Polar Capital Holdings Plc Acquires 923,966 Shares of Advanced Micro Devices, Inc. $AMD

Key Points

• Polar Capital Holdings boosted its AMD stake by 50.3% in the fourth quarter, buying 923,966 shares and bringing its total holding to 2.76 million shares worth about $590.9 million.
• AMD continues to draw attention for its AI growth strategy, including a new Rackspace agreement for 30 MW of AMD-based AI compute and its MEXT acquisition, which is aimed at easing AI memory bottlenecks.
• The stock remains supported by bullish analyst sentiment and solid earnings, with AMD recently beating quarterly estimates on both EPS and revenue, even as the shares have seen some near-term selling and valuation caution.

Polar Capital Holdings Plc lifted its holdings in shares of Advanced Micro Devices, Inc. (NASDAQ:AMD - Free Report) by 50.3% during the 4th quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 2,759,230 shares of the semiconductor manufacturer's stock after purchasing an additional 923,966 shares during the quarter. Advanced Micro Devices comprises about 2.3% of Polar Capital Holdings Plc's investment portfolio, making the stock its 6th biggest position. Polar Capital Holdings Plc owned about 0.17% of Advanced Micro Devices worth $590,917,000 as of its most recent SEC filing.

Other hedge funds have also made changes to their positions in the company. Joseph Group Capital Management acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth $25,000. Cornerstone Financial Management LLC acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth $27,000. Sarver Vrooman Wealth Advisors acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth $27,000. Basepoint Wealth LLC acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth $30,000. Finally, Wilkerson Advisory Group LLC acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth $33,000. Institutional investors and hedge funds own 71.34% of the company's stock.

Key Stories 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%

NASDAQ:AMD opened at $507.29 on Wednesday. The business's 50-day moving average is $398.80 and its two-hundred day moving average is $279.06. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.72 and a quick ratio of 1.96. Advanced Micro Devices, Inc. has a 12 month low of $125.77 and a 12 month high of $558.37. The firm has a market capitalization of $827.19 billion, a PE ratio of 166.33, a price-to-earnings-growth ratio of 1.60 and a beta of 2.50.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last released its quarterly earnings data 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 return on equity of 9.55% and a net margin of 13.37%.The company had revenue of $10.25 billion for the quarter, compared to analyst estimates of $9.90 billion. During the same period last year, the company posted $0.96 earnings per share. The firm's revenue was up 37.8% compared to the same quarter last year. Research analysts predict that Advanced Micro Devices, Inc. will post 6.2 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Advanced Micro Devices news, EVP Paul Darren Grasby sold 24,376 shares of the firm's stock in a transaction dated Friday, May 8th. The stock was sold at an average price of $444.39, for a total value of $10,832,450.64. Following the transaction, the executive vice president directly owned 105,222 shares of the company's stock, valued at $46,759,604.58. This trade represents a 18.81% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Mark D. Papermaster sold 31,320 shares of the firm's stock in a transaction dated Friday, April 24th. The shares were sold at an average price of $350.00, for a total value of $10,962,000.00. Following the completion of the transaction, the executive vice president directly owned 1,236,037 shares in the company, valued at $432,612,950. This trade represents a 2.47% 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. Insiders sold a total of 372,032 shares of company stock valued at $158,658,616 over the last ninety days. Insiders own 0.50% of the company's stock.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on the company. Truist Financial set a $478.00 target price on Advanced Micro Devices in a report on Wednesday, May 6th. TD Cowen lifted their target price on Advanced Micro Devices from $500.00 to $600.00 and gave the company a "buy" rating in a report on Monday, June 1st. Sanford C. Bernstein assumed coverage on Advanced Micro Devices in a report on Friday. They issued an "outperform" rating on the stock. Seaport Research Partners upgraded Advanced Micro Devices from a "neutral" rating to a "buy" rating and set a $430.00 target price on the stock in a report on Wednesday, May 6th. Finally, Melius Research set a $540.00 target price on Advanced Micro Devices in a report on Monday, May 18th. One investment analyst has rated the stock with a Strong Buy rating, thirty have given a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently 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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