Advanced Micro Devices, Inc. $AMD Holdings Trimmed by Cornerstone Wealth Group LLC

Key Points

• Cornerstone Wealth Group LLC cut its AMD stake by 54.6% in the first quarter, selling 7,401 shares and ending with 6,157 shares valued at about $1.25 million.
• Insiders also sold shares, with EVP Paul Darren Grasby and EVP Forrest Eugene Norrod making large sales; overall insider sales totaled 378,032 shares worth about $161.9 million last quarter.
• Analysts remain mostly bullish on AMD despite some mixed signals, with several firms raising price targets and consensus still at a “Moderate Buy,” while the company recently beat earnings and revenue estimates with 37.8% year-over-year revenue growth.

Cornerstone Wealth Group LLC reduced its position in shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) by 54.6% during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 6,157 shares of the semiconductor manufacturer's stock after selling 7,401 shares during the quarter. Cornerstone Wealth Group LLC's holdings in Advanced Micro Devices were worth $1,253,000 at the end of the most recent quarter.

A number of other hedge funds also recently modified their holdings of AMD. Focused Wealth Management Inc lifted its stake in Advanced Micro Devices by 2.7% in the 1st quarter. Focused Wealth Management Inc now owns 1,431 shares of the semiconductor manufacturer's stock worth $291,000 after acquiring an additional 37 shares in the last quarter. James J. Burns & Company LLC grew its stake in Advanced Micro Devices by 2.3% during the 4th quarter. James J. Burns & Company LLC now owns 1,816 shares of the semiconductor manufacturer's stock valued at $389,000 after acquiring an additional 40 shares in the last quarter. Yoder Wealth Management Inc. grew its stake in Advanced Micro Devices by 3.7% during the 1st quarter. Yoder Wealth Management Inc. now owns 1,158 shares of the semiconductor manufacturer's stock valued at $236,000 after acquiring an additional 41 shares in the last quarter. Cassaday & Co Wealth Management LLC increased its holdings in shares of Advanced Micro Devices by 0.9% in the 4th quarter. Cassaday & Co Wealth Management LLC now owns 4,912 shares of the semiconductor manufacturer's stock valued at $1,052,000 after purchasing an additional 43 shares during the period. Finally, Willis Johnson & Associates Inc. increased its holdings in shares of Advanced Micro Devices by 1.9% in the 4th quarter. Willis Johnson & Associates Inc. now owns 2,304 shares of the semiconductor manufacturer's stock valued at $493,000 after purchasing an additional 44 shares during the period. Hedge funds and other institutional investors own 71.34% of the company's stock.

Insider Activity at Advanced Micro Devices

In other news, EVP Paul Darren Grasby sold 24,376 shares of the firm's stock in a transaction on Friday, May 8th. The shares were sold at an average price of $444.39, for a total transaction of $10,832,450.64. Following the transaction, the executive vice president owned 105,222 shares in the company, valued at approximately $46,759,604.58. This trade represents a 18.81% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Forrest Eugene Norrod sold 19,487 shares of the firm's stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $431.40, for a total transaction of $8,406,691.80. Following the transaction, the executive vice president owned 324,527 shares in the company, valued at $140,000,947.80. This represents a 5.66% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 378,032 shares of company stock worth $161,876,596 over the last quarter. 0.50% of the stock is currently owned by corporate insiders.

Advanced Micro Devices News Roundup

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

• Positive Sentiment: Wall Street sentiment remains upbeat, with multiple analysts raising AMD price targets in June, including a street-high call from UBS, as firms increasingly view AMD as a bigger player in AI infrastructure and data center CPUs.
• Positive Sentiment: AMD continues to gain credibility in enterprise AI, including recognition from Gartner as a leading server CPU company, which supports the long-term growth case for its data center business. Article Title
• Positive Sentiment: New business wins are also helping sentiment, including a definitive agreement with Rackspace Technology to deploy AMD-based infrastructure, reinforcing demand for AMD chips in cloud and enterprise workloads. Article Title
• Positive Sentiment: Several recent articles argue AMD still has meaningful upside as investors focus on its CPU and AI data center growth, with some bullish commentary suggesting the market may still be underappreciating its long-term earnings power.
• Neutral Sentiment: One recent piece highlighted both the positives and a caution on AMD, noting the stock’s huge six-month run and suggesting investors should stay aware of valuation risk after such a strong rally.
• Negative Sentiment: The semiconductor group has also been under pressure today, with AI chip names, including AMD, softening as momentum in the sector cools and investors rotate out of the space. Article Title
• Negative Sentiment: Bearish/neutral valuation commentary has also picked up, with some coverage questioning whether AMD’s rapid stock gains have already priced in a lot of future growth, which can weigh on the shares in the short term.

Analyst Ratings Changes

A number of analysts have recently issued reports on AMD shares. Royal Bank Of Canada increased their price target on shares of Advanced Micro Devices from $325.00 to $400.00 and gave the stock a "sector perform" rating in a research report on Wednesday, May 6th. Barclays lowered shares of Advanced Micro Devices from an "overweight" rating to an "underweight" rating in a research note on Friday, June 12th. JPMorgan Chase & Co. increased their target price on shares of Advanced Micro Devices from $270.00 to $385.00 and gave the stock a "neutral" rating in a research report on Wednesday, May 6th. Bank of America lifted their target price on shares of Advanced Micro Devices from $500.00 to $560.00 and gave the company a "buy" rating in a research note on Thursday, June 11th. Finally, DA Davidson boosted their price target on shares of Advanced Micro Devices from $375.00 to $425.00 and gave the company a "buy" rating in a report on Wednesday, May 6th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $440.41.

Advanced Micro Devices Stock Performance

Shares of NASDAQ AMD opened at $521.58 on Monday. The business has a 50 day simple moving average of $445.21 and a 200 day simple moving average of $296.64. Advanced Micro Devices, Inc. has a 52 week low of $133.50 and a 52 week high of $562.99. The stock has a market cap of $850.49 billion, a price-to-earnings ratio of 171.01, a PEG ratio of 1.54 and a beta of 2.50. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.96 and a current ratio of 2.72.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last issued its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share for the quarter, beating the consensus estimate of $1.29 by $0.08. The firm had revenue of $10.25 billion for the quarter, compared to analyst estimates of $9.90 billion. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The company's revenue for the quarter was up 37.8% on a year-over-year basis. During the same quarter last year, the firm earned $0.96 earnings per share. On average, research analysts predict that Advanced Micro Devices, Inc. will post 6.15 earnings per share for the current fiscal year.

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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