Advanced Micro Devices (NASDAQ:AMD) Trading 1.1% Higher – Still a Buy?

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s stock price traded up 1.1% during mid-day trading on Monday . The stock traded as high as $475.81 and last traded at $470.72. Approximately 12,237,515 shares changed hands during trading, a decline of 64% from the average session volume of 34,427,598 shares. The stock had previously closed at $465.58.

More Advanced Micro Devices News

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

• Positive Sentiment: AMD, Cisco and Saudi Arabian AI company HUMAIN have brought production AI infrastructure online in Saudi Arabia. The platform uses AMD Instinct MI355X GPUs, AMD EPYC CPUs and Cisco Silicon One networking, giving AMD a live international deployment and potentially strengthening its position in enterprise and sovereign AI markets. AMD, Cisco and HUMAIN Expand Saudi Arabia’s AI Infrastructure as AMD Instinct Systems Go Live
• Positive Sentiment: The partners plan to deploy up to 250 megawatts of additional AI infrastructure beginning in 2027, with broader plans reportedly targeting as much as 1 gigawatt by 2030. These commitments could create a meaningful long-term opportunity for AMD’s GPU and CPU businesses. AMD Expands Global AI Footprint With New Saudi Platform
• Positive Sentiment: Recent coverage also points to new AI infrastructure and supercomputer collaborations, helping reinforce investor expectations that AMD can capture a larger share of the rapidly growing AI-computing market. AMD Stock Rises on New AI Infrastructure and Supercomputer Collaborations
• Neutral Sentiment: Wall Street Zen reportedly upgraded AMD’s stock rating, providing a modest sentiment boost, though the available report does not specify the revised rating or investment rationale. Advanced Micro Devices Stock Rating Upgraded by Wall Street Zen
• Negative Sentiment: ARK Invest sold approximately $74.5 million of AMD shares while increasing positions in Nvidia and Broadcom. The transaction may weigh on sentiment and highlights competition for investor capital within the AI-chip sector. Cathie Wood Sells AMD Stock and Buys Nvidia and Broadcom
• Negative Sentiment: Potential U.S. tariffs on imported semiconductors and components could raise AMD’s supply-chain and manufacturing costs, adding regulatory and trade-policy uncertainty. Advanced Micro Devices Is Exposed to Proposed U.S. Chip Tariffs
• Negative Sentiment: Analysts also caution that Nvidia’s newer chip products are growing rapidly, potentially intensifying pressure on AMD as it competes for AI accelerator demand. Nvidia Just Delivered Bad News for AMD and Intel

Analysts Set New Price Targets

Several equities research analysts have recently commented on AMD shares. Evercore reiterated an “outperform” rating and set a $579.00 price target on shares of Advanced Micro Devices in a research report on Tuesday, May 19th. Mizuho raised their target price on shares of Advanced Micro Devices from $615.00 to $625.00 and gave the stock an “outperform” rating in a report on Monday, July 27th. Sanford C. Bernstein reaffirmed an “outperform” rating and set a $650.00 price objective on shares of Advanced Micro Devices in a research report on Wednesday, August 5th. Wolfe Research set a $450.00 target price on shares of Advanced Micro Devices and gave the company an “outperform” rating in a research report on Monday, June 15th. Finally, 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 research note on Wednesday, May 6th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $553.72.

Advanced Micro Devices Price Performance

The firm has a market cap of $768.44 billion, a P/E ratio of 121.01 and a beta of 2.48. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.61 and a quick ratio of 1.91. The company’s 50-day moving average is $505.66 and its two-hundred day moving average is $385.61.

Advanced Micro Devices (NASDAQ:AMD) last released its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 EPS for the quarter, beating the consensus estimate of $1.62 by $0.04. Advanced Micro Devices had a net margin of 15.58% and a return on equity of 12.30%. The firm had revenue of $11.54 billion for the quarter, compared to analyst estimates of $11.31 billion. During the same period last year, the firm earned $0.48 EPS. The business’s quarterly revenue was up 50.1% compared to the same quarter last year. Sell-side analysts anticipate that Advanced Micro Devices, Inc. will post 6.44 EPS for the current fiscal year.

Insider Buying and Selling at Advanced Micro Devices

In other news, EVP Jean X. Hu sold 15,000 shares of the business’s stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $474.08, for a total transaction of $7,111,200.00. Following the completion of the transaction, the executive vice president 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 position. The transaction was disclosed in a filing 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 Paul Darren Grasby sold 15,000 shares of the company’s stock in a transaction on Monday, August 17th. The stock was sold at an average price of $514.91, for a total value of $7,723,650.00. Following the sale, the executive vice president owned 117,687 shares of the company’s stock, valued at approximately $60,598,213.17. This represents a 11.30% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 241,203 shares of company stock valued at $114,011,942. 0.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. First National Bank of Hutchinson grew its holdings in shares of Advanced Micro Devices by 0.4% during the second quarter. First National Bank of Hutchinson now owns 5,639 shares of the semiconductor manufacturer’s stock worth $3,276,000 after purchasing an additional 22 shares in the last quarter. Delta Asset Management LLC TN raised its stake in Advanced Micro Devices by 1.5% in the second quarter. Delta Asset Management LLC TN now owns 1,497 shares of the semiconductor manufacturer’s stock valued at $870,000 after purchasing an additional 22 shares in the last quarter. Park Place Capital Corp raised its stake in Advanced Micro Devices by 19.5% in the second quarter. Park Place Capital Corp now owns 141 shares of the semiconductor manufacturer’s stock valued at $82,000 after purchasing an additional 23 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd lifted its position in Advanced Micro Devices by 12.8% during the first quarter. Clal Insurance Enterprises Holdings Ltd now owns 212 shares of the semiconductor manufacturer’s stock valued at $43,000 after purchasing an additional 24 shares during the last quarter. Finally, Round Rock Advisors LLC grew its stake in Advanced Micro Devices by 2.3% in the 2nd quarter. Round Rock Advisors LLC now owns 1,048 shares of the semiconductor manufacturer’s stock worth $609,000 after buying an additional 24 shares in the last quarter. 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.