Advanced Micro Devices (NASDAQ:AMD) Shares Down 2.3% - What's Next?

Key Points

• AMD shares fell 2.3% on Thursday, trading as low as $525 before ending at $539.69, below the prior close of $552.33. Trading volume was also lighter than usual, coming in 27% below the daily average.
• The company is drawing attention for a series of major AI partnerships and product announcements, including a landmark deal with Anthropic for up to 2GW of GPU deployments and new Helios, EPYC, and Instinct offerings aimed at expanding its AI infrastructure footprint.
• Despite the recent pullback, Wall Street remains broadly bullish on AMD, with multiple analysts raising price targets and the stock carrying a consensus “Moderate Buy” rating. AMD also recently beat quarterly earnings and revenue expectations, though some investors remain wary of its elevated valuation and the delay before these AI deals translate into meaningful revenue.

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) fell 2.3% on Thursday . The company traded as low as $525.00 and last traded at $539.69. 26,531,943 shares were traded during mid-day trading, a decline of 27% from the average session volume of 36,415,051 shares. The stock had previously closed at $552.33.

Advanced Micro Devices News Summary

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

• Positive Sentiment: AMD secured a landmark AI partnership with Anthropic, including up to 2GW of future GPU deployments, which could materially expand data center revenue and strengthen AMD’s position versus Nvidia. Article Title
• Positive Sentiment: AMD expanded its AI push at Advancing AI 2026, unveiling Helios rack-scale systems, new EPYC CPUs, and Instinct MI400-series GPUs, signaling a broader full-stack AI strategy. Article Title
• Positive Sentiment: AMD announced additional AI ecosystem wins, including partnerships with Cerebras, Schneider Electric, Vultr, Liqid, and others, reinforcing demand for its Helios and Instinct platforms. Article Title
• Neutral Sentiment: The Cerebras partnership could improve AMD’s AI inference story by combining Helios with Cerebras’ wafer-scale engine, but the first availability is still later in 2026. Article Title
• Negative Sentiment: Some articles note AMD’s elevated valuation and the long wait for revenue from these deals, which can weigh on shares if investors want faster near-term monetization. Article Title

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on AMD shares. Wall Street Zen raised shares of Advanced Micro Devices from a "hold" rating to a "buy" rating in a research note on Monday. Bank of America lifted their price objective on shares of Advanced Micro Devices from $550.00 to $620.00 and gave the company a "buy" rating in a report on Tuesday, July 14th. TD Cowen boosted their price objective on shares of Advanced Micro Devices from $600.00 to $675.00 and gave the company a "buy" rating in a research report on Monday, July 13th. Rosenblatt Securities upped their target price on shares of Advanced Micro Devices from $300.00 to $490.00 and gave the stock a "buy" rating in a research note on Wednesday, May 6th. Finally, Roth Capital reaffirmed a "buy" rating and set a $500.00 target price on shares of Advanced Micro Devices in a research report on Wednesday, May 6th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Advanced Micro Devices has a consensus rating of "Moderate Buy" and a consensus target price of $474.05.

Advanced Micro Devices Stock Performance

The stock has a market cap of $880.02 billion, a PE ratio of 176.95, a price-to-earnings-growth ratio of 1.58 and a beta of 2.47. The company has a quick ratio of 1.96, a current ratio of 2.72 and a debt-to-equity ratio of 0.04. The firm has a 50 day moving average price of $508.85 and a 200 day moving average price of $337.19.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share 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 firm had revenue of $10.25 billion during the quarter, compared to the consensus estimate of $9.90 billion. During the same period in the previous year, the company posted $0.96 earnings per share. The firm's quarterly revenue was up 37.8% on a year-over-year basis. As a group, research analysts forecast that Advanced Micro Devices, Inc. will post 6.25 earnings per share for the current year.

Insiders Place Their Bets

In other news, EVP Forrest Eugene Norrod sold 19,487 shares of the company'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 sale, the executive vice president owned 324,527 shares of the company's stock, valued at approximately $140,000,947.80. This represents a 5.66% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Mark D. Papermaster sold 6,000 shares of the company's stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $536.33, for a total transaction of $3,217,980.00. Following the completion of the sale, the executive vice president directly owned 1,233,687 shares of the company's stock, valued at $661,663,348.71. The trade was a 0.48% 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. In the last 90 days, insiders have sold 341,630 shares of company stock worth $152,147,456. 0.50% of the stock is owned by corporate insiders.

Institutional Trading of Advanced Micro Devices

Several hedge funds and other institutional investors have recently bought and sold shares of AMD. Brighton Jones LLC lifted its position in shares of Advanced Micro Devices by 178.2% during the fourth quarter. Brighton Jones LLC now owns 45,956 shares of the semiconductor manufacturer's stock valued at $5,551,000 after buying an additional 29,438 shares during the last quarter. Revolve Wealth Partners LLC boosted its holdings in shares of Advanced Micro Devices by 2.9% in the 4th quarter. Revolve Wealth Partners LLC now owns 8,283 shares of the semiconductor manufacturer's stock valued at $1,001,000 after buying an additional 234 shares in the last quarter. Sivia Capital Partners LLC grew its position in shares of Advanced Micro Devices by 125.1% in the 2nd quarter. Sivia Capital Partners LLC now owns 5,344 shares of the semiconductor manufacturer's stock worth $758,000 after buying an additional 2,970 shares during the last quarter. United Bank grew its position in shares of Advanced Micro Devices by 22.0% in the 2nd quarter. United Bank now owns 13,255 shares of the semiconductor manufacturer's stock worth $1,881,000 after buying an additional 2,392 shares during the last quarter. Finally, Schnieders Capital Management LLC. raised its stake in shares of Advanced Micro Devices by 361.0% during the 2nd quarter. Schnieders Capital Management LLC. now owns 9,230 shares of the semiconductor manufacturer's stock worth $1,310,000 after acquiring an additional 7,228 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.

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