Susquehanna Raises Advanced Micro Devices (NASDAQ:AMD) Price Target to $500.00

Key Points

• Susquehanna raised AMD’s price target to $500 from $450 and maintained a “positive” rating, while analysts overall hold a “Moderate Buy” consensus with an average target of $529.46.
• AMD’s shares rose to $488.01, and the company recently exceeded quarterly earnings and revenue estimates, with revenue increasing 37.8% year over year.
• AI infrastructure demand remains the key catalyst, including AMD’s long-term Core Scientific data-center agreement; however, high valuation, competition with Nvidia and insider selling remain notable risks ahead of the August 4 earnings report.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) had its price target hoisted by stock analysts at Susquehanna from $450.00 to $500.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The firm presently has a "positive" rating on the semiconductor manufacturer's stock. Susquehanna's target price would suggest a potential upside of 2.46% from the stock's previous close.

Other research analysts also recently issued reports about the stock. Benchmark upped their price target on shares of Advanced Micro Devices from $485.00 to $685.00 and gave the stock a "buy" rating in a report on Wednesday, July 22nd. Wolfe Research set a $450.00 price objective on Advanced Micro Devices and gave the company an "outperform" rating in a report on Monday, June 15th. Mizuho boosted their price objective on Advanced Micro Devices from $615.00 to $625.00 and gave the stock an "outperform" rating in a research report on Monday. DA Davidson upped their target price on Advanced Micro Devices from $375.00 to $425.00 and gave the stock a "buy" rating in a report on Wednesday, May 6th. Finally, Melius Research set a $660.00 target price on Advanced Micro Devices in a research report on Friday, July 24th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Advanced Micro Devices currently has a consensus rating of "Moderate Buy" and an average price target of $529.46.

Advanced Micro Devices Price Performance

NASDAQ AMD traded up $58.45 during trading on Thursday, hitting $488.01. 24,328,372 shares of the company's stock were exchanged, compared to its average volume of 36,207,836. The company has a current ratio of 2.72, a quick ratio of 1.96 and a debt-to-equity ratio of 0.04. The company has a market cap of $795.75 billion, a PE ratio of 160.09 and a beta of 2.47. Advanced Micro Devices has a fifty-two week low of $149.22 and a fifty-two week high of $584.73. The stock's 50 day moving average price is $514.54 and its two-hundred day moving average price is $346.81.

Advanced Micro Devices (NASDAQ:AMD - Get Free Report) last posted its quarterly earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share for the quarter, beating analysts' consensus estimates of $1.29 by $0.08. The company had revenue of $10.25 billion for the quarter, compared to the consensus estimate of $9.90 billion. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The firm's quarterly revenue was up 37.8% compared to the same quarter last year. During the same period last year, the company posted $0.96 EPS. Research analysts expect that Advanced Micro Devices will post 6.27 EPS for the current year.

Insider Buying and Selling at Advanced Micro Devices

In other Advanced Micro Devices news, EVP Paul Darren Grasby sold 24,376 shares of Advanced Micro Devices stock in a transaction dated 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 of the company's stock, valued at approximately $46,759,604.58. The trade was a 18.81% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Lisa T. Su sold 125,000 shares of the company's stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $460.69, for a total value of $57,586,250.00. Following the completion of the sale, the chief executive officer owned 2,896,899 shares in the company, valued at $1,334,572,400.31. This trade represents a 4.14% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 310,310 shares of company stock worth $141,185,456 over the last 90 days. Company insiders own 0.50% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Joseph Group Capital Management acquired a new stake in Advanced Micro Devices during the 4th quarter worth about $25,000. Sarver Vrooman Wealth Advisors bought a new stake in shares of Advanced Micro Devices during the 4th quarter valued at about $27,000. Cornerstone Financial Management LLC acquired a new stake in Advanced Micro Devices during the fourth quarter worth approximately $27,000. Basepoint Wealth LLC bought a new stake in Advanced Micro Devices in the fourth quarter worth approximately $30,000. Finally, Graney & King LLC acquired a new position in Advanced Micro Devices in the first quarter valued at approximately $31,000. 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: Core Scientific agreement strengthens AMD’s AI infrastructure position. AMD’s 15-year partnership provides access to more than 500 megawatts of U.S. data-center capacity beginning in 2027, with the potential to expand to 2.5 gigawatts. Bernstein estimates the deal could generate approximately $14 billion in revenue over 15 years, while Wedbush views it as a significant long-term catalyst. Mining For Megawatts: AMD's Billion-Dollar Grid Grab
• Positive Sentiment: Improving AI demand is supporting the broader chip sector. Microsoft’s stronger-than-expected cloud performance and Lam Research’s results helped ease concerns about slowing AI spending. Analysts also cite new Microsoft and Anthropic relationships, AMD’s expanding data-center business and demand for more powerful CPUs as evidence of a potentially accelerating AI opportunity. Chip stocks rip higher
• Positive Sentiment: Analysts remain constructive ahead of earnings. Wedbush raised its price target to $600, and other analysts maintain substantially higher targets, including a $1,250 outlier from Baird. AMD’s next quarterly report, scheduled for August 4, is viewed as an important catalyst for validating expectations around AI accelerators and data-center growth. Wedbush Sees AMD’s Data Center Business Growing Ahead of Expectations
• Neutral Sentiment: The Nvidia comparison remains unresolved. AMD is increasingly viewed as the leading alternative to Nvidia in AI accelerators, but investors are still debating how much of the hyperscaler buildout will flow to AMD versus Nvidia, custom chips and other suppliers. The Nvidia Vs. AMD Narrative Evolved Again
• Negative Sentiment: Valuation and competitive risks remain significant. Reports tied AMD’s earlier decline to China’s technology advances and warned that the stock’s elevated valuation—around 160 times earnings based on the provided data—leaves limited room for execution disappointments. Recent insider and institutional selling may also add caution ahead of earnings. AMD Fell 8% as China Unveils New Technology

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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