Diker Management LLC Makes New Investment in Advanced Micro Devices, Inc. $AMD

Key Points

• Diker Management LLC opened a new position in Advanced Micro Devices, buying 20,000 shares valued at about $4.28 million. AMD now ranks as the fund’s fifth-largest holding, making up roughly 3.3% of its portfolio.
• AMD continues to draw major institutional interest, with several hedge funds adding to stakes and 71.34% of shares owned by institutions overall. At the same time, insiders have been net sellers recently, including director Nora Denzel and EVP Forrest Norrod.
• The stock remains supported by bullish AI-related developments and strong fundamentals, including a Rackspace AI compute deployment agreement and an acquisition aimed at easing AI memory bottlenecks. AMD also beat quarterly EPS and revenue estimates, though some investors are cautious after the stock’s sharp run-up and recent pullback.

Diker Management LLC bought a new stake in Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund bought 20,000 shares of the semiconductor manufacturer's stock, valued at approximately $4,283,000. Advanced Micro Devices makes up approximately 3.3% of Diker Management LLC's holdings, making the stock its 5th largest holding.

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Jefferies Financial Group Inc. raised its holdings in Advanced Micro Devices by 6,228.8% during the 4th quarter. Jefferies Financial Group Inc. now owns 308,021 shares of the semiconductor manufacturer's stock valued at $65,966,000 after acquiring an additional 303,154 shares during the period. Williamson Legacy Group LLC bought a new stake in Advanced Micro Devices during the 4th quarter valued at $1,118,000. Thoroughbred Financial Services LLC raised its holdings in Advanced Micro Devices by 8.8% during the 4th quarter. Thoroughbred Financial Services LLC now owns 32,827 shares of the semiconductor manufacturer's stock valued at $7,030,000 after acquiring an additional 2,654 shares during the period. Zweig DiMenna Associates LLC raised its holdings in Advanced Micro Devices by 127.6% during the 3rd quarter. Zweig DiMenna Associates LLC now owns 72,602 shares of the semiconductor manufacturer's stock valued at $11,746,000 after acquiring an additional 40,708 shares during the period. Finally, Valtinson Bruner Financial Planning LLC bought a new stake in Advanced Micro Devices during the 4th quarter valued at $1,523,000. 71.34% of the stock is owned by institutional investors.

Key Headlines Impacting Advanced Micro Devices

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

• Positive Sentiment: AMD announced a definitive agreement with Rackspace Technology to deploy an initial 30 MW of AMD-based AI compute across Rackspace’s global data centers, reinforcing AMD’s push deeper into enterprise AI infrastructure and potentially expanding future chip demand. Article: AMD and Rackspace Technology Sign Definitive Agreement for Phased Deployment of 30 MW of AMD AI Compute
• Positive Sentiment: AMD’s acquisition of MEXT was highlighted as a strategic move to address AI memory bottlenecks, a key constraint in data-center workloads, which could improve the competitiveness of AMD’s AI chips and support longer-term growth. Article: AMD stock rallies after MEXT acquisition; targets AI memory bottleneck
• Positive Sentiment: Analysts remained constructive on AMD’s AI roadmap, with Citi and BofA raising targets and Wolfe Research saying there is room for upside to consensus estimates, which can help support investor confidence in the stock. Article: Wolfe Research sees substantial upside to AMD estimates
• Neutral Sentiment: AMD remained one of the most closely watched AI-chip names, with articles noting strong year-to-date gains and continued interest from investors, indicating momentum remains high but also that expectations are elevated. Article: AMD Stock Price Forecast — What Analysts Expect from the Chipmaker Now
• Negative Sentiment: Despite the bullish news flow, AMD slipped as traders locked in gains after a strong surge, and Cathie Wood’s Ark Invest also trimmed its position, adding to near-term selling pressure. Article: ARK Invest Offloads Over $167M in Roku (ROKU) and AMD (AMD) Stock in Major Monday Selloff
• Negative Sentiment: Some commentary warned AMD may be near a valuation “cliff” after its sharp rally, suggesting investors are increasingly cautious about how much upside is already priced in. Article: AMD Is Standing Precariously Close To The Cliff

Advanced Micro Devices Trading Down 7.3%

Advanced Micro Devices stock opened at $507.29 on Wednesday. Advanced Micro Devices, Inc. has a fifty-two week low of $125.77 and a fifty-two week high of $558.37. The firm's fifty day moving average price is $398.80 and its 200-day moving average price is $279.06. The stock has a market cap of $827.19 billion, a P/E ratio of 166.33, a PEG ratio of 1.60 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 announced its earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.29 by $0.08. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The company had revenue of $10.25 billion during the quarter, compared to analyst estimates of $9.90 billion. During the same period in the previous year, the business earned $0.96 earnings per share. The firm's quarterly revenue was up 37.8% compared to the same quarter last year. Equities research analysts forecast that Advanced Micro Devices, Inc. will post 6.2 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Nora Denzel sold 8,626 shares of the company's stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $522.00, for a total value of $4,502,772.00. Following the completion of the transaction, the director directly owned 87,173 shares in the company, valued at approximately $45,504,306. The trade was a 9.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Forrest Eugene Norrod sold 19,487 shares of the company's stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $431.40, for a total transaction of $8,406,691.80. Following the completion of the transaction, the executive vice president owned 324,527 shares of the company's stock, valued at $140,000,947.80. This trade represents a 5.66% 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 sold 372,032 shares of company stock valued at $158,658,616 in the last three months. 0.50% of the stock is owned by corporate insiders.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on AMD shares. Truist Financial set a $478.00 target price on shares of Advanced Micro Devices in a report on Wednesday, May 6th. Wells Fargo & Company boosted their target price on shares of Advanced Micro Devices from $345.00 to $505.00 and gave the company an "overweight" rating in a report on Wednesday, May 6th. Erste Group Bank raised shares of Advanced Micro Devices from a "hold" rating to a "buy" rating in a report on Thursday, April 2nd. Jefferies Financial Group cut shares of Advanced Micro Devices from a "buy" rating to a "hold" rating in a report on Wednesday, May 6th. Finally, BTIG Research raised shares of Advanced Micro Devices to a "buy" rating in a report on Wednesday, May 6th. One research analyst has rated the stock with a Strong Buy rating, thirty have given a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $428.65.

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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