Advanced Micro Devices (NASDAQ:AMD) Shares Up 23.7% Following Analyst Upgrade

Key Points

• Advanced Micro Devices (AMD) shares surged by 23.7% following an analyst upgrade from Benchmark, raising the price target from $210 to $270 and maintaining a buy rating.
• Despite strong trading activity, AMD reported $0.48 earnings per share for the last quarter, missing estimates, but achieved a year-over-year revenue increase of 31.7%.
• Insider activity included substantial stock sales, with 272,448 shares sold by company insiders valued at approximately $44.55 million over the last three months.

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report)'s share price shot up 23.7% on Monday after Benchmark raised their price target on the stock from $210.00 to $270.00. Benchmark currently has a buy rating on the stock. Advanced Micro Devices traded as high as $226.71 and last traded at $203.71. 246,398,728 shares were traded during mid-day trading, an increase of 419% from the average session volume of 47,439,453 shares. The stock had previously closed at $164.67.

A number of other equities analysts have also commented on AMD. The Goldman Sachs Group raised shares of Advanced Micro Devices to a "hold" rating and set a $140.00 target price on the stock in a research report on Thursday, July 10th. Stifel Nicolaus lifted their target price on Advanced Micro Devices from $161.00 to $190.00 and gave the company a "buy" rating in a research report on Wednesday, August 6th. Piper Sandler increased their price target on Advanced Micro Devices from $140.00 to $190.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 6th. Hsbc Global Res upgraded Advanced Micro Devices from a "hold" rating to a "strong-buy" rating in a report on Thursday, July 10th. Finally, Weiss Ratings reiterated a "hold (c-)" rating on shares of Advanced Micro Devices in a report on Saturday, September 27th. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating, fourteen have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Advanced Micro Devices presently has a consensus rating of "Moderate Buy" and an average target price of $188.76.

Insider Activity

In other news, EVP Forrest Eugene Norrod sold 17,200 shares of the company's stock in a transaction on Wednesday, September 10th. The stock was sold at an average price of $160.93, for a total transaction of $2,767,996.00. Following the transaction, the executive vice president directly owned 313,848 shares of the company's stock, valued at approximately $50,507,558.64. This represents a 5.20% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Mark D. Papermaster sold 17,998 shares of the stock in a transaction on Tuesday, July 15th. The shares were sold at an average price of $155.03, for a total value of $2,790,229.94. Following the sale, the executive vice president owned 1,713,710 shares of the company's stock, valued at approximately $265,676,461.30. This represents a 1.04% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 272,448 shares of company stock valued at $44,554,848 over the last three months. Company insiders own 0.06% of the company's stock.

Institutional Investors Weigh In On Advanced Micro Devices

Large investors have recently modified their holdings of the business. Moody National Bank Trust Division raised its position in shares of Advanced Micro Devices by 3.0% in the 3rd quarter. Moody National Bank Trust Division now owns 17,453 shares of the semiconductor manufacturer's stock valued at $2,824,000 after purchasing an additional 507 shares during the last quarter. Steph & Co. lifted its stake in shares of Advanced Micro Devices by 179.7% during the third quarter. Steph & Co. now owns 523 shares of the semiconductor manufacturer's stock worth $85,000 after buying an additional 336 shares during the period. Gradient Investments LLC increased its position in shares of Advanced Micro Devices by 4.4% in the 3rd quarter. Gradient Investments LLC now owns 3,117 shares of the semiconductor manufacturer's stock valued at $504,000 after acquiring an additional 130 shares during the period. Heartwood Wealth Advisors LLC purchased a new position in Advanced Micro Devices in the 3rd quarter worth $135,000. Finally, New England Research & Management Inc. purchased a new position in Advanced Micro Devices in the 3rd quarter worth $352,000. Hedge funds and other institutional investors own 71.34% of the company's stock.

Advanced Micro Devices Trading Up 23.7%

The company has a current ratio of 2.49, a quick ratio of 1.81 and a debt-to-equity ratio of 0.05. The stock has a 50-day simple moving average of $165.94 and a 200 day simple moving average of $133.80. The company has a market cap of $330.59 billion, a price-to-earnings ratio of 117.07, a PEG ratio of 1.94 and a beta of 1.90.

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

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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