Advanced Micro Devices, Inc. $AMD Shares Newly Acquired by USA Financial Formulas

Key Points

• USA Financial Formulas acquired 3,362 AMD shares worth approximately $2.06 million, while institutional investors collectively own 71.34% of the company.
• AMD insiders sold 213,838 shares valued at roughly $105.5 million over the past 90 days, including two executive sales conducted for tax obligations or under a 10b5-1 plan.
• AMD recently beat quarterly earnings and revenue expectations, but its shares face pressure from a broader semiconductor selloff and concerns about its elevated valuation and AI-spending sustainability. Analysts remain broadly bullish, with a consensus “Moderate Buy” rating and an average price target of $603.51.

USA Financial Formulas purchased a new stake in Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) in the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The fund purchased 3,362 shares of the semiconductor manufacturer's stock, valued at approximately $2,057,000. Advanced Micro Devices makes up 0.4% of USA Financial Formulas' investment portfolio, making the stock its 17th largest holding.

A number of other large investors also recently bought and sold shares of AMD. BlackRock Inc. boosted its position in Advanced Micro Devices by 3.1% during the second quarter. BlackRock Inc. now owns 150,301,510 shares of the semiconductor manufacturer's stock worth $87,311,650,000 after purchasing an additional 4,535,126 shares in the last quarter. State Street Corp increased its position in shares of Advanced Micro Devices by 2.9% in the second quarter. State Street Corp now owns 76,920,783 shares of the semiconductor manufacturer's stock valued at $46,606,266,000 after buying an additional 2,149,563 shares in the last quarter. Bank of America Corp DE purchased a new stake in shares of Advanced Micro Devices in the second quarter valued at approximately $7,022,226,000. Jennison Associates LLC increased its position in shares of Advanced Micro Devices by 5.8% in the second quarter. Jennison Associates LLC now owns 9,972,952 shares of the semiconductor manufacturer's stock valued at $5,793,388,000 after buying an additional 545,575 shares in the last quarter. Finally, Wellington Management Group LLP raised its stake in shares of Advanced Micro Devices by 33.9% during the 2nd quarter. Wellington Management Group LLP now owns 9,334,396 shares of the semiconductor manufacturer's stock worth $5,422,444,000 after buying an additional 2,365,419 shares during the period. Institutional investors and hedge funds own 71.34% of the company's stock.

Insiders Place Their Bets

In related news, EVP Paul Grasby sold 15,000 shares of the business's stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $514.91, for a total transaction of $7,723,650.00. Following the completion of the sale, the executive vice president directly owned 117,687 shares in the company, valued at approximately $60,598,213.17. The trade was a 11.30% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Jean X. Hu sold 15,000 shares of the stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $474.08, for a total value of $7,111,200.00. Following the completion of the transaction, the executive vice president directly owned 160,979 shares of the company's stock, valued at approximately $76,316,924.32. This represents a 8.52% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 213,838 shares of company stock valued at $105,533,836. 0.50% of the stock is owned by corporate insiders.

Advanced Micro Devices Trading Down 6.0%

AMD stock opened at $528.75 on Friday. The company has a current ratio of 2.61, a quick ratio of 1.91 and a debt-to-equity ratio of 0.03. Advanced Micro Devices, Inc. has a 12-month low of $188.22 and a 12-month high of $658.52. The stock has a market cap of $863.17 billion, a price-to-earnings ratio of 135.93, a PEG ratio of 5.46 and a beta of 2.45. The business's 50-day moving average is $537.02 and its 200 day moving average is $472.22.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 EPS for the quarter, topping the consensus estimate of $1.62 by $0.04. Advanced Micro Devices had a return on equity of 12.30% and a net margin of 15.58%. The company had revenue of $11.54 billion during the quarter, compared to analyst estimates of $11.31 billion. During the same period in the previous year, the business earned $0.48 EPS. Advanced Micro Devices's quarterly revenue was up 50.1% on a year-over-year basis. On average, sell-side analysts anticipate that Advanced Micro Devices, Inc. will post 6.49 EPS for the current fiscal year.

Key Stories Impacting Advanced Micro Devices

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

• Positive Sentiment: Arete raised its AMD price target to $612 from $540, while recent commentary highlighted the company’s expanding data-center business, AI accelerator opportunity and open Helion rack-scale architecture. Arete Adjusts Price Target on Advanced Micro Devices
• Positive Sentiment: AMD’s credit-support agreement for Fermi’s Texas data-center power lease is viewed as a potential AI infrastructure catalyst, although Fermi still faces liquidity and lease-related risks. AMD's Support Could Help Fermi Stock
• Neutral Sentiment: ETF investors were net sellers of AMD on October 14, adding to short-term trading pressure but offering little insight into the company’s operating outlook. ETFs Are Net Sellers of AMD
• Negative Sentiment: A broad semiconductor selloff intensified after a Qualcomm jury verdict, with Arm, AMD and Taiwan Semiconductor declining together. Investors are questioning whether AI infrastructure spending can sustain current expectations, particularly as elevated interest rates pressure richly valued growth stocks. Arm and AMD Fall as Qualcomm Verdict Adds to Chip Selloff
• Negative Sentiment: Analysts and investors are also reassessing AMD’s elevated valuation, AI financing risks and the sustainability of extremely high data-center spending. Reports of widespread insider selling may further weigh on sentiment, even though institutional ownership remains substantial. AMD Slides as Chip Selloff Continues

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on AMD shares. Jefferies Financial Group set a $650.00 target price on Advanced Micro Devices in a research note on Wednesday, August 5th. Roth Capital lifted their price target on shares of Advanced Micro Devices from $500.00 to $650.00 and gave the company a "buy" rating in a research note on Friday, July 24th. Raymond James Financial raised shares of Advanced Micro Devices from an "outperform" rating to a "strong-buy" rating and boosted their price target for the stock from $565.00 to $641.00 in a report on Tuesday, August 25th. Truist Financial boosted their price target on shares of Advanced Micro Devices from $478.00 to $594.00 and gave the stock a "buy" rating in a report on Wednesday, August 5th. Finally, Citigroup upped their price objective on shares of Advanced Micro Devices from $575.00 to $800.00 and gave the stock a "buy" rating in a research report on Tuesday, October 6th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $603.51.

About Advanced Micro Devices

Advanced Micro Devices, Inc NASDAQ: AMD is a global semiconductor company that designs high-performance computing, graphics and adaptive computing products. Its offerings serve data centers, personal computers, gaming systems, embedded markets and other specialized applications.

AMD's product portfolio includes Ryzen processors for desktop and notebook computers, EPYC server processors, Radeon graphics processing units, and Instinct accelerators for artificial intelligence and high-performance computing.

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