Advanced Micro Devices (NASDAQ:AMD) Stock Price Down 5.7% on Insider Selling

Key Points

• AMD shares fell 5.7% after CEO Lisa T. Su disclosed a sale of 125,000 shares, a move that came under a pre-arranged Rule 10b5-1 trading plan. EVP Paul Darren Grasby also sold shares recently, adding to the insider-selling pressure.
• Despite the stock drop, analysts remain broadly constructive: AMD has a consensus rating of “Moderate Buy,” with several firms recently raising price targets, including KeyCorp and Morgan Stanley.
• Fundamentals and product momentum remain strong, as AMD’s latest quarterly results beat expectations on both earnings and revenue, driven by rapid growth in data center sales and continued demand for EPYC CPUs and Instinct GPUs.

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) shares fell 5.7% during mid-day trading on Friday after an insider sold shares in the company. The stock traded as low as $423.36 and last traded at $424.10. 28,675,778 shares changed hands during mid-day trading, a decline of 27% from the average session volume of 39,494,246 shares. The stock had previously closed at $449.70.

Specifically, CEO Lisa T. Su sold 125,000 shares of Advanced Micro Devices stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $445.51, for a total value of $55,688,750.00. Following the transaction, the chief executive officer owned 3,021,899 shares in the company, valued at $1,346,286,223.49. The trade was a 3.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paul Darren Grasby sold 24,376 shares of Advanced Micro Devices stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $444.39, for a total value of $10,832,450.64. Following the completion of the transaction, the executive vice president owned 105,222 shares in the company, valued at $46,759,604.58. This trade represents a 18.81% decrease in their position. The disclosure for this sale is available in the SEC filing.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on AMD. Wall Street Zen upgraded Advanced Micro Devices from a "hold" rating to a "buy" rating in a research note on Monday, January 26th. Raymond James Financial began coverage on Advanced Micro Devices in a research note on Wednesday, May 6th. They set a "market perform" rating on the stock. Morgan Stanley boosted their price target on Advanced Micro Devices from $360.00 to $410.00 and gave the stock an "equal weight" rating in a research note on Wednesday, May 6th. Evercore restated an "outperform" rating and set a $358.00 price target on shares of Advanced Micro Devices in a research note on Tuesday, February 24th. Finally, KeyCorp boosted their price target on Advanced Micro Devices from $330.00 to $530.00 and gave the stock an "overweight" rating in a research note on Wednesday, May 6th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating and twelve have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $396.95.

Advanced Micro Devices News Roundup

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

• Positive Sentiment: AMD’s latest quarter was strong, with earnings and revenue both beating expectations, driven by a 57% jump in data center sales and continued demand for EPYC CPUs and Instinct GPUs. 5 Revealing Analyst Questions From AMD’s Q1 Earnings Call
• Positive Sentiment: Several reports highlighted bullish analyst action after Q1, including price-target hikes tied to AMD’s AI and data center growth, reinforcing the long-term AI investment case. Advanced Micro Devices (AMD) Price Target Raised by $110 Following Strong Q1
• Positive Sentiment: AMD also gained support from product news, including expanded FSR 4.1 support for older GPUs and new Ryzen PRO 9000 workstation chips aimed at AI, simulation, and gaming workloads. AMD Stock Slips Despite an FSR 4.1 Expansion to Older GPUs
• Neutral Sentiment: Some commentators remain constructive on AMD’s long-term momentum, arguing it is becoming a more important AI infrastructure player and could benefit as hyperscaler AI spending broadens beyond Nvidia. Why Advanced Micro Devices (AMD) is a Top Momentum Stock for the Long-Term
• Negative Sentiment: AMD is being hit by a broader sell-off in chip stocks after Trump’s China trip ended without a major deal, adding fresh trade-related uncertainty for the sector. NVDA, INTC, AMD: Chip Stocks Drop as Trump’s China Trip Ends with No Major Deal
• Negative Sentiment: Profit-taking and valuation concerns are also weighing on AMD after a sharp AI-driven rally, with analysts warning the recent frenzy in semiconductor stocks may soon moderate. AMD Stock Has Been on a Wild Ride Higher but This Analyst Warns the Frenzy Could Soon Stop

Advanced Micro Devices Price Performance

The company has a debt-to-equity ratio of 0.04, a current ratio of 2.72 and a quick ratio of 1.96. The stock has a market cap of $691.54 billion, a price-to-earnings ratio of 139.05, a P/E/G ratio of 1.33 and a beta of 2.40. The stock has a fifty day moving average of $269.05 and a 200 day moving average of $239.23.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, topping analysts' consensus estimates 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 quarter in the previous year, the company posted $0.96 earnings per share. The company's revenue was up 37.8% compared to the same quarter last year. On average, analysts expect that Advanced Micro Devices, Inc. will post 6.17 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. Clal Insurance Enterprises Holdings Ltd lifted its holdings in Advanced Micro Devices by 12.8% in the first quarter. Clal Insurance Enterprises Holdings Ltd now owns 212 shares of the semiconductor manufacturer's stock valued at $43,000 after acquiring an additional 24 shares during the period. CLG LLC lifted its holdings in Advanced Micro Devices by 3.1% in the first quarter. CLG LLC now owns 1,008 shares of the semiconductor manufacturer's stock valued at $205,000 after acquiring an additional 30 shares during the period. Columbia Bank lifted its holdings in Advanced Micro Devices by 0.7% in the first quarter. Columbia Bank now owns 5,188 shares of the semiconductor manufacturer's stock valued at $1,055,000 after acquiring an additional 34 shares during the period. Evolution Wealth Management Inc. lifted its holdings in Advanced Micro Devices by 11.0% in the first quarter. Evolution Wealth Management Inc. now owns 352 shares of the semiconductor manufacturer's stock valued at $72,000 after acquiring an additional 35 shares during the period. Finally, Focused Wealth Management Inc lifted its holdings in Advanced Micro Devices by 2.7% in the first quarter. Focused Wealth Management Inc now owns 1,431 shares of the semiconductor manufacturer's stock valued at $291,000 after acquiring an additional 37 shares during the period. 71.34% of the stock is owned by institutional investors and hedge funds.

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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