Advanced Micro Devices (NASDAQ:AMD) Trading 1.7% Higher - Should You Buy?

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) were up 1.7% on Monday . The stock traded as high as $113.82 and last traded at $112.59. Approximately 13,199,109 shares traded hands during trading, a decline of 68% from the average daily volume of 41,774,951 shares. The stock had previously closed at $110.73.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on the company. Summit Insights upgraded Advanced Micro Devices to a "hold" rating in a research report on Tuesday, February 4th. Stifel Nicolaus set a $132.00 target price on Advanced Micro Devices in a research note on Monday, April 28th. Rosenblatt Securities reiterated a "buy" rating and set a $200.00 price target on shares of Advanced Micro Devices in a report on Wednesday, May 7th. Hsbc Global Res raised Advanced Micro Devices from a "moderate sell" rating to a "hold" rating in a research note on Tuesday, May 27th. Finally, Raymond James reissued an "outperform" rating and issued a $120.00 price objective (down from $150.00) on shares of Advanced Micro Devices in a research note on Wednesday, May 7th. Fifteen research analysts have rated the stock with a hold rating, twenty have assigned a buy rating and three have issued a strong buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $132.58.

Advanced Micro Devices Trading Up 1.1%

The firm has a market cap of $192.27 billion, a PE ratio of 119.78, a P/E/G ratio of 1.11 and a beta of 1.97. The company's fifty day moving average price is $100.55 and its two-hundred day moving average price is $112.41. The company has a quick ratio of 1.83, a current ratio of 2.62 and a debt-to-equity ratio of 0.03.

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

Advanced Micro Devices announced that its board has initiated a stock repurchase plan on Wednesday, May 14th that authorizes the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization authorizes the semiconductor manufacturer to purchase up to 3.1% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board of directors believes its stock is undervalued.

Insider Activity at Advanced Micro Devices

In related news, EVP Mark D. Papermaster sold 17,500 shares of the stock in a transaction dated Tuesday, April 15th. The shares were sold at an average price of $95.47, for a total value of $1,670,725.00. Following the sale, the executive vice president now 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 position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.06% of the stock is currently owned by corporate insiders.

Institutional Trading of Advanced Micro Devices

Large investors have recently added to or reduced their stakes in the business. KLP Kapitalforvaltning AS purchased a new stake in Advanced Micro Devices during the fourth quarter valued at about $65,897,000. Welch Group LLC lifted 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 in the last quarter. Vanguard Group Inc. lifted 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 in the last quarter. Empire Life Investments Inc. purchased a new stake in Advanced Micro Devices during the fourth quarter valued at about $717,000. Finally, Union Bancaire Privee UBP SA purchased a new stake in Advanced Micro Devices during the fourth quarter valued at about $34,366,000. 71.34% of the stock is currently 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.