Advanced Micro Devices (NASDAQ:AMD) Shares Up 3.5% - Still a Buy?

Key Points

• Advanced Micro Devices (AMD) shares rose 3.5% during mid-day trading, reaching a high of $171.06 before closing at $169.73, significantly above its previous close of $164.01.
• Several analysts recently updated their ratings, with JPMorgan Chase raising the target price from $120 to $180, while Erste Group Bank and Seaport Res Ptn downgraded their ratings from "buy" to "hold".
• The company's latest earnings report showed a revenue increase of 31.7% year-over-year, reporting $7.69 billion, but missed EPS estimates at $0.48 compared to the $0.54 expected.

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report)'s stock price shot up 3.5% during mid-day trading on Thursday . The company traded as high as $171.06 and last traded at $169.73. 55,147,905 shares were traded during mid-day trading, an increase of 19% from the average session volume of 46,407,074 shares. The stock had previously closed at $164.01.

Analyst Ratings Changes

A number of research firms recently issued reports on AMD. JPMorgan Chase & Co. lifted their target price on Advanced Micro Devices from $120.00 to $180.00 and gave the company a "neutral" rating in a research report on Wednesday, August 6th. Erste Group Bank downgraded Advanced Micro Devices from a "buy" rating to a "hold" rating in a research report on Thursday, September 11th. Seaport Res Ptn downgraded Advanced Micro Devices from a "strong-buy" rating to a "hold" rating in a research report on Thursday, September 4th. Jefferies Financial Group boosted their price target on Advanced Micro Devices from $100.00 to $160.00 in a research report on Wednesday, July 16th. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $200.00 target price on shares of Advanced Micro Devices in a research report on Wednesday, August 6th. Three analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, thirteen have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $180.88.

Advanced Micro Devices Trading Up 3.5%

The business has a 50-day moving average price of $165.82 and a two-hundred day moving average price of $132.56. The stock has a market capitalization of $275.44 billion, a P/E ratio of 97.55, a P/E/G ratio of 1.91 and a beta of 1.90. The company has a current ratio of 2.49, a quick ratio of 1.81 and a debt-to-equity ratio of 0.05.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its earnings results 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 company had revenue of $7.69 billion for the quarter, compared to the consensus estimate of $7.41 billion. During the same quarter in the previous year, the company posted $0.69 earnings per share. The business's revenue was up 31.7% compared to the same quarter last year. Advanced Micro Devices has set its Q3 2025 guidance at EPS. On average, analysts expect that Advanced Micro Devices, Inc. will post 3.87 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Lisa T. Su sold 225,000 shares of the stock in a transaction on Thursday, August 21st. The stock was sold at an average price of $163.97, for a total value of $36,893,250.00. Following the completion of the transaction, the chief executive officer directly owned 3,359,748 shares in the company, valued at approximately $550,897,879.56. This represents a 6.28% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Paul Darren Grasby sold 10,000 shares of the 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 owned 125,505 shares of the company's stock, valued at $21,738,721.05. The trade was a 7.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 272,448 shares of company stock valued at $44,554,848 over the last ninety days. Company insiders own 0.06% of the company's stock.

Institutional Trading of Advanced Micro Devices

A number of institutional investors and hedge funds have recently bought and sold shares of AMD. Pinney & Scofield Inc. increased its holdings in Advanced Micro Devices by 81.0% in the second quarter. Pinney & Scofield Inc. now owns 190 shares of the semiconductor manufacturer's stock valued at $27,000 after purchasing an additional 85 shares during the period. Farmers & Merchants Trust Co of Chambersburg PA increased its holdings in Advanced Micro Devices by 277.8% in the first quarter. Farmers & Merchants Trust Co of Chambersburg PA now owns 272 shares of the semiconductor manufacturer's stock valued at $28,000 after purchasing an additional 200 shares during the period. American Capital Advisory LLC grew its holdings in Advanced Micro Devices by 90.3% during the 1st quarter. American Capital Advisory LLC now owns 274 shares of the semiconductor manufacturer's stock worth $28,000 after acquiring an additional 130 shares during the period. Kozak & Associates Inc. raised its position in shares of Advanced Micro Devices by 67.6% in the 1st quarter. Kozak & Associates Inc. now owns 305 shares of the semiconductor manufacturer's stock worth $29,000 after acquiring an additional 123 shares in the last quarter. Finally, Dogwood Wealth Management LLC raised its position in shares of Advanced Micro Devices by 2,311.1% in the 2nd quarter. Dogwood Wealth Management LLC now owns 217 shares of the semiconductor manufacturer's stock worth $30,000 after acquiring an additional 208 shares in the last quarter. 71.34% of the stock is currently owned by institutional investors and hedge funds.

Advanced Micro Devices Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.