight” rating and publicly pushed back on reports of MI?series delays, issuing a $345 price target — a clear buy?on?weakness signal that supports upside if delay fears fade. Wells Fargo refutes delay claims
• Positive Sentiment: High?profile endorsement: Jim Cramer lauded AMD’s execution and CEO performance, which can help sentiment and attract momentum buyers. Cramer praises AMD CEO
• Positive Sentiment: Analyst support: Susquehanna and other firms continue to highlight strengthening AI/data?center momentum and have reiterated Buy ratings with elevated targets (e.g., $300), bolstering medium?term upside expectations. Susquehanna reiterates Buy
• Neutral Sentiment: Microsoft signaled it will continue buying AI chips from vendors like AMD even as it rolls out its own silicon, which reduces a structural risk but is not an immediate revenue catalyst. Microsoft comment on AI chips
• Neutral Sentiment: Options flow and large trades show active positioning around earnings and product launches — useful for short?term volatility but not definitive on direction. Options activity on AMD
• Neutral Sentiment: Broader market lists (e.g., “5 Stocks to Buy in February”) include AMD as a momentum candidate, reflecting positive thematic support but not immediate price drivers. MarketBeat buy list
• Negative Sentiment: Conflicting reports (SemiAnalysis cited by multiple outlets) suggest potential delays to AMD’s MI?series AI accelerators; such timing uncertainty is the primary near?term catalyst for the share pullback. Reports of AI chip delays
• Negative Sentiment: Valuation concerns: several analysts/commentators argue AMD’s rally already prices in large AI/data?center wins and the stock looks expensive relative to near?term deliverables, prompting profit?taking. Valuation critique
• Negative Sentiment: Broad market weakness and sector rotation amplified the decline today — not unique to AMD but important for short?term downside pressure. Market sell-off context

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the company. Rosenblatt Securities reiterated a “buy” rating and issued a $300.00 price objective on shares of Advanced Micro Devices in a research report on Wednesday, November 12th. Barclays reiterated an “overweight” rating on shares of Advanced Micro Devices in a report on Wednesday, November 12th. KGI Securities set a $260.00 price objective on shares of Advanced Micro Devices and gave the stock an “outperform” rating in a report on Monday, October 13th. Susquehanna reaffirmed a “positive” rating and set a $300.00 target price on shares of Advanced Micro Devices in a research note on Friday, October 31st. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Advanced Micro Devices in a research report on Monday, December 29th. Two research analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and ten have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $281.06.

Advanced Micro Devices Trading Down 6.1%

The stock has a 50-day moving average of $220.82 and a two-hundred day moving average of $201.51. The company has a market cap of $385.41 billion, a P/E ratio of 117.19, a price-to-earnings-growth ratio of 1.05 and a beta of 1.95. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.68 and a current ratio of 2.31.

Advanced Micro Devices (NASDAQ:AMD) last released its earnings results on Tuesday, November 4th. The semiconductor manufacturer reported $1.20 EPS for the quarter, topping the consensus estimate of $1.17 by $0.03. Advanced Micro Devices had a return on equity of 8.04% and a net margin of 10.32%.The business had revenue of $9.25 billion for the quarter, compared to the consensus estimate of $8.76 billion. During the same period in the previous year, the company posted $0.92 earnings per share. The company’s revenue for the quarter was up 35.6% compared to the same quarter last year. On average, equities research analysts predict that Advanced Micro Devices, Inc. will post 3.87 earnings per share for the current year.

Insider Activity

In other Advanced Micro Devices news, SVP Ava Hahn sold 2,442 shares of the firm’s stock in a transaction dated Friday, January 16th. The shares were sold at an average price of $234.42, for a total transaction of $572,453.64. Following the completion of the sale, the senior vice president directly owned 16,359 shares in the company, valued at approximately $3,834,876.78. This trade represents a 12.99% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Forrest Eugene Norrod sold 19,450 shares of Advanced Micro Devices stock in a transaction dated Wednesday, November 19th. The stock was sold at an average price of $229.37, for a total transaction of $4,461,246.50. Following the completion of the transaction, the executive vice president directly owned 300,348 shares of the company’s stock, valued at $68,890,820.76. This trade represents a 6.08% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 164,000 shares of company stock valued at $36,034,173. Company insiders own 0.06% of the company’s stock.

Institutional Trading of Advanced Micro Devices

Several institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. grew its stake in shares of Advanced Micro Devices by 1.6% in the fourth quarter. Vanguard Group Inc. now owns 158,522,860 shares of the semiconductor manufacturer’s stock worth $33,949,256,000 after acquiring an additional 2,525,109 shares during the period. State Street Corp increased its position in Advanced Micro Devices by 2.4% in the third quarter. State Street Corp now owns 73,824,441 shares of the semiconductor manufacturer’s stock worth $11,944,056,000 after buying an additional 1,755,182 shares in the last quarter. Geode Capital Management LLC increased its holdings in Advanced Micro Devices by 1.4% in the 2nd quarter. Geode Capital Management LLC now owns 36,690,685 shares of the semiconductor manufacturer’s stock worth $5,181,556,000 after acquiring an additional 514,445 shares in the last quarter. Norges Bank purchased a new stake in shares of Advanced Micro Devices in the second quarter worth $3,094,662,000. Finally, Amundi increased its stake in Advanced Micro Devices by 17.5% in the 3rd quarter. Amundi now owns 13,486,227 shares of the semiconductor manufacturer’s stock worth $2,181,937,000 after buying an additional 2,012,865 shares in the last quarter. 71.34% of the stock is currently 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.