Insider Selling: Advanced Micro Devices (NASDAQ:AMD) EVP Sells 17,261 Shares

Key Points

• AMD EVP Forrest Norrod sold 17,261 shares at an average price of $503.05, generating approximately $8.68 million. The transaction was conducted under a pre-arranged Rule 10b5-1 trading plan and reduced his holdings by 4.54%.
• AMD shares recently traded at $545.09, with the company valued at about $889.85 billion and trading at a high P/E ratio of 140.13. The stock remains near its 52-week high of $584.73.
• AMD reported better-than-expected quarterly results, including $1.66 in adjusted EPS and $11.54 billion in revenue, with revenue up 50.1% year over year. Analysts maintain a broadly positive outlook, with a consensus “Moderate Buy” rating and an average price target of $565.12, though valuation and competition remain risks.

Advanced Micro Devices, Inc. (NASDAQ:AMD - Get Free Report) EVP Forrest Norrod sold 17,261 shares of the stock in a transaction on Tuesday, September 15th. The shares were sold at an average price of $503.05, for a total value of $8,683,146.05. Following the completion of the sale, the executive vice president owned 363,317 shares in the company, valued at approximately $182,766,616.85. This trade represents a 4.54% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Forrest Eugene Norrod also recently made the following trade(s):

• On Monday, August 24th, Forrest Norrod sold 17,261 shares of Advanced Micro Devices stock. The shares were sold at an average price of $459.95, for a total transaction of $7,939,196.95.

Advanced Micro Devices Stock Performance

Shares of NASDAQ AMD traded up $32.59 during mid-day trading on Thursday, reaching $545.09. 28,198,774 shares of the company were exchanged, compared to its average volume of 33,459,059. The stock has a market capitalization of $889.85 billion, a P/E ratio of 140.13, a P/E/G ratio of 5.23 and a beta of 2.48. The company has a quick ratio of 1.91, a current ratio of 2.61 and a debt-to-equity ratio of 0.03. The company's 50-day simple moving average is $494.24 and its 200-day simple moving average is $411.50. Advanced Micro Devices, Inc. has a twelve month low of $149.85 and a twelve month high of $584.73.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 EPS for the quarter, beating analysts' consensus estimates of $1.62 by $0.04. The business had revenue of $11.54 billion for the quarter, compared to analyst estimates of $11.31 billion. Advanced Micro Devices had a net margin of 15.58% and a return on equity of 12.30%. Advanced Micro Devices's quarterly revenue was up 50.1% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.48 EPS. As a group, research analysts predict that Advanced Micro Devices, Inc. will post 6.43 earnings per share for the current year.

Hedge Funds Weigh In On Advanced Micro Devices

Hedge funds and other institutional investors have recently made changes to their positions in the company. Sarver Vrooman Wealth Advisors bought a new position in shares of Advanced Micro Devices in the 4th quarter valued at $27,000. Cornerstone Financial Management LLC bought a new stake in shares of Advanced Micro Devices during the 4th quarter worth $27,000. Basepoint Wealth LLC acquired a new stake in Advanced Micro Devices in the fourth quarter valued at about $30,000. JNBA Financial Advisors boosted its stake in Advanced Micro Devices by 142.9% in the second quarter. JNBA Financial Advisors now owns 51 shares of the semiconductor manufacturer's stock valued at $30,000 after buying an additional 30 shares in the last quarter. Finally, Graney & King LLC bought a new position in Advanced Micro Devices in the first quarter valued at about $31,000. 71.34% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Advanced Micro Devices

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

• Positive Sentiment: Reported price increases support margins: Reports that AMD may raise GPU and CPU prices by roughly 10% are boosting expectations for improved revenue and profitability, particularly amid strong demand and constrained chip supply. AMD Stock Soars 5% on Reports of GPU and CPU Price Increases
• Positive Sentiment: Broad semiconductor rebound: AMD is leading a sector-wide recovery, with investors discounting near-term AI slowdown concerns and buying chipmakers including NVIDIA, Broadcom, Micron and Intel. The broader rally is providing additional momentum for AMD. AMD Jumps 7% as Semiconductor Rebound Reaches a Third Session
• Positive Sentiment: AI and data-center growth remain central to the bullish thesis: Recent commentary points to CPU and GPU ramps remaining on schedule, with prior quarterly revenue up about 50% year over year and data-center revenue up more than 100%. Analysts also continue to cite AMD’s opportunity to gain AI accelerator share. AMD rises as upbeat AI demand commentary and chip-sector rebound support shares
• Positive Sentiment: ROCm ecosystem expansion: AMD is working with SiFive to adapt its open-source ROCm AI software for RISC-V data-center servers, potentially broadening hardware compatibility and strengthening its alternative to NVIDIA’s CUDA ecosystem. Advanced Micro Devices Expands ROCm Support to RISC-V Datacenter Servers
• Neutral Sentiment: Technical and institutional support: AMD has moved above key recent trading levels, while institutional investors reportedly added shares during the second quarter. Several published price targets remain above the current market level, though the reported analyst median target is lower.
• Negative Sentiment: Competition and valuation risks persist: Huawei has introduced more than 10 AI chips aimed at NVIDIA, AMD and Intel, potentially increasing competitive pressure. AMD also trades at a demanding valuation, while extensive insider selling—including sales by CEO Lisa Su—could temper enthusiasm. Huawei Takes Aim at Nvidia and AMD with New AI Chipsets

Wall Street Analysts Forecast Growth

AMD has been the topic of a number of analyst reports. UBS Group restated an "overweight" rating on shares of Advanced Micro Devices in a research report on Friday, July 24th. Loop Capital upgraded shares of Advanced Micro Devices to a "strong-buy" rating in a research report on Tuesday, June 16th. Roth Capital lifted their price target on shares of Advanced Micro Devices from $500.00 to $650.00 and gave the company a "buy" rating in a research report on Friday, July 24th. Zacks Research cut Advanced Micro Devices from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, September 1st. Finally, Susquehanna increased their price target on Advanced Micro Devices from $450.00 to $500.00 and gave the stock a "positive" rating in a research report on Thursday, July 30th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $565.12.

Advanced Micro Devices Company Profile

Advanced Micro Devices, Inc NASDAQ: AMD is a semiconductor company that designs high-performance computing, graphics and adaptive-processing products. Its portfolio includes central processing units (CPUs), graphics processing units (GPUs), accelerated processing units (APUs), field-programmable gate arrays (FPGAs) and adaptive system-on-chip products.

AMD serves customers across data centers, cloud computing, personal computers, gaming consoles, embedded systems and industrial applications.

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