Advanced Micro Devices (NASDAQ:AMD) Trading Up 2.9% - Here's Why

Key Points

• Samsung and AMD signed an MoU for next‑generation HBM4 memory supply and to explore foundry cooperation, a direct supply‑chain win that eases HBM risk for AMD’s AI GPUs and supports capacity for future ramps.
• AMD posted a quarterly beat—$1.53 EPS and $10.27B revenue (up 34.1% YoY)—and Wall Street has a consensus Moderate Buy with an average target of $290.53.
• Shares rose 2.9% to about $205 amid partnerships (including the Celestica Helios platform), PR moves and Ryzen refresh leaks, but upside could be capped by fierce competition (e.g., Broadcom) and sector supply constraints.

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) shares rose 2.9% during trading on Thursday . The stock traded as high as $205.88 and last traded at $205.27. Approximately 32,006,714 shares were traded during mid-day trading, a decline of 16% from the average daily volume of 38,200,914 shares. The stock had previously closed at $199.46.

Key Headlines Impacting Advanced Micro Devices

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

• Positive Sentiment: Samsung and AMD signed an MoU to supply next‑generation HBM4 memory for AMD’s upcoming Instinct MI455X accelerators and to explore foundry cooperation — a direct supply-chain win that eases HBM risk for AMD’s AI GPUs and supports capacity for future ramps. Samsung Elec and AMD sign MoU on AI memory, explore foundry partnership
• Positive Sentiment: AMD and Celestica are bringing the open‑standard Helios rack‑scale AI platform to market, strengthening AMD’s ecosystem for hyperscaler deployments and making its CPUs/GPUs easier to integrate at scale. As Celestica Partners with AMD, Should You Buy the Lesser-Known AI Stock Now?
• Positive Sentiment: Near‑term sentiment boost from AMD’s public rebuttal on counterfeit Ryzen laptop stickers — a PR move that reassures customers/partners and coincided with a stock rally. AMD Stock Rises on a Counterfeit Ryzen Rebuttal
• Neutral Sentiment: RBC Capital kept a Sector Perform rating with a $230 target — not a strong buy signal but the price objective sits above the current quote, providing modest analytical support. RBC Capital Maintains a Sector Perform Rating on Advanced Micro Devices (AMD) Stock
• Neutral Sentiment: Leaks of a Ryzen CPU refresh have lifted PC/consumer sentiment for AMD’s roadmap, a near‑term positive for desktop/channel demand expectations. AMD Stock Jumps on a Ryzen CPU Refresh Leak
• Negative Sentiment: Analysts comparing AMD to Broadcom flag AVGO’s stronger near‑term AI revenue and hyperscaler momentum, a reminder that AMD faces fierce competition in AI infrastructure. AMD vs. Broadcom: Which Semiconductor Stock is a Buy Right Now?
• Negative Sentiment: Sector‑wide operational risks — e.g., a reported helium/gas supply crunch and other supply disruptions — are pressuring chip stocks broadly and could cap upside if they tighten GPU/HBM production. Why Are Semiconductor Chip Stocks Falling On Thursday?

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on AMD. Morgan Stanley decreased their price target on Advanced Micro Devices from $260.00 to $255.00 and set an "equal weight" rating for the company in a research note on Wednesday, February 4th. Jefferies Financial Group restated a "buy" rating on shares of Advanced Micro Devices in a research note on Tuesday, February 24th. Raymond James Financial initiated coverage on shares of Advanced Micro Devices in a research report on Thursday, November 20th. They issued an "outperform" rating and a $377.00 target price for the company. Roth Mkm reissued a "buy" rating on shares of Advanced Micro Devices in a research note on Tuesday, February 24th. Finally, Sanford C. Bernstein set a $235.00 price target on shares of Advanced Micro Devices in a research note on Wednesday, February 4th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have given a Buy rating and ten have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $290.53.

Advanced Micro Devices Price Performance

The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.01 and a current ratio of 2.85. The company's 50 day moving average price is $215.10 and its 200-day moving average price is $210.79. The company has a market cap of $334.67 billion, a price-to-earnings ratio of 77.46, a PEG ratio of 0.74 and a beta of 1.98.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last announced its quarterly earnings data on Tuesday, February 3rd. The semiconductor manufacturer reported $1.53 EPS for the quarter, beating analysts' consensus estimates of $1.32 by $0.21. The company had revenue of $10.27 billion during the quarter, compared to the consensus estimate of $9.65 billion. Advanced Micro Devices had a return on equity of 8.84% and a net margin of 12.52%.The company's quarterly revenue was up 34.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.09 EPS. On average, equities research analysts forecast that Advanced Micro Devices, Inc. will post 3.87 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Lisa T. Su sold 125,000 shares of the stock in a transaction on Wednesday, February 11th. The stock was sold at an average price of $214.36, for a total value of $26,795,000.00. Following the completion of the sale, the chief executive officer owned 3,152,476 shares in the company, valued at $675,764,755.36. This represents a 3.81% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP Ava Hahn sold 2,442 shares of the firm's stock in a transaction on Friday, January 16th. The stock was sold at an average price of $234.42, for a total value of $572,453.64. Following the completion of the sale, the senior vice president directly owned 16,359 shares of the company's stock, valued at approximately $3,834,876.78. This trade represents a 12.99% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 239,392 shares of company stock valued at $50,016,383. 0.06% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Advanced Micro Devices

Institutional investors have recently made changes to their positions in the company. Impax Asset Management Group plc grew its position in Advanced Micro Devices by 326.5% in the third quarter. Impax Asset Management Group plc now owns 52,068 shares of the semiconductor manufacturer's stock valued at $8,424,000 after acquiring an additional 39,861 shares during the period. Global Retirement Partners LLC bought a new position in shares of Advanced Micro Devices during the second quarter valued at $4,519,000. Swiss National Bank lifted its holdings in shares of Advanced Micro Devices by 7.5% during the second quarter. Swiss National Bank now owns 4,917,975 shares of the semiconductor manufacturer's stock valued at $697,861,000 after acquiring an additional 341,000 shares during the period. New York State Common Retirement Fund boosted its stake in shares of Advanced Micro Devices by 8.4% in the 2nd quarter. New York State Common Retirement Fund now owns 2,239,239 shares of the semiconductor manufacturer's stock valued at $317,748,000 after purchasing an additional 172,745 shares in the last quarter. Finally, Zweig DiMenna Associates LLC boosted its stake in shares of Advanced Micro Devices by 127.6% in the 3rd quarter. Zweig DiMenna Associates LLC now owns 72,602 shares of the semiconductor manufacturer's stock valued at $11,746,000 after purchasing an additional 40,708 shares in the last quarter. 71.34% of the stock is currently owned by institutional investors and hedge funds.

About Advanced Micro Devices

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.