Nikko Asset Management Americas Inc. Boosts Stock Position in Advanced Micro Devices, Inc. (NASDAQ:AMD)

Key Points

• Nikko Asset Management Americas Inc. increased its stake in Advanced Micro Devices by 37.7% during the first quarter, now owning 1,258,249 shares valued at approximately $129.3 million.
• Advanced Micro Devices reported $0.96 earnings per share for the last quarter, exceeding estimates and showing a 35.9% increase in revenue year-over-year.
• The company has authorized a $6 billion share repurchase program, indicating that the Board believes its stock is undervalued.

Nikko Asset Management Americas Inc. grew its stake in shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) by 37.7% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 1,258,249 shares of the semiconductor manufacturer's stock after buying an additional 344,213 shares during the period. Advanced Micro Devices accounts for 1.6% of Nikko Asset Management Americas Inc.'s portfolio, making the stock its 18th biggest holding. Nikko Asset Management Americas Inc. owned 0.08% of Advanced Micro Devices worth $129,260,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also recently made changes to their positions in the company. Greenline Partners LLC bought a new stake in Advanced Micro Devices during the 4th quarter valued at approximately $28,000. Mpwm Advisory Solutions LLC bought a new stake in Advanced Micro Devices during the 4th quarter valued at approximately $30,000. Summit Securities Group LLC bought a new stake in Advanced Micro Devices during the 4th quarter valued at approximately $31,000. Farmers & Merchants Trust Co of Chambersburg PA raised its stake in Advanced Micro Devices by 277.8% during the 1st quarter. Farmers & Merchants Trust Co of Chambersburg PA now owns 272 shares of the semiconductor manufacturer's stock valued at $28,000 after purchasing an additional 200 shares during the period. Finally, American Capital Advisory LLC raised its stake in Advanced Micro Devices by 90.3% during the 1st quarter. American Capital Advisory LLC now owns 274 shares of the semiconductor manufacturer's stock valued at $28,000 after purchasing an additional 130 shares during the period. 71.34% of the stock is owned by hedge funds and other institutional investors.

Advanced Micro Devices Stock Performance

Shares of Advanced Micro Devices stock opened at $166.47 on Friday. The stock's fifty day moving average is $132.24 and its two-hundred day moving average is $114.51. The company has a market capitalization of $269.91 billion, a PE ratio of 122.40, a price-to-earnings-growth ratio of 2.14 and a beta of 2.05. 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, Inc. has a 52 week low of $76.48 and a 52 week high of $174.05.

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

Advanced Micro Devices announced that its Board of Directors has authorized a share repurchase program on Wednesday, May 14th that authorizes the company to buyback $6.00 billion in shares. This buyback authorization authorizes the semiconductor manufacturer to repurchase up to 3.1% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's board of directors believes its stock is undervalued.

Analysts Set New Price Targets

Several brokerages recently issued reports on AMD. Loop Capital decreased their target price on Advanced Micro Devices from $175.00 to $140.00 and set a "buy" rating on the stock in a research note on Wednesday, May 7th. Mizuho upped their price objective on Advanced Micro Devices from $152.00 to $175.00 and gave the stock an "outperform" rating in a report on Wednesday, July 16th. Citigroup raised their target price on shares of Advanced Micro Devices from $145.00 to $165.00 and gave the company a "neutral" rating in a report on Friday, July 18th. Wedbush reissued an "outperform" rating and issued a $120.00 target price (up from $115.00) on shares of Advanced Micro Devices in a report on Wednesday, May 7th. Finally, Evercore ISI set a $144.00 target price on shares of Advanced Micro Devices and gave the company an "outperform" rating in a report on Friday, June 13th. Eleven research analysts have rated the stock with a hold rating, twenty-four have issued a buy rating and five have assigned a strong buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $154.68.

Insider Buying and Selling at Advanced Micro Devices

In related news, EVP Mark D. Papermaster sold 17,998 shares of the company's stock in a transaction on Tuesday, July 15th. The stock was sold at an average price of $155.03, for a total transaction of $2,790,229.94. Following the completion of the sale, the executive vice president directly owned 1,713,710 shares in the company, valued at $265,676,461.30. This represents a 1.04% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. 0.06% of the stock is owned by company insiders.

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.

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