Advanced Micro Devices (NASDAQ:AMD) Trading Down 1.1% - Here's Why

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) dropped 1.1% during trading on Tuesday . The stock traded as low as $112.54 and last traded at $113.45. Approximately 9,986,135 shares traded hands during trading, a decline of 77% from the average daily volume of 42,542,826 shares. The stock had previously closed at $114.74.

Analysts Set New Price Targets

AMD has been the subject of several recent analyst reports. Argus set a $160.00 target price on Advanced Micro Devices in a research note on Thursday, February 6th. Wells Fargo & Company decreased their target price on Advanced Micro Devices from $140.00 to $120.00 and set an "overweight" rating for the company in a research note on Thursday, April 17th. Loop Capital decreased their target price on Advanced Micro Devices from $175.00 to $140.00 and set a "buy" rating for the company in a research note on Wednesday, May 7th. Morgan Stanley cut their price target on Advanced Micro Devices from $137.00 to $121.00 and set an "equal weight" rating on the stock in a report on Wednesday, May 7th. Finally, Barclays increased their price target on Advanced Micro Devices from $110.00 to $130.00 and gave the stock an "overweight" rating in a report on Friday, May 16th. One research analyst has rated the stock with a sell rating, thirteen have assigned a hold rating, twenty have given a buy rating and three have issued a strong buy rating to the company. According to data from MarketBeat, Advanced Micro Devices presently has a consensus rating of "Moderate Buy" and a consensus target price of $132.58.

Advanced Micro Devices Stock Down 1.2%

The company has a quick ratio of 1.83, a current ratio of 2.62 and a debt-to-equity ratio of 0.03. The company has a market capitalization of $179.51 billion, a PE ratio of 111.83, a P/E/G ratio of 1.11 and a beta of 1.97. The stock has a 50-day moving average of $99.87 and a 200 day moving average of $114.29.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last issued its quarterly earnings results on Tuesday, May 6th. The semiconductor manufacturer reported $0.96 EPS for the quarter, beating analysts' consensus estimates of $0.93 by $0.03. The company had revenue of $7.44 billion during the quarter, compared to the consensus estimate of $7.10 billion. Advanced Micro Devices had a return on equity of 7.42% and a net margin of 6.36%. Advanced Micro Devices's revenue was up 35.9% on a year-over-year basis. During the same period last year, the business posted $0.62 earnings per share. Sell-side analysts anticipate that Advanced Micro Devices, Inc. will post 3.87 EPS for the current year.

Advanced Micro Devices announced that its Board of Directors has approved a share buyback plan on Wednesday, May 14th that allows the company to buyback $6.00 billion in shares. This buyback authorization allows the semiconductor manufacturer to repurchase up to 3.1% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's management believes its stock is undervalued.

Insiders Place Their Bets

In other Advanced Micro Devices news, EVP Mark D. Papermaster sold 17,500 shares of the firm's stock in a transaction on Tuesday, April 15th. The stock was sold at an average price of $95.47, for a total value of $1,670,725.00. Following the completion of the sale, the executive vice president now directly owns 1,713,710 shares of the company's stock, valued at $163,607,893.70. This trade represents a 1.01% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Company insiders own 0.06% of the company's stock.

Hedge Funds Weigh In On Advanced Micro Devices

Large investors have recently made changes to their positions in the stock. KLP Kapitalforvaltning AS bought a new stake in Advanced Micro Devices during the fourth quarter valued at $65,897,000. Enzi Wealth bought a new stake in Advanced Micro Devices during the fourth quarter valued at $569,000. Welch Group LLC boosted its stake in Advanced Micro Devices by 6.3% during the fourth quarter. Welch Group LLC now owns 50,466 shares of the semiconductor manufacturer's stock valued at $6,179,000 after buying an additional 2,981 shares during the period. Stonegate Investment Group LLC boosted its stake in Advanced Micro Devices by 39.5% during the fourth quarter. Stonegate Investment Group LLC now owns 512,428 shares of the semiconductor manufacturer's stock valued at $61,896,000 after buying an additional 145,067 shares during the period. Finally, Vanguard Group Inc. boosted its stake in Advanced Micro Devices by 1.0% during the fourth quarter. Vanguard Group Inc. now owns 150,210,152 shares of the semiconductor manufacturer's stock valued at $18,143,884,000 after buying an additional 1,441,626 shares during the period. 71.34% of the stock is owned by institutional investors.

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.