Advanced Micro Devices (NASDAQ:AMD) Trading Down 1.2% – What’s Next?

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) traded down 1.2% on Monday . The company traded as low as $486.80 and last traded at $510.13. 33,115,383 shares changed hands during mid-day trading, a decline of 15% from the average session volume of 38,836,207 shares. The stock had previously closed at $516.10.

Advanced Micro Devices News Summary

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

• Positive Sentiment: new Ryzen X3D gaming chips and extended AM5 platform support through 2029, which support its client-chip roadmap. What's Going On With AMD Stock Monday?
• Positive Sentiment: raised price target from Mizuho to $615, signaling continued Wall Street confidence in upside from current levels. Benzinga / The Fly report
• Positive Sentiment: ongoing ramp of its Venice EPYC server processor and broader AI data center buildout, which support the bullish long-term growth narrative. Advanced Micro Devices Inc (AMD) Starts Venice EPYC Processor Production Ramp
• Positive Sentiment: major commitment to more than $10 billion for AI infrastructure in Taiwan, reinforcing its long-term AI hardware ambitions. AMD Taiwan AI Bet Tests Long Term Data Center Ambitions
• Neutral Sentiment: stock commentary noting AMD is still viewed as a hold near record highs, suggesting momentum is strong but much of the optimism may already be priced in. AMD Nearing 52-Week High: Buy, Sell or Hold?
• Negative Sentiment: Nvidia’s RTX Spark launch raised competitive pressure in PC chips and contributed to the day’s slide in AMD shares. Nvidia Just Derailed the Chip Rally. Intel, AMD Are Falling Sharply.
• Negative Sentiment: new U.S. export restrictions on advanced AI chips add regulatory uncertainty for AMD’s China-related sales opportunities. Nvidia and AMD face new export limits on China subsidiaries

Wall Street Analysts Forecast Growth

Several analysts recently commented on the company. Mizuho raised their target price on Advanced Micro Devices from $515.00 to $615.00 and gave the stock an “outperform” rating in a report on Monday. Susquehanna raised their target price on Advanced Micro Devices from $375.00 to $450.00 and gave the stock a “positive” rating in a report on Wednesday, May 6th. Cantor Fitzgerald raised their target price on Advanced Micro Devices to $500.00 and gave the stock an “overweight” rating in a report on Wednesday, May 6th. Benchmark raised their target price on Advanced Micro Devices from $325.00 to $485.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Finally, DA Davidson raised their target price on Advanced Micro Devices from $375.00 to $425.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Two research analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating and twelve have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Advanced Micro Devices presently has an average rating of “Moderate Buy” and a consensus price target of $419.86.

Advanced Micro Devices Stock Performance

The company has a debt-to-equity ratio of 0.04, a current ratio of 2.72 and a quick ratio of 1.96. The firm has a fifty day simple moving average of $327.78 and a 200 day simple moving average of $255.78. The company has a market capitalization of $831.82 billion, a price-to-earnings ratio of 167.26, a price-to-earnings-growth ratio of 1.52 and a beta of 2.50.

Advanced Micro Devices (NASDAQ:AMD) last issued its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, beating the consensus estimate of $1.29 by $0.08. Advanced Micro Devices had a return on equity of 9.55% and a net margin of 13.37%.The company had revenue of $10.25 billion for the quarter, compared to analyst estimates of $9.90 billion. During the same period last year, the company earned $0.96 earnings per share. Advanced Micro Devices’s quarterly revenue was up 37.8% compared to the same quarter last year. On average, analysts anticipate that Advanced Micro Devices, Inc. will post 6.2 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Advanced Micro Devices news, CEO Lisa T. Su sold 125,000 shares of the firm’s stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $445.51, for a total value of $55,688,750.00. Following the sale, the chief executive officer directly owned 3,021,899 shares of the company’s stock, valued at approximately $1,346,286,223.49. This trade represents a 3.97% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Forrest Eugene Norrod sold 19,487 shares of the firm’s stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $431.40, for a total value of $8,406,691.80. Following the completion of the transaction, the executive vice president owned 324,527 shares in the company, valued at approximately $140,000,947.80. This trade represents a 5.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 329,085 shares of company stock valued at $114,051,007 in the last three months. 0.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Advanced Micro Devices

Hedge funds and other institutional investors have recently made changes to their positions in the company. Joseph Group Capital Management purchased a new position in shares of Advanced Micro Devices in the fourth quarter valued at approximately $25,000. Cornerstone Financial Management LLC purchased a new position in shares of Advanced Micro Devices in the fourth quarter valued at approximately $27,000. Sarver Vrooman Wealth Advisors purchased a new position in shares of Advanced Micro Devices in the fourth quarter valued at approximately $27,000. Basepoint Wealth LLC purchased a new position in Advanced Micro Devices during the fourth quarter worth approximately $30,000. Finally, Graney & King LLC purchased a new position in Advanced Micro Devices during the first quarter worth approximately $31,000. Hedge funds and other institutional investors own 71.34% of the company’s stock.

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.