Advanced Micro Devices (NASDAQ:AMD) Upgraded at Wall Street Zen

Key Points

• Wall Street Zen upgraded AMD from “hold” to “buy.” Analysts overall rate the stock “Moderate Buy,” with a consensus price target of $643.69.
• AMD reported quarterly revenue of $13.38 billion, up 44.7% year over year, and EPS of $2.09, topping estimates. The article also cites management’s expectation of faster growth, including revenue growth above 80% in 2027.
• Despite the strong results and outlook, analysts flag AMD’s premium valuation and competition as risks; concerns about AI spending and sector volatility could pressure the shares.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued to clients and investors on Sunday, Wall Street Zen reports.

Several other research analysts have also weighed in on AMD. HSBC restated a "hold" rating and set a $540.00 target price on shares of Advanced Micro Devices in a research report on Thursday. BMO Capital Markets began coverage on shares of Advanced Micro Devices in a research report on Thursday, August 20th. They set an "outperform" rating and a $550.00 price target for the company. Jefferies Financial Group reiterated a "buy" rating on shares of Advanced Micro Devices in a research report on Thursday, October 29th. Benchmark boosted their price target on Advanced Micro Devices from $485.00 to $685.00 and gave the stock a "buy" rating in a research note on Wednesday, July 22nd. Finally, TD Cowen restated a "buy" rating on shares of Advanced Micro Devices in a report on Monday, October 19th. Three analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating, nine have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $643.69.

Advanced Micro Devices Stock Up 11.0%

Advanced Micro Devices stock opened at $449.04 on Friday. The stock has a 50 day moving average of $546.81 and a two-hundred day moving average of $414.98. Advanced Micro Devices has a twelve month low of $188.22 and a twelve month high of $658.52. The stock has a market capitalization of $736.47 billion, a price-to-earnings ratio of 97.62, a PEG ratio of 4.56 and a beta of 2.49. The company has a current ratio of 2.72, a quick ratio of 1.91 and a debt-to-equity ratio of 0.10.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its earnings results on Tuesday, November 3rd. The semiconductor manufacturer reported $2.09 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.95 by $0.14. Advanced Micro Devices had a return on equity of 14.15% and a net margin of 16.77%. The business had revenue of $13.38 billion for the quarter, compared to analyst estimates of $13.10 billion. During the same quarter in the previous year, the company posted $1.20 earnings per share. The company's revenue for the quarter was up 44.7% compared to the same quarter last year. As a group, research analysts expect that Advanced Micro Devices will post 6.59 earnings per share for the current year.

Insider Buying and Selling

In other news, EVP Jean X. Hu sold 15,000 shares of Advanced Micro Devices stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $474.08, for a total transaction of $7,111,200.00. Following the completion of the sale, the executive vice president directly owned 160,979 shares in the company, valued at $76,316,924.32. The trade was a 8.52% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Mark D. Papermaster sold 28,811 shares of the business's stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $471.87, for a total transaction of $13,595,046.57. Following the completion of the transaction, the executive vice president directly owned 1,261,461 shares of the company's stock, valued at approximately $595,245,602.07. This represents a 2.23% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 231,100 shares of company stock worth $114,867,400 in the last 90 days. 0.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Advanced Micro Devices

Several hedge funds and other institutional investors have recently bought and sold shares of AMD. DecisionPoint Financial LLC increased its stake in Advanced Micro Devices by 79.2% in the third quarter. DecisionPoint Financial LLC now owns 43 shares of the semiconductor manufacturer's stock valued at $26,000 after purchasing an additional 19 shares during the last quarter. MJT & Associates Financial Advisory Group Inc. purchased a new position in Advanced Micro Devices during the third quarter worth about $29,000. JNBA Financial Advisors boosted its stake in Advanced Micro Devices by 142.9% in the 2nd quarter. JNBA Financial Advisors now owns 51 shares of the semiconductor manufacturer's stock worth $30,000 after buying an additional 30 shares during the last quarter. Downshift Financial LLC boosted its stake in Advanced Micro Devices by 850.0% in the 3rd quarter. Downshift Financial LLC now owns 57 shares of the semiconductor manufacturer's stock worth $35,000 after buying an additional 51 shares during the last quarter. Finally, Sawyer & Company Inc acquired a new stake in Advanced Micro Devices in the 3rd quarter worth about $37,000. 71.34% of the stock is owned by hedge funds and other institutional investors.

More Advanced Micro Devices News

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

• Positive Sentiment: AMD reported record quarterly revenue of $13.38 billion, up 44.7% year over year, and earnings per share of $2.09, beating analyst estimates. Data-center revenue nearly doubled, helped by demand for AI chips. Stock Market Today, Nov. 6: AMD Surges on Record Quarterly Revenue and Stronger Growth Outlook
• Positive Sentiment: Management signaled faster growth ahead, forecasting revenue to rise more than 80% in 2027 and describing AMD’s AI business as poised for further expansion. CEO Lisa Su said the company has good visibility into data-center capacity needs through 2027. Lisa Su Sees AMD’s AI Data Center Business More Than Doubling in 2027
• Positive Sentiment: AMD’s rebound also came as investors bought semiconductor shares after Thursday’s sector-wide rout, suggesting some buyers viewed the selloff as an opportunity. Su pushed back on concerns about AI spending, calling the market’s reaction short-sighted. Chip Stocks Rebound, but Is the AI Selloff Over?
• Negative Sentiment: Some analysts warn that AMD’s premium valuation leaves the stock vulnerable if growth expectations or broader enthusiasm for AI weaken. A recent downgrade cited competition from Nvidia and Arm, as well as potential multiple compression. AMD: This Selloff Isn’t Enough
• Negative Sentiment: Despite the rebound, investors remain concerned about AI-chip valuations, heavy data-center spending, possible regulation and the durability of customer returns. These sector pressures could keep AMD shares volatile. AI Stocks Hit by Midterm Shock and Data-Center Spending Concerns

About Advanced Micro Devices

Advanced Micro Devices, Inc (AMD) is a semiconductor company that designs processors, graphics products and adaptive computing solutions. Its products serve data center, personal computing, gaming, embedded and other markets. AMD is a fabless chip designer, relying on third-party manufacturing partners to produce its semiconductors.

The company's product portfolio includes EPYC server processors, Ryzen desktop and laptop processors, Radeon graphics products, Instinct accelerators for data center computing, and adaptive chips and systems used in embedded applications.

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