Advanced Micro Devices, Inc. $AMD Stock Position Reduced by Alps Advisors Inc.

Key Points

• Alps Advisors cut its AMD stake by 34.8% in the third quarter, selling 2,545 shares and retaining 4,766 shares valued at about $2.9 million.
• AMD reported quarterly EPS of $2.09, beating the $1.95 consensus, while revenue rose 44.7% year over year to $13.38 billion.
• Analysts’ average rating is “Moderate Buy,” with an average price target of $642.47; the stock’s high valuation remains a potential risk.

Alps Advisors Inc. lessened its position in shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) by 34.8% in the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 4,766 shares of the semiconductor manufacturer's stock after selling 2,545 shares during the quarter. Alps Advisors Inc.'s holdings in Advanced Micro Devices were worth $2,916,000 as of its most recent SEC filing.

A number of other large investors have also added to or reduced their stakes in AMD. DecisionPoint Financial LLC boosted its position in shares of Advanced Micro Devices by 79.2% during the 3rd quarter. DecisionPoint Financial LLC now owns 43 shares of the semiconductor manufacturer's stock valued at $26,000 after acquiring an additional 19 shares during the last quarter. MJT & Associates Financial Advisory Group Inc. bought a new stake in shares of Advanced Micro Devices in the 3rd quarter worth about $29,000. JNBA Financial Advisors increased its holdings in shares of 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. Graney & King LLC bought a new stake in shares of Advanced Micro Devices in the 1st quarter worth about $31,000. Finally, Main Street Group LTD purchased a new stake in shares of Advanced Micro Devices during the 1st quarter valued at about $33,000. Institutional investors own 71.34% of the company's stock.

Advanced Micro Devices Stock Performance

Shares of Advanced Micro Devices stock opened at $508.58 on Tuesday. The company has a quick ratio of 1.91, a current ratio of 2.72 and a debt-to-equity ratio of 0.10. The stock's fifty day moving average is $547.67 and its two-hundred day moving average is $416.28. Advanced Micro Devices, Inc. has a 52 week low of $188.22 and a 52 week high of $658.52. The company has a market capitalization of $830.24 billion, a PE ratio of 110.56, a price-to-earnings-growth ratio of 5.01 and a beta of 2.49.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last issued 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. The firm had revenue of $13.38 billion during the quarter, compared to analyst estimates of $13.10 billion. Advanced Micro Devices had a net margin of 16.77% and a return on equity of 14.15%. The business's revenue was up 44.7% on a year-over-year basis. During the same period in the previous year, the firm earned $1.20 earnings per share. As a group, analysts expect that Advanced Micro Devices, Inc. will post 6.59 earnings per share for the current year.

More Advanced Micro Devices News

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

• Positive Sentiment: Google Cloud is using AMD’s 5th Gen EPYC processors for host infrastructure supporting its TPU 8tx system. The deal expands AMD’s role in large-scale AI infrastructure, although it is a CPU infrastructure win rather than a selection of AMD’s AI accelerators. AMD announcement on Google Cloud
• Positive Sentiment: Oppenheimer upgraded AMD to Outperform and set a $600 price target, citing accelerating sales and forecasting 135% data-center revenue growth next year. The call helped bolster confidence in AMD’s AI growth outlook. CNBC report on Oppenheimer upgrade
• Positive Sentiment: Recent quarterly results provided additional support: revenue rose 45% year over year, with data-center revenue up 97%, and management expects revenue growth to accelerate. A broader technology-sector rally also helped lift sentiment. Quarterly results and outlook
• Neutral Sentiment: AMD also benefited as investors looked for alternatives amid pressure on Nvidia, though analysts noted that chipmakers could face increased scrutiny of sales practices. MarketWatch analysis
• Negative Sentiment: A reported Radeon GPU bug affecting SSD lifespan is a product concern, although it did not prevent the rally. Commentary also flagged elevated valuation and rising inventory as risks to sustaining gains. TipRanks report on Radeon GPU bug

Insider Activity at Advanced Micro Devices

In other Advanced Micro Devices news, SVP Ava Hahn sold 2,993 shares of the company's stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $488.69, for a total value of $1,462,649.17. Following the transaction, the senior vice president directly owned 26,623 shares in the company, valued at $13,010,393.87. This represents a 10.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Forrest Norrod sold 17,262 shares of the company's stock in a transaction dated Thursday, October 15th. The stock was sold at an average price of $540.70, for a total transaction of $9,333,563.40. Following the completion of the transaction, the executive vice president owned 353,317 shares in the company, valued at $191,038,501.90. This represents a 4.66% decrease in their ownership of the stock. 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 have sold a total of 230,957 shares of company stock worth $114,799,511 over the last ninety days. 0.50% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

AMD has been the subject of several recent research reports. Mizuho dropped their price target on Advanced Micro Devices from $705.00 to $610.00 and set an "outperform" rating for the company in a research report on Wednesday, November 4th. TD Cowen restated a "buy" rating on shares of Advanced Micro Devices in a research report on Monday, October 19th. CLSA reaffirmed an "outperform" rating and issued a $710.00 price objective on shares of Advanced Micro Devices in a research note on Wednesday, September 9th. Rosenblatt Securities reaffirmed a "buy" rating and issued a $700.00 price objective on shares of Advanced Micro Devices in a research note on Wednesday, November 4th. Finally, Susquehanna lifted their target price on Advanced Micro Devices from $620.00 to $650.00 and gave the stock a "positive" rating in a report on Wednesday, October 28th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-one have given a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Advanced Micro Devices has an average rating of "Moderate Buy" and an average price target of $642.47.

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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