Advanced Micro Devices (NASDAQ:AMD) Trading Down 4.9% – Here’s What Happened

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s stock price traded down 4.9% during trading on Wednesday . The company traded as low as $448.33 and last traded at $452.40. 27,199,139 shares were traded during mid-day trading, a decline of 29% from the average session volume of 38,366,398 shares. The stock had previously closed at $475.51.

Advanced Micro Devices News Roundup

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

• Positive Sentiment: AMD continues to benefit from strong AI infrastructure demand, with reports pointing to surging data center revenue, growing EPYC and Instinct adoption, and potential upside from agentic AI workloads. Article Title
• Positive Sentiment: Wall Street remains broadly bullish on AMD, with recent price-target hikes suggesting investors still see meaningful upside despite the stock’s sharp rally this year. Article Title
• Neutral Sentiment: Several articles framed AMD’s recent pullback as part of a sector-wide rotation and valuation reset, rather than a company-specific deterioration. Article Title
• Negative Sentiment: AMD was hit by a wider chip-sector selloff, with reports citing weakness in semiconductor names and renewed caution around AI stock valuations. Article Title
• Negative Sentiment: Sentiment also softened after AMD invested $350 million in TensorWave, which some investors view as a circular-financing style AI deal similar to Nvidia’s CoreWeave structure. Article Title
• Negative Sentiment: On top of the sector weakness, articles flagged concerns about sustainability of the AI boom and rising insider selling, both of which may be weighing on investor confidence. Article Title

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. Barclays lifted their price objective on shares of Advanced Micro Devices from $500.00 to $665.00 and gave the stock an “overweight” rating in a research note on Monday, June 1st. Bank of America lifted their price objective on shares of Advanced Micro Devices from $450.00 to $500.00 and gave the stock a “buy” rating in a research note on Wednesday, May 13th. Weiss Ratings raised shares of Advanced Micro Devices from a “hold (c)” rating to a “hold (c+)” rating in a research note on Wednesday, May 6th. JPMorgan Chase & Co. lifted their price objective on shares of Advanced Micro Devices from $270.00 to $385.00 and gave the stock a “neutral” rating in a research note on Wednesday, May 6th. Finally, Susquehanna lifted their price objective on shares of Advanced Micro Devices from $375.00 to $450.00 and gave the stock a “positive” rating in a research note on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, thirty have assigned a Buy rating and thirteen have given a Hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $419.86.

Advanced Micro Devices Stock Down 4.9%

The company’s fifty day moving average price is $369.56 and its 200-day moving average price is $268.77. The stock has a market cap of $737.68 billion, a P/E ratio of 148.33, a price-to-earnings-growth ratio of 1.44 and a beta of 2.50. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.96 and a current ratio of 2.72.

Advanced Micro Devices (NASDAQ:AMD) last released its earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.29 by $0.08. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The firm had revenue of $10.25 billion during the quarter, compared to analyst estimates of $9.90 billion. During the same quarter last year, the business earned $0.96 EPS. The business’s revenue was up 37.8% on a year-over-year basis. Equities analysts forecast that Advanced Micro Devices, Inc. will post 6.2 EPS for the current year.

Insider Activity at Advanced Micro Devices

In related news, Director Nora Denzel sold 8,626 shares of Advanced Micro Devices stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $522.00, for a total transaction of $4,502,772.00. Following the completion of the sale, the director owned 87,173 shares in the company, valued at $45,504,306. This trade represents a 9.00% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, EVP Mark D. Papermaster sold 31,320 shares of Advanced Micro Devices stock in a transaction dated Friday, April 24th. The shares were sold at an average price of $350.00, for a total transaction of $10,962,000.00. Following the sale, the executive vice president owned 1,236,037 shares of the company’s stock, valued at $432,612,950. The trade was a 2.47% 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 have sold a total of 332,032 shares of company stock worth $117,967,816 over the last ninety days. 0.50% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. Impax Asset Management Group plc grew its position in Advanced Micro Devices by 326.5% during the 3rd quarter. Impax Asset Management Group plc now owns 52,068 shares of the semiconductor manufacturer’s stock worth $8,424,000 after purchasing an additional 39,861 shares during the last quarter. Jefferies Financial Group Inc. lifted its stake in Advanced Micro Devices by 6,228.8% during the 4th quarter. Jefferies Financial Group Inc. now owns 308,021 shares of the semiconductor manufacturer’s stock valued at $65,966,000 after acquiring an additional 303,154 shares during the period. Williamson Legacy Group LLC acquired a new stake in Advanced Micro Devices during the 4th quarter valued at approximately $1,118,000. Thoroughbred Financial Services LLC lifted its stake in Advanced Micro Devices by 8.8% during the 4th quarter. Thoroughbred Financial Services LLC now owns 32,827 shares of the semiconductor manufacturer’s stock valued at $7,030,000 after acquiring an additional 2,654 shares during the period. Finally, Zweig DiMenna Associates LLC lifted its stake in Advanced Micro Devices by 127.6% during the 3rd quarter. Zweig DiMenna Associates LLC now owns 72,602 shares of the semiconductor manufacturer’s stock valued at $11,746,000 after acquiring an additional 40,708 shares during the period. Hedge funds and other institutional investors own 71.34% of the company’s stock.

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.