Advanced Micro Devices (NASDAQ:AMD) Stock Price Down 3% – Time to Sell?

Advanced Micro Devices, Inc. (NASDAQ:AMD) shares traded down 3% during trading on Tuesday . The stock traded as low as $437.23 and last traded at $475.51. 37,365,453 shares changed hands during trading, a decline of 3% from the average session volume of 38,462,297 shares. The stock had previously closed at $490.33.

Key Stories Impacting Advanced Micro Devices

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

• Positive Sentiment: AMD’s long-term AI narrative remains strong, with multiple articles highlighting continued demand for its data center products and the company’s role in AI infrastructure growth, including EPYC CPUs and Instinct GPUs. Article Title
• Positive Sentiment: AMD announced a £2 billion investment in the United Kingdom over five years to expand AI research, supercomputing, and workforce development, which could strengthen its ecosystem and deepen customer relationships. Article Title
• Positive Sentiment: Several recent analyst notes stayed constructive, with firms such as Mizuho, TD Cowen, Barclays, and Goldman Sachs maintaining bullish views and raising price targets, reinforcing optimism around AMD’s AI growth outlook. Article Title
• Neutral Sentiment: AMD also received attention for strategic partnerships with Imperial College London, Oriole Networks, and the University of Cambridge, which broaden its AI and scientific computing footprint but are unlikely to move the stock near term by themselves.
• Neutral Sentiment: Short-interest data showed no meaningful change in reported shares, so there is no clear evidence of a fresh bearish positioning shift from that update.
• Negative Sentiment: The main drag on AMD today is a broad semiconductor pullback, with articles noting chipmakers, including AMD, are falling as investors unwind a recent tech relief rally and reassess AI trade leadership. Article Title
• Negative Sentiment: Some market commentary emphasized that AMD remains expensive relative to peers and that hedge fund/ARK activity has included selling, which may be adding to near-term caution. Article Title

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Seaport Research Partners upgraded Advanced Micro Devices from a “neutral” rating to a “buy” rating and set a $430.00 price objective on the stock in a report on Wednesday, May 6th. Bank of America raised their price objective on Advanced Micro Devices from $450.00 to $500.00 and gave the stock a “buy” rating in a report on Wednesday, May 13th. TD Cowen raised their price objective on Advanced Micro Devices from $500.00 to $600.00 and gave the stock a “buy” rating in a report on Monday, June 1st. Rosenblatt Securities raised their price objective on Advanced Micro Devices from $300.00 to $490.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Finally, The Goldman Sachs Group upgraded Advanced Micro Devices from a “neutral” rating to a “buy” rating and lifted their price target for the company from $240.00 to $450.00 in a report on Wednesday, May 6th. One analyst has rated the stock with a Strong Buy rating, thirty have issued a Buy rating and thirteen have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $419.86.

Advanced Micro Devices Trading Down 3.0%

The stock has a 50-day simple moving average of $364.09 and a 200 day simple moving average of $266.99. The company has a current ratio of 2.72, a quick ratio of 1.96 and a debt-to-equity ratio of 0.04. The company has a market cap of $775.37 billion, a price-to-earnings ratio of 155.91, a PEG ratio of 1.37 and a beta of 2.50.

Advanced Micro Devices (NASDAQ:AMD) last issued its quarterly earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, topping analysts’ consensus estimates 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 during the quarter, compared to analysts’ expectations of $9.90 billion. During the same quarter in the previous year, the firm posted $0.96 EPS. The firm’s revenue was up 37.8% compared to the same quarter last year. As a group, equities research analysts predict that Advanced Micro Devices, Inc. will post 6.2 EPS for the current fiscal year.

Insider Activity at Advanced Micro Devices

In other Advanced Micro Devices news, EVP Paul Darren Grasby sold 24,376 shares of Advanced Micro Devices stock in a transaction dated Friday, May 8th. The stock was sold at an average price of $444.39, for a total transaction of $10,832,450.64. Following the completion of the sale, the executive vice president owned 105,222 shares of the company’s stock, valued at approximately $46,759,604.58. The trade was a 18.81% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Lisa T. Su sold 125,000 shares of Advanced Micro Devices stock in a transaction dated 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 represents a 3.97% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 339,532 shares of company stock worth $119,504,341 in the last quarter. 0.50% of the stock is owned by insiders.

Hedge Funds Weigh In On Advanced Micro Devices

Several institutional investors and hedge funds have recently modified their holdings of AMD. Impax Asset Management Group plc lifted its position in Advanced Micro Devices by 326.5% in the third quarter. Impax Asset Management Group plc now owns 52,068 shares of the semiconductor manufacturer’s stock valued at $8,424,000 after purchasing an additional 39,861 shares during the period. Jefferies Financial Group Inc. lifted its position in Advanced Micro Devices by 6,228.8% in the fourth quarter. Jefferies Financial Group Inc. now owns 308,021 shares of the semiconductor manufacturer’s stock valued at $65,966,000 after purchasing an additional 303,154 shares during the period. Williamson Legacy Group LLC acquired a new stake in Advanced Micro Devices in the fourth quarter valued at about $1,118,000. Thoroughbred Financial Services LLC lifted its position in Advanced Micro Devices by 8.8% in the fourth quarter. Thoroughbred Financial Services LLC now owns 32,827 shares of the semiconductor manufacturer’s stock valued at $7,030,000 after purchasing an additional 2,654 shares during the period. Finally, Zweig DiMenna Associates LLC lifted its position in Advanced Micro Devices by 127.6% in the third quarter. Zweig DiMenna Associates LLC now owns 72,602 shares of the semiconductor manufacturer’s stock valued at $11,746,000 after purchasing an additional 40,708 shares during the period. Institutional investors and hedge funds 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.