Advanced Micro Devices (NASDAQ:AMD) Stock Price Up 1.8% - Here's Why

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report)'s stock price shot up 1.8% on Wednesday . The stock traded as high as $158.35 and last traded at $157.50. 15,081,673 shares changed hands during trading, a decline of 64% from the average session volume of 41,715,766 shares. The stock had previously closed at $154.72.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on AMD. Raymond James Financial reiterated an "outperform" rating and set a $120.00 price target (down previously from $150.00) on shares of Advanced Micro Devices in a research note on Wednesday, May 7th. Robert W. Baird decreased their price target on Advanced Micro Devices from $175.00 to $140.00 and set an "outperform" rating for the company in a research note on Wednesday, May 7th. Melius upgraded Advanced Micro Devices from a "hold" rating to a "buy" rating and set a $175.00 price target for the company in a research note on Monday, June 23rd. DZ Bank upgraded Advanced Micro Devices from a "hold" rating to a "buy" rating and set a $118.00 price target for the company in a research note on Thursday, May 8th. Finally, Barclays upped their price target on Advanced Micro Devices from $110.00 to $130.00 and gave the stock an "overweight" rating in a research note on Friday, May 16th. Eleven research analysts have rated the stock with a hold rating, twenty-four have given a buy rating and five have issued a strong buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $154.68.

Advanced Micro Devices Stock Performance

The company has a market cap of $263.42 billion, a PE ratio of 119.36, a price-to-earnings-growth ratio of 2.05 and a beta of 2.05. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.97 and a current ratio of 2.80. The company's 50 day moving average price is $130.31 and its 200-day moving average price is $114.02.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released 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. Advanced Micro Devices had a net margin of 8.03% and a return on equity of 8.30%. The firm had revenue of $7.44 billion during the quarter, compared to analyst estimates of $7.10 billion. During the same period in the previous year, the business earned $0.62 EPS. The business's revenue for the quarter was up 35.9% on a year-over-year basis. Equities research analysts anticipate that Advanced Micro Devices, Inc. will post 3.87 earnings per share for the current fiscal year.

Advanced Micro Devices declared that its Board of Directors has initiated a share repurchase plan on Wednesday, May 14th that allows the company to buyback $6.00 billion in outstanding shares. This buyback authorization allows the semiconductor manufacturer to reacquire up to 3.1% of its stock through open market purchases. Stock buyback plans are often an indication that the company's board of directors believes its shares are undervalued.

Insider Transactions at Advanced Micro Devices

In other Advanced Micro Devices news, EVP Mark D. Papermaster sold 17,998 shares of Advanced Micro Devices stock in a transaction that occurred on Tuesday, July 15th. The stock was sold at an average price of $155.03, for a total transaction of $2,790,229.94. Following the sale, the executive vice president directly owned 1,713,710 shares of the company's stock, valued at approximately $265,676,461.30. The trade was a 1.04% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.06% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Advanced Micro Devices

Hedge funds have recently added to or reduced their stakes in the company. Greenline Partners LLC bought a new position in Advanced Micro Devices in the 4th quarter worth $28,000. Farmers & Merchants Trust Co of Chambersburg PA raised its position in shares of Advanced Micro Devices by 277.8% during the 1st quarter. Farmers & Merchants Trust Co of Chambersburg PA now owns 272 shares of the semiconductor manufacturer's stock valued at $28,000 after buying an additional 200 shares in the last quarter. American Capital Advisory LLC raised its position in Advanced Micro Devices by 90.3% in the 1st quarter. American Capital Advisory LLC now owns 274 shares of the semiconductor manufacturer's stock worth $28,000 after purchasing an additional 130 shares during the period. Kozak & Associates Inc. raised its position in 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 purchasing an additional 123 shares during the period. Finally, Mpwm Advisory Solutions LLC purchased a new stake in Advanced Micro Devices in the 4th quarter worth about $30,000. 71.34% of the stock is currently owned by hedge funds and other institutional investors.

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.