Advanced Micro Devices (NASDAQ:AMD) Raised to “Strong-Buy” at Zacks Research

Advanced Micro Devices (NASDAQ:AMD) was upgraded by research analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued on Monday,Zacks.com reports.

A number of other research firms also recently issued reports on AMD. JPMorgan Chase & Co. raised their price objective on shares of Advanced Micro Devices from $270.00 to $385.00 and gave the stock a “neutral” rating in a report on Wednesday, May 6th. Bank of America increased their price target on shares of Advanced Micro Devices from $550.00 to $620.00 and gave the stock a “buy” rating in a research report on Tuesday, July 14th. Barclays downgraded shares of Advanced Micro Devices from an “overweight” rating to an “underweight” rating in a research report on Friday, June 12th. Raymond James Financial started coverage on Advanced Micro Devices in a research note on Wednesday, May 6th. They issued a “market perform” rating for the company. Finally, The Goldman Sachs Group lifted their target price on Advanced Micro Devices from $450.00 to $640.00 and gave the company a “buy” rating in a research report on Monday, July 6th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $532.19.

Advanced Micro Devices Stock Up 7.0%

Advanced Micro Devices stock opened at $518.58 on Monday. Advanced Micro Devices has a one year low of $149.22 and a one year high of $584.73. The stock has a fifty day moving average of $516.06 and a 200 day moving average of $354.63. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.96 and a current ratio of 2.72. The stock has a market cap of $845.60 billion, a PE ratio of 170.03 and a beta of 2.48.

Advanced Micro Devices (NASDAQ:AMD) last announced its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.62 by $0.04. The business had revenue of $11.54 billion for the quarter, compared to analysts’ expectations of $11.31 billion. Advanced Micro Devices had a return on equity of 9.55% and a net margin of 13.37%.The business’s revenue for the quarter was up 50.1% on a year-over-year basis. During the same period last year, the firm posted $0.48 earnings per share. As a group, sell-side analysts predict 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, CEO Lisa T. Su sold 125,000 shares of the stock in a transaction on Wednesday, June 10th. The stock was sold at an average price of $460.69, for a total transaction of $57,586,250.00. Following the sale, the chief executive officer owned 2,896,899 shares of the company’s stock, valued at approximately $1,334,572,400.31. This trade represents a 4.14% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Nora Denzel sold 8,626 shares of the business’s stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $522.00, for a total value of $4,502,772.00. Following the transaction, the director owned 87,173 shares in the company, valued at approximately $45,504,306. This trade represents a 9.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 310,310 shares of company stock worth $141,185,456 over the last quarter. Insiders own 0.50% of the company’s stock.

Institutional Trading of Advanced Micro Devices

Institutional investors have recently bought and sold shares of the stock. Norges Bank acquired a new position in Advanced Micro Devices during the 4th quarter valued at approximately $4,929,312,000. Jennison Associates LLC lifted its stake in shares of Advanced Micro Devices by 181.6% during the fourth quarter. Jennison Associates LLC now owns 10,910,310 shares of the semiconductor manufacturer’s stock worth $2,336,552,000 after buying an additional 7,035,991 shares during the period. Cardano Risk Management B.V. acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth $1,000,783,000. Wellington Management Group LLP grew its holdings in shares of Advanced Micro Devices by 335.9% during the third quarter. Wellington Management Group LLP now owns 4,847,825 shares of the semiconductor manufacturer’s stock valued at $784,330,000 after buying an additional 3,735,807 shares during the last quarter. Finally, Franklin Resources Inc. grew its holdings in shares of Advanced Micro Devices by 340.1% during the fourth quarter. Franklin Resources Inc. now owns 4,747,834 shares of the semiconductor manufacturer’s stock valued at $1,016,796,000 after buying an additional 3,669,054 shares during the last quarter. 71.34% of the stock is currently owned by institutional investors and hedge funds.

Advanced Micro Devices News Summary

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

• Positive Sentiment: AMD reported record second-quarter revenue of $11.54 billion, up 50.1% year over year, while adjusted EPS of $1.66 exceeded consensus. Data-center revenue reportedly more than doubled to approximately $6.7 billion, underscoring strong demand for EPYC processors and Instinct AI accelerators. AMD’s revenue climbs 50% and data center sales doubled, but the stock is down
• Positive Sentiment: Management guided for third-quarter revenue of roughly $12.7 billion to $13.3 billion, above the approximately $12.4 billion analyst consensus. CEO Lisa Su also said unexpected server CPU demand is pressuring supply but expects conditions and growth to improve in 2027. AMD forecasts upbeat revenue on AI data-center demand
• Positive Sentiment: AMD said Meta, OpenAI and Anthropic are helping optimize AI models for its platform, potentially strengthening the ROCm software ecosystem and adoption of AMD accelerators. Dell also selected AMD Instinct MI355X GPUs for a new AI and high-performance-computing platform. AMD CEO says major AI companies are improving its ecosystem
• Neutral Sentiment: William Blair maintained a Hold rating, saying modest guidance upside and AI-driven growth potential are balanced by competitive pressure and uncertainty around the pace of the Helios rack-scale platform ramp. Analyst maintains Hold on AMD
• Negative Sentiment: Investors viewed the earnings and forecast as only modestly ahead of expectations, seeking clearer evidence that the multibillion-dollar AI spending boom will translate into faster growth and a larger Helios opportunity. AMD’s high valuation leaves limited room for disappointment. AMD falls as investors seek bigger AI payoff
• Negative Sentiment: SpaceX said it would exclusively use Nvidia AI chips, providing a high-profile competitive endorsement for Nvidia and weighing on AMD and other semiconductor stocks. AMD, Nvidia, Intel and other stocks that explain today’s market

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.