North Star Investment Management Corp. Sells 6,513 Shares of Advanced Micro Devices, Inc. $AMD

Key Points

• North Star Investment Management cut its AMD stake by 20.3% in Q1, selling 6,513 shares and leaving it with 25,573 shares valued at about $5.2 million.
• AMD continues to draw strong institutional and analyst interest, with 71.34% of shares held by institutions and multiple firms recently raising price targets amid optimism around AI infrastructure and data center growth.
• The company reported a beat on earnings and revenue in its latest quarter, with EPS of $1.37 and revenue of $10.25 billion, though the stock remains expensive and some commentary warns of valuation risk after its sharp run-up.

North Star Investment Management Corp. reduced its holdings in shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) by 20.3% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 25,573 shares of the semiconductor manufacturer's stock after selling 6,513 shares during the period. North Star Investment Management Corp.'s holdings in Advanced Micro Devices were worth $5,202,000 as of its most recent SEC filing.

Several other hedge funds have also recently made changes to their positions in AMD. Jefferies Financial Group Inc. increased its holdings in shares of Advanced Micro Devices by 6,228.8% during the fourth 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 in the last quarter. Williamson Legacy Group LLC acquired a new position in shares of Advanced Micro Devices during the fourth quarter worth approximately $1,118,000. Thoroughbred Financial Services LLC lifted its holdings in shares of Advanced Micro Devices by 8.8% in the 4th quarter. Thoroughbred Financial Services LLC now owns 32,827 shares of the semiconductor manufacturer's stock worth $7,030,000 after purchasing an additional 2,654 shares in the last quarter. Valtinson Bruner Financial Planning LLC bought a new position in shares of Advanced Micro Devices in the 4th quarter worth $1,523,000. Finally, Weaver Consulting Group acquired a new stake in Advanced Micro Devices in the 4th quarter valued at $246,000. 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: Wall Street sentiment remains upbeat, with multiple analysts raising AMD price targets in June, including a street-high call from UBS, as firms increasingly view AMD as a bigger player in AI infrastructure and data center CPUs.
• Positive Sentiment: AMD continues to gain credibility in enterprise AI, including recognition from Gartner as a leading server CPU company, which supports the long-term growth case for its data center business. Article Title
• Positive Sentiment: New business wins are also helping sentiment, including a definitive agreement with Rackspace Technology to deploy AMD-based infrastructure, reinforcing demand for AMD chips in cloud and enterprise workloads. Article Title
• Positive Sentiment: Several recent articles argue AMD still has meaningful upside as investors focus on its CPU and AI data center growth, with some bullish commentary suggesting the market may still be underappreciating its long-term earnings power.
• Neutral Sentiment: One recent piece highlighted both the positives and a caution on AMD, noting the stock’s huge six-month run and suggesting investors should stay aware of valuation risk after such a strong rally.
• Negative Sentiment: The semiconductor group has also been under pressure today, with AI chip names, including AMD, softening as momentum in the sector cools and investors rotate out of the space. Article Title
• Negative Sentiment: Bearish/neutral valuation commentary has also picked up, with some coverage questioning whether AMD’s rapid stock gains have already priced in a lot of future growth, which can weigh on the shares in the short term.

Advanced Micro Devices Price Performance

AMD opened at $521.58 on Monday. Advanced Micro Devices, Inc. has a 1 year low of $133.50 and a 1 year high of $562.99. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.72 and a quick ratio of 1.96. The company has a market capitalization of $850.49 billion, a price-to-earnings ratio of 171.01, a P/E/G ratio of 1.54 and a beta of 2.50. The firm's fifty day moving average price is $445.21 and its two-hundred day moving average price is $296.64.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last announced its earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, beating 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 the consensus estimate of $9.90 billion. During the same quarter in the prior year, the company posted $0.96 earnings per share. The firm's revenue for the quarter was up 37.8% on a year-over-year basis. As a group, analysts anticipate that Advanced Micro Devices, Inc. will post 6.15 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Advanced Micro Devices news, EVP Forrest Eugene Norrod sold 19,487 shares of the stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $431.40, for a total value of $8,406,691.80. Following the completion of the sale, the executive vice president owned 324,527 shares in the company, valued at approximately $140,000,947.80. This trade represents a 5.66% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paul Darren Grasby sold 24,376 shares of Advanced Micro Devices stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $444.39, for a total transaction of $10,832,450.64. Following the transaction, the executive vice president directly owned 105,222 shares in the company, valued at approximately $46,759,604.58. This represents a 18.81% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 378,032 shares of company stock worth $161,876,596 in the last ninety days. 0.50% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

AMD has been the subject of a number of recent research reports. Northland Securities restated a "market perform" rating and set a $260.00 price target on shares of Advanced Micro Devices in a research note on Monday, April 27th. Susquehanna raised their price objective on shares of Advanced Micro Devices from $375.00 to $450.00 and gave the company a "positive" rating in a research note on Wednesday, May 6th. DA Davidson lifted their price objective on shares of Advanced Micro Devices from $375.00 to $425.00 and gave the company a "buy" rating in a report on Wednesday, May 6th. Morgan Stanley boosted their target price on shares of Advanced Micro Devices from $360.00 to $410.00 and gave the stock an "equal weight" rating in a research report on Wednesday, May 6th. Finally, HSBC lowered shares of Advanced Micro Devices from a "buy" rating to a "hold" rating and upped their target price for the stock from $335.00 to $340.00 in a report on Monday, May 4th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-eight have given a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $440.41.

About Advanced Micro Devices

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.

Want to see what other hedge funds are holding AMD? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.