Advanced Micro Devices (NASDAQ:AMD) Stock Price Down 1.5% – Should You Sell?

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) dropped 1.5% during mid-day trading on Thursday. The stock traded as low as $530.09 and last traded at $562.23. Approximately 28,481,318 shares traded hands during mid-day trading, a decline of 12% from the average session volume of 32,273,617 shares. The stock had previously closed at $570.82.

More Advanced Micro Devices News

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

• Positive Sentiment: AMD’s Helion rack-scale architecture for agentic AI, developed with an open and modular design, could strengthen its position in data-center infrastructure and help narrow Nvidia’s AI inference advantage through software improvements. What Does Advanced Micro Devices AMD Helion Mean For Its AI Ambitions?
• Positive Sentiment: Analysts and industry commentary continue to point to strong AI accelerator, data-center processor and agentic-AI demand as long-term growth drivers for AMD. AMD is also viewed by some analysts as a potential beneficiary of expanding AI compute requirements. 3 AI Infrastructure Stocks to Buy Right Now and Hold for 10 Years
• Neutral Sentiment: AMD’s credit support for Fermi’s 222-megawatt Texas power lease may expand its exposure to AI data-center infrastructure, but Fermi still faces liquidity concerns and a pending TensorWave lease decision. AMD’s Support Could Help Fermi Stock Overcome Its Biggest Hurdle
• Negative Sentiment: Rising Treasury yields and borrowing costs are pressuring high-growth technology valuations. Investors are also worried that debt and financing-market stress could slow spending on massive AI data centers, prompting a broad semiconductor sell-off that has affected AMD, Nvidia, Intel and Micron despite strong underlying AI demand. Rate Pressure vs. AI Demand: Rising Treasury Yields Trigger Nvidia AMD Slump
• Negative Sentiment: After a substantial year-to-date rally, AMD’s premium valuation leaves the stock vulnerable to profit-taking and concerns about execution, supply constraints, competition and whether AI customers can generate adequate returns. Reports of extensive insider selling add another cautionary signal. Advanced Micro Devices Stock Surges 183% YTD: Time to Hold or Exit?

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. BMO Capital Markets initiated coverage on Advanced Micro Devices in a research note on Thursday, August 20th. They issued an “outperform” rating and a $550.00 price objective on the stock. Citigroup increased their target price on Advanced Micro Devices from $575.00 to $800.00 and gave the company a “buy” rating in a research report on Tuesday, October 6th. Robert W. Baird set a $1,250.00 target price on shares of Advanced Micro Devices in a report on Friday, July 24th. Wall Street Zen raised shares of Advanced Micro Devices from a “hold” rating to a “buy” rating in a report on Sunday, October 4th. Finally, Wells Fargo & Company boosted their price target on shares of Advanced Micro Devices from $615.00 to $700.00 and gave the stock an “overweight” rating in a research report on Wednesday, August 5th. Three research analysts have rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $603.51.

Advanced Micro Devices Stock Down 1.5%

The company has a debt-to-equity ratio of 0.03, a quick ratio of 1.91 and a current ratio of 2.61. The company has a market cap of $917.83 billion, a PE ratio of 144.53, a price-to-earnings-growth ratio of 6.26 and a beta of 2.45. The company has a fifty day moving average of $534.65 and a two-hundred day moving average of $469.28.

Advanced Micro Devices (NASDAQ:AMD) last released its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.62 by $0.04. The firm had revenue of $11.54 billion during the quarter, compared to analyst estimates of $11.31 billion. Advanced Micro Devices had a net margin of 15.58% and a return on equity of 12.30%. The business’s revenue was up 50.1% on a year-over-year basis. During the same quarter last year, the business earned $0.48 EPS. As a group, analysts anticipate that Advanced Micro Devices, Inc. will post 6.45 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, EVP Jean X. Hu sold 15,000 shares of the business’s stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $474.08, for a total transaction of $7,111,200.00. Following the completion of the sale, the executive vice president directly owned 160,979 shares of the company’s stock, valued at approximately $76,316,924.32. The trade was a 8.52% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Forrest Norrod sold 17,261 shares of the company’s stock in a transaction dated Tuesday, September 15th. The stock was sold at an average price of $503.05, for a total transaction of $8,683,146.05. Following the completion of the transaction, the executive vice president owned 363,317 shares in the company, valued at approximately $182,766,616.85. The trade was a 4.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 213,838 shares of company stock worth $105,533,836 over the last ninety days. Corporate insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Advanced Micro Devices

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Southpoint Capital Advisors LP lifted its stake in shares of Advanced Micro Devices by 50.0% in the first quarter. Southpoint Capital Advisors LP now owns 900,000 shares of the semiconductor manufacturer’s stock worth $183,087,000 after buying an additional 300,000 shares in the last quarter. Boomfish Wealth Group LLC purchased a new position in Advanced Micro Devices in the 1st quarter worth approximately $1,193,000. Dimensional Fund Advisors LP lifted its stake in Advanced Micro Devices by 6.0% in the 1st quarter. Dimensional Fund Advisors LP now owns 5,142,516 shares of the semiconductor manufacturer’s stock worth $1,045,954,000 after purchasing an additional 291,165 shares in the last quarter. Ferguson Wellman Capital Management Inc. boosted its holdings in shares of Advanced Micro Devices by 6,968.7% during the 3rd quarter. Ferguson Wellman Capital Management Inc. now owns 140,313 shares of the semiconductor manufacturer’s stock worth $85,995,000 after purchasing an additional 138,328 shares during the last quarter. Finally, Douglas Lane & Associates LLC boosted its holdings in shares of Advanced Micro Devices by 2,748.0% during the 3rd quarter. Douglas Lane & Associates LLC now owns 85,952 shares of the semiconductor manufacturer’s stock worth $52,582,000 after purchasing an additional 82,934 shares during the last quarter. 71.34% of the stock is owned by institutional investors.

About Advanced Micro Devices

Advanced Micro Devices, Inc (NASDAQ: AMD) is a semiconductor company that designs high-performance computing, graphics and adaptive computing products. Its offerings serve data centers, personal computers, gaming systems, embedded devices and other specialized markets.

AMD’s product portfolio includes Ryzen processors for desktop and notebook computers, EPYC server processors, Radeon graphics products, and Instinct accelerators designed for artificial intelligence and high-performance computing workloads.