Henson Edgewater Management LLC Acquires New Holdings in Advanced Micro Devices, Inc. $AMD

Key Points

• Henson Edgewater Management acquired 22,919 AMD shares worth approximately $11.1 million, making AMD its second-largest portfolio position at 6.2%. Institutional investors collectively own 71.34% of the company.
• AMD reported quarterly earnings of $1.66 per share and revenue of $11.54 billion, exceeding analyst estimates; revenue increased 50.1% year over year. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $553.72.
• AMD’s AI infrastructure momentum is strengthening through projects such as its Saudi Arabia deployment, but elevated valuation, increasing competition, proposed chip tariffs, and insider selling present potential risks.

Henson Edgewater Management LLC bought a new position in Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund bought 22,919 shares of the semiconductor manufacturer's stock, valued at approximately $11,068,000. Advanced Micro Devices comprises approximately 6.2% of Henson Edgewater Management LLC's investment portfolio, making the stock its 2nd biggest position.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Sarver Vrooman Wealth Advisors acquired a new stake in shares of Advanced Micro Devices in the fourth quarter worth $27,000. Cornerstone Financial Management LLC bought a new position in Advanced Micro Devices in the 4th quarter worth $27,000. Basepoint Wealth LLC bought a new position in Advanced Micro Devices in the 4th quarter worth $30,000. Graney & King LLC acquired a new position in Advanced Micro Devices during the 1st quarter worth $31,000. Finally, Main Street Group LTD acquired a new position in Advanced Micro Devices during the 1st quarter worth $33,000. Institutional investors and hedge funds own 71.34% of the company's stock.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on AMD. KeyCorp set a $650.00 price target on Advanced Micro Devices in a research report on Wednesday, August 5th. JPMorgan Chase & Co. boosted their price objective on Advanced Micro Devices from $385.00 to $550.00 and gave the stock a "neutral" rating in a research report on Wednesday, August 5th. Evercore reaffirmed an "outperform" rating and issued a $579.00 target price on shares of Advanced Micro Devices in a report on Tuesday, May 19th. William Blair reaffirmed a "market perform" rating on shares of Advanced Micro Devices in a research report on Friday, July 24th. Finally, Truist Financial upped their price target on Advanced Micro Devices from $478.00 to $594.00 and gave the stock a "buy" rating in a report on Wednesday, August 5th. Four research analysts have rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $553.72.

Advanced Micro Devices Stock Up 1.1%

Shares of AMD opened at $470.72 on Tuesday. The company has a debt-to-equity ratio of 0.03, a quick ratio of 1.91 and a current ratio of 2.61. The company has a 50-day simple moving average of $504.05 and a 200-day simple moving average of $387.43. Advanced Micro Devices, Inc. has a 52 week low of $149.22 and a 52 week high of $584.73. The firm has a market capitalization of $768.44 billion, a P/E ratio of 121.01 and a beta of 2.48.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share for the quarter, topping analysts' consensus estimates 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 business had revenue of $11.54 billion for the quarter, compared to the consensus estimate of $11.31 billion. During the same period last year, the business earned $0.48 earnings per share. The firm's revenue for the quarter was up 50.1% compared to the same quarter last year. On average, equities research analysts expect that Advanced Micro Devices, Inc. will post 6.44 earnings per share for the current year.

Advanced Micro Devices News Roundup

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

• Positive Sentiment: Saudi Arabia AI deployment goes live: AMD, Cisco and HUMAIN announced that production AI compute is now operational in Saudi Arabia using AMD Instinct MI355X GPUs, EPYC CPUs and Cisco Silicon One networking. The companies plan to expand the project by up to 250 megawatts beginning in 2027, with broader plans potentially reaching 1 gigawatt by 2030. The rollout provides evidence of commercial demand for AMD’s data-center products and expands its international AI footprint. AMD, Cisco and HUMAIN Expand Saudi Arabia’s AI Infrastructure
• Positive Sentiment: Broader AI infrastructure momentum: Coverage also points to AMD collaborations involving expanded AI networks and a new supercomputer, reinforcing the investment case that the company can capture a portion of the rapidly growing accelerator and data-center market. AMD Stock Rises on New AI Infrastructure and Supercomputer Collaborations
• Positive Sentiment: Analyst-rating support: Wall Street Zen upgraded its rating on AMD, adding a favorable sentiment signal, though the article provides limited detail about the rationale. AMD Stock Rating Upgraded
• Neutral Sentiment: AI sector expectations remain elevated: Micron’s upcoming results could influence sentiment across AI semiconductor stocks. Strong AI demand may help AMD’s sector narrative, but an earnings disappointment could increase volatility throughout the group. Micron Could Be September’s Biggest AI Winner or Loser
• Negative Sentiment: Selling and competitive risks: ARK Invest sold approximately $74.5 million of AMD shares while buying Nvidia and Broadcom, potentially weighing on sentiment. Separately, Nvidia’s expanding chip portfolio highlights intensifying competition for AI workloads. Cathie Wood Sells AMD Stock
• Negative Sentiment: Policy and valuation overhang: Proposed U.S. tariffs on imported semiconductors and components could raise AMD’s supply-chain costs. Insider selling is another near-term confidence concern, while AMD’s high valuation leaves the stock vulnerable if AI growth expectations or execution disappoint. AMD Is Exposed to Proposed US Chip Tariffs

Insider Buying and Selling

In related news, CEO Lisa T. Su sold 15,000 shares of the company's stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $480.94, for a total value of $7,214,100.00. Following the completion of the transaction, the chief executive officer directly owned 3,102,156 shares in the company, valued at approximately $1,491,950,906.64. This represents a 0.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Mark D. Papermaster sold 28,811 shares of the firm's stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $471.87, for a total value of $13,595,046.57. Following the completion of the transaction, the executive vice president directly owned 1,261,461 shares of the company's stock, valued at approximately $595,245,602.07. This trade represents a 2.23% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 232,577 shares of company stock worth $109,509,170. 0.50% of the stock is currently owned by corporate insiders.

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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