Advanced Micro Devices (NASDAQ:AMD) Reaches New 12-Month High - Here's Why

Key Points

• Advanced Micro Devices' (AMD) stock reached a new 52-week high of $240.48 during trading, closing at $238.67 with over 18 million shares exchanged.
• Multiple analysts have expressed strong optimism for AMD, with price targets raised significantly—Mizuho setting theirs at $275.00 and Roth Capital at $250.00, indicating a broad expectation of continued growth.
• Despite posting earnings of $0.48 per share, which missed estimates, AMD saw revenue increase by 31.7% year-over-year, suggesting robust demand despite challenges in earnings expectations.

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) hit a new 52-week high during trading on Thursday . The stock traded as high as $240.48 and last traded at $238.67, with a volume of 18087803 shares traded. The stock had previously closed at $238.60.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the stock. Roth Capital set a $250.00 price target on shares of Advanced Micro Devices and gave the stock a "buy" rating in a research report on Monday, October 6th. Mizuho upped their price target on shares of Advanced Micro Devices from $205.00 to $275.00 and gave the stock an "outperform" rating in a research report on Monday. Rosenblatt Securities upped their price target on shares of Advanced Micro Devices from $200.00 to $250.00 and gave the stock a "buy" rating in a research report on Tuesday, October 7th. Truist Financial reaffirmed a "buy" rating and set a $273.00 price target (up previously from $213.00) on shares of Advanced Micro Devices in a research report on Tuesday, October 7th. Finally, Melius raised shares of Advanced Micro Devices from a "hold" rating to a "buy" rating and set a $175.00 price target for the company in a research report on Monday, June 23rd. Three analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $231.00.

Advanced Micro Devices Stock Down 0.2%

The firm's 50-day moving average price is $173.51 and its 200-day moving average price is $139.66. The company has a market cap of $386.57 billion, a price-to-earnings ratio of 137.08, a price-to-earnings-growth ratio of 2.56 and a beta of 1.90. The company has a debt-to-equity ratio of 0.05, a current ratio of 2.49 and a quick ratio of 1.81.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last announced its earnings results on Tuesday, August 5th. The semiconductor manufacturer reported $0.48 earnings per share for the quarter, missing the consensus estimate of $0.54 by ($0.06). The firm had revenue of $7.69 billion during the quarter, compared to analysts' expectations of $7.41 billion. Advanced Micro Devices had a net margin of 9.57% and a return on equity of 7.54%. Advanced Micro Devices's revenue for the quarter was up 31.7% compared to the same quarter last year. During the same quarter last year, the company posted $0.69 earnings per share. Advanced Micro Devices has set its Q3 2025 guidance at EPS. Sell-side analysts forecast that Advanced Micro Devices, Inc. will post 3.87 earnings per share for the current fiscal year.

Insider Activity

In other news, EVP Paul Darren Grasby sold 10,000 shares of the company's stock in a transaction on Tuesday, August 12th. The shares were sold at an average price of $173.21, for a total value of $1,732,100.00. Following the completion of the transaction, the executive vice president directly owned 125,505 shares in the company, valued at approximately $21,738,721.05. This represents a 7.38% 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. Also, EVP Forrest Eugene Norrod sold 17,200 shares of the company's stock in a transaction on Wednesday, September 10th. The shares were sold at an average price of $160.93, for a total transaction of $2,767,996.00. Following the completion of the transaction, the executive vice president owned 313,848 shares of the company's stock, valued at $50,507,558.64. This trade represents a 5.20% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 257,318 shares of company stock valued at $42,412,815 over the last ninety days. 0.06% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. HBK Sorce Advisory LLC boosted its stake in Advanced Micro Devices by 0.3% during the 3rd quarter. HBK Sorce Advisory LLC now owns 13,404 shares of the semiconductor manufacturer's stock valued at $2,169,000 after acquiring an additional 43 shares during the last quarter. Syntegra Private Wealth Group LLC raised its holdings in shares of Advanced Micro Devices by 2.7% during the third quarter. Syntegra Private Wealth Group LLC now owns 3,026 shares of the semiconductor manufacturer's stock worth $490,000 after purchasing an additional 80 shares during the period. Blue Trust Inc. raised its holdings in shares of Advanced Micro Devices by 69.5% during the third quarter. Blue Trust Inc. now owns 9,236 shares of the semiconductor manufacturer's stock worth $1,494,000 after purchasing an additional 3,786 shares during the period. Avanza Fonder AB raised its holdings in shares of Advanced Micro Devices by 14.2% during the third quarter. Avanza Fonder AB now owns 162,675 shares of the semiconductor manufacturer's stock worth $26,319,000 after purchasing an additional 20,166 shares during the period. Finally, Whitaker Myers Wealth Managers LTD. raised its holdings in shares of Advanced Micro Devices by 195.7% during the third quarter. Whitaker Myers Wealth Managers LTD. now owns 14,496 shares of the semiconductor manufacturer's stock worth $2,345,000 after purchasing an additional 9,594 shares during the period. 71.34% of the stock is currently owned by institutional investors.

About Advanced Micro Devices

Advanced Micro Devices, Inc operates as a semiconductor company worldwide. It operates through Data Center, Client, Gaming, and Embedded segments. The company offers x86 microprocessors and graphics processing units (GPUs) as an accelerated processing unit, chipsets, data center, and professional GPUs; and embedded processors, and semi-custom system-on-chip (SoC) products, microprocessor and SoC development services and technology, data processing unites, field programmable gate arrays (FPGA), and adaptive SoC products.

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