Canada Pension Plan Investment Board Increases Stake in Advanced Micro Devices, Inc. $AMD

Key Points

• The Canada Pension Plan Investment Board increased its stake in Advanced Micro Devices by 55.6%, acquiring an additional 598,481 shares during the first quarter, bringing its total ownership to 1,674,081 shares valued at approximately $172 million.
• Advanced Micro Devices reported earnings of $0.48 EPS for the latest quarter, which missed the consensus estimate of $0.54 EPS but showed a notable 31.7% year-over-year revenue growth.
• The company is currently under a stock buyback plan allowing for the repurchase of up to $6 billion in shares, signaling confidence from its leadership regarding the stock's valuation.

Canada Pension Plan Investment Board increased its holdings in Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) by 55.6% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 1,674,081 shares of the semiconductor manufacturer's stock after buying an additional 598,481 shares during the period. Canada Pension Plan Investment Board owned 0.10% of Advanced Micro Devices worth $171,995,000 as of its most recent SEC filing.

Several other large investors have also recently bought and sold shares of the company. Vermillion & White Wealth Management Group LLC boosted its holdings in Advanced Micro Devices by 29.0% in the 1st quarter. Vermillion & White Wealth Management Group LLC now owns 467 shares of the semiconductor manufacturer's stock valued at $48,000 after purchasing an additional 105 shares during the period. Parnassus Investments LLC boosted its holdings in Advanced Micro Devices by 47,883.5% in the 1st quarter. Parnassus Investments LLC now owns 4,142,418 shares of the semiconductor manufacturer's stock valued at $425,592,000 after purchasing an additional 4,133,785 shares during the period. WPG Advisers LLC bought a new position in Advanced Micro Devices in the 1st quarter valued at $66,000. Itau Unibanco Holding S.A. bought a new position in Advanced Micro Devices in the 1st quarter valued at $536,000. Finally, Landscape Capital Management L.L.C. bought a new position in Advanced Micro Devices in the 1st quarter valued at $2,062,000. 71.34% of the stock is owned by institutional investors.

Insider Buying and Selling at Advanced Micro Devices

In other Advanced Micro Devices news, EVP Paul Darren Grasby sold 10,000 shares of the business's stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $173.21, for a total value of $1,732,100.00. Following the transaction, the executive vice president owned 125,505 shares in the company, valued at approximately $21,738,721.05. The trade was a 7.38% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Lisa T. Su sold 225,000 shares of the business's stock in a transaction dated Thursday, August 21st. The shares were sold at an average price of $163.97, for a total transaction of $36,893,250.00. Following the completion of the transaction, the chief executive officer owned 3,359,748 shares in the company, valued at $550,897,879.56. The trade was a 6.28% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 252,998 shares of company stock worth $41,415,580. 0.06% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

AMD has been the subject of several analyst reports. Rosenblatt Securities reissued a "buy" rating and issued a $200.00 price target on shares of Advanced Micro Devices in a report on Friday, June 13th. Wells Fargo & Company raised their price target on shares of Advanced Micro Devices from $120.00 to $185.00 and gave the company an "overweight" rating in a report on Wednesday, July 16th. Sanford C. Bernstein raised their price target on shares of Advanced Micro Devices from $95.00 to $140.00 and gave the company a "market perform" rating in a report on Monday, July 21st. Morgan Stanley lowered their price objective on shares of Advanced Micro Devices from $185.00 to $168.00 and set an "equal weight" rating on the stock in a research report on Wednesday, August 6th. Finally, JPMorgan Chase & Co. raised their price objective on shares of Advanced Micro Devices from $120.00 to $180.00 and gave the company a "neutral" rating in a research report on Wednesday, August 6th. Four research analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $181.33.

Advanced Micro Devices Trading Down 0.8%

NASDAQ:AMD traded down $1.27 during trading hours on Tuesday, reaching $161.36. The company's stock had a trading volume of 31,608,966 shares, compared to its average volume of 46,656,227. The firm has a market capitalization of $261.86 billion, a price-to-earnings ratio of 92.73, a PEG ratio of 1.93 and a beta of 1.92. The firm has a 50-day simple moving average of $160.00 and a 200-day simple moving average of $124.43. Advanced Micro Devices, Inc. has a 1 year low of $76.48 and a 1 year high of $186.65. The company has a debt-to-equity ratio of 0.05, a quick ratio of 1.81 and a current ratio of 2.49.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last issued its earnings results on Tuesday, August 5th. The semiconductor manufacturer reported $0.48 EPS for the quarter, missing analysts' consensus estimates of $0.54 by ($0.06). Advanced Micro Devices had a return on equity of 7.54% and a net margin of 9.57%.The business had revenue of $7.69 billion during the quarter, compared to analysts' expectations of $7.41 billion. During the same quarter in the previous year, the business earned $0.69 EPS. Advanced Micro Devices's revenue for the quarter was up 31.7% compared to the same quarter last year. Advanced Micro Devices has set its Q3 2025 guidance at EPS. Research analysts expect that Advanced Micro Devices, Inc. will post 3.87 EPS for the current fiscal year.

Advanced Micro Devices declared that its board has initiated a share repurchase plan on Wednesday, May 14th that permits the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization permits the semiconductor manufacturer to buy up to 3.1% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's management believes its shares are undervalued.

Advanced Micro Devices Profile

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.