Alberta Investment Management Corp Makes New $6.50 Million Investment in Advanced Micro Devices, Inc. (NASDAQ:AMD)

Key Points

• Alberta Investment Management Corp has acquired 63,300 shares of Advanced Micro Devices, Inc. (AMD), valued at approximately $6.5 million, as per a recent SEC filing.
• In addition to Alberta Investment, other institutional investors have significantly increased their stakes in AMD, indicating strong institutional confidence in the company.
• AMD's board has initiated a stock repurchase plan authorizing the purchase of up to $6 billion in shares, which is often seen as a signal that the board believes the stock is undervalued.

Alberta Investment Management Corp purchased a new position in shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 63,300 shares of the semiconductor manufacturer's stock, valued at approximately $6,503,000.

A number of other large investors have also recently bought and sold shares of AMD. Toronto Dominion Bank lifted its stake in shares of Advanced Micro Devices by 443.3% in the 4th quarter. Toronto Dominion Bank now owns 5,467,956 shares of the semiconductor manufacturer's stock worth $660,475,000 after acquiring an additional 4,461,609 shares during the period. Nicolet Bankshares Inc. lifted its stake in shares of Advanced Micro Devices by 56.4% in the fourth quarter. Nicolet Bankshares Inc. now owns 3,523 shares of the semiconductor manufacturer's stock valued at $426,000 after purchasing an additional 1,271 shares during the period. Bank Pictet & Cie Europe AG lifted its stake in shares of Advanced Micro Devices by 12.7% in the fourth quarter. Bank Pictet & Cie Europe AG now owns 264,574 shares of the semiconductor manufacturer's stock valued at $31,958,000 after purchasing an additional 29,825 shares during the period. Heritage Trust Co acquired a new stake in shares of Advanced Micro Devices in the fourth quarter valued at about $804,000. Finally, Valicenti Advisory Services Inc. lifted its stake in shares of Advanced Micro Devices by 4.0% in the first quarter. Valicenti Advisory Services Inc. now owns 76,826 shares of the semiconductor manufacturer's stock valued at $7,893,000 after purchasing an additional 2,944 shares during the period. Institutional investors and hedge funds own 71.34% of the company's stock.

Insider Activity

In other news, EVP Mark D. Papermaster sold 17,998 shares of the company's stock in a transaction on Tuesday, July 15th. The shares were sold at an average price of $155.03, for a total value of $2,790,229.94. Following the completion of the transaction, the executive vice president directly owned 1,713,710 shares in the company, valued at approximately $265,676,461.30. This represents a 1.04% 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 this link. 0.06% of the stock is owned by insiders.

Advanced Micro Devices Trading Up 3.0%

Shares of Advanced Micro Devices stock traded up $5.08 during trading hours on Monday, hitting $176.78. The company's stock had a trading volume of 52,255,023 shares, compared to its average volume of 44,763,559. Advanced Micro Devices, Inc. has a 1-year low of $76.48 and a 1-year high of $182.50. The business has a fifty day moving average of $138.58 and a 200 day moving average of $116.44. The company has a market capitalization of $286.63 billion, a PE ratio of 129.99, a P/E/G ratio of 2.27 and a beta of 1.94. The company has a quick ratio of 1.97, a current ratio of 2.80 and a debt-to-equity ratio of 0.06.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its quarterly earnings data on Tuesday, May 6th. The semiconductor manufacturer reported $0.96 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.03. Advanced Micro Devices had a net margin of 8.03% and a return on equity of 8.30%. The company had revenue of $7.44 billion during the quarter, compared to analyst estimates of $7.10 billion. During the same quarter in the prior year, the business earned $0.62 earnings per share. The business's quarterly revenue was up 35.9% compared to the same quarter last year. As a group, equities analysts forecast that Advanced Micro Devices, Inc. will post 3.87 EPS for the current year.

Advanced Micro Devices declared that its board has approved a share buyback plan on Wednesday, May 14th that authorizes the company to buyback $6.00 billion in outstanding shares. This buyback authorization authorizes the semiconductor manufacturer to purchase up to 3.1% of its stock through open market purchases. Stock buyback plans are often a sign that the company's board of directors believes its stock is undervalued.

Analyst Ratings Changes

Several analysts recently commented on AMD shares. Wedbush reiterated an "outperform" rating and issued a $120.00 price objective (up previously from $115.00) on shares of Advanced Micro Devices in a research note on Wednesday, May 7th. Seaport Res Ptn upgraded shares of Advanced Micro Devices to a "strong-buy" rating in a research report on Wednesday, April 30th. Hsbc Global Res upgraded shares of Advanced Micro Devices from a "hold" rating to a "strong-buy" rating in a research report on Thursday, July 10th. Roth Capital set a $150.00 target price on shares of Advanced Micro Devices and gave the stock a "buy" rating in a research report on Friday, June 13th. Finally, Raymond James Financial restated an "outperform" rating and set a $120.00 target price (down previously from $150.00) on shares of Advanced Micro Devices in a research report on Wednesday, May 7th. One equities research analyst has rated the stock with a sell rating, ten have issued a hold rating, twenty-three have given a buy rating and four have issued a strong buy rating to the company's stock. According to MarketBeat, Advanced Micro Devices has a consensus rating of "Moderate Buy" and an average price target of $162.94.

Advanced Micro Devices Company 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.