Advanced Micro Devices (NASDAQ:AMD) Shares Up 2.6% After Analyst Upgrade

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s stock price was up 2.6% during trading on Tuesday after Bank of America raised their price target on the stock from $550.00 to $620.00. Bank of America currently has a buy rating on the stock. Advanced Micro Devices traded as high as $574.20 and last traded at $548.13. Approximately 21,070,373 shares changed hands during mid-day trading, a decline of 43% from the average daily volume of 36,884,320 shares. The stock had previously closed at $534.39.

Other research analysts also recently issued reports about the company. JPMorgan Chase & Co. lifted their price target on Advanced Micro Devices from $270.00 to $385.00 and gave the company a “neutral” rating in a report on Wednesday, May 6th. Susquehanna upped their price objective on Advanced Micro Devices from $375.00 to $450.00 and gave the stock a “positive” rating in a research note on Wednesday, May 6th. Mizuho raised their price objective on Advanced Micro Devices from $515.00 to $615.00 and gave the company an “outperform” rating in a research report on Monday, June 1st. TD Cowen lifted their target price on Advanced Micro Devices from $600.00 to $675.00 and gave the company a “buy” rating in a research note on Monday. Finally, Melius Research set a $540.00 target price on shares of Advanced Micro Devices in a report on Monday, May 18th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, thirteen have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $467.84.

Insider Activity

In other news, EVP Mark D. Papermaster sold 6,000 shares of the firm’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $536.33, for a total value of $3,217,980.00. Following the completion of the sale, the executive vice president owned 1,233,687 shares of the company’s stock, valued at $661,663,348.71. This trade represents a 0.48% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available 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 firm’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 completion of the sale, the director directly owned 87,173 shares of the company’s stock, valued at $45,504,306. The trade was a 9.00% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 374,739 shares of company stock worth $161,135,671. Company insiders own 0.50% of the company’s stock.

Advanced Micro Devices News Summary

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

• Positive Sentiment: Bank of America said AMD is better positioned than peers Intel and Arm in the near term because it is benefiting from a server boom, while PC and smartphone demand remains weak for other CPU makers. Intel, ARM face near-term pain while AMD rides server boom: BofA
• Positive Sentiment: Multiple Wall Street firms raised AMD price targets, including KeyBanc and Bank of America, reinforcing expectations for strong AI accelerator and server CPU growth ahead of earnings. AMD Stock Soars on Updated Analyst Coverage Including a New Street-High Price Target
• Positive Sentiment: Investor sentiment also improved after reports that Chinese companies may be able to buy more advanced AI chips, which could expand the addressable market for AMD’s AI products. Nvidia and AMD Stocks Rise on a Positive Shift in China’s AI Chips Scenario
• Positive Sentiment: AMD’s strong first-quarter results and its upcoming August 4 earnings report are keeping the market focused on a potential beat-and-raise story, with data center revenue already showing rapid growth. AMD climbs as fresh analyst target hikes boost AI optimism
• Neutral Sentiment: Broader semiconductor sentiment has been volatile, with some recent articles pointing to macro-driven profit-taking and supply-chain concerns even as the AI trade remains intact. AMD Stock Drops 5: Why Global Supply Chain Fears and Tech Profit-Taking Are Hurting Chip Giants

Institutional Investors Weigh In On Advanced Micro Devices

A number of large investors have recently modified their holdings of AMD. Regent Peak Wealth Advisors LLC raised its position in shares of Advanced Micro Devices by 1.1% in the 2nd quarter. Regent Peak Wealth Advisors LLC now owns 5,938 shares of the semiconductor manufacturer’s stock valued at $3,449,000 after purchasing an additional 66 shares during the last quarter. Wedge Capital Management L L P NC acquired a new stake in Advanced Micro Devices in the 2nd quarter worth approximately $822,000. Annex Advisory Services LLC grew its position in Advanced Micro Devices by 28.3% during the 2nd quarter. Annex Advisory Services LLC now owns 1,991 shares of the semiconductor manufacturer’s stock worth $1,157,000 after purchasing an additional 439 shares during the last quarter. Accel Wealth Management grew its position in Advanced Micro Devices by 1.4% during the 2nd quarter. Accel Wealth Management now owns 5,372 shares of the semiconductor manufacturer’s stock worth $3,121,000 after purchasing an additional 74 shares during the last quarter. Finally, Whitener Capital Management Inc. acquired a new position in Advanced Micro Devices during the 2nd quarter valued at approximately $549,000. Hedge funds and other institutional investors own 71.34% of the company’s stock.

Advanced Micro Devices Price Performance

The stock’s 50 day simple moving average is $495.20 and its 200-day simple moving average is $321.90. The firm has a market cap of $893.78 billion, a price-to-earnings ratio of 179.72, a price-to-earnings-growth ratio of 1.64 and a beta of 2.47. The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.96 and a current ratio of 2.72.

Advanced Micro Devices (NASDAQ:AMD) last posted its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, topping the consensus estimate of $1.29 by $0.08. The business had revenue of $10.25 billion during 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 business’s revenue for the quarter was up 37.8% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.96 earnings per share. Equities research analysts anticipate that Advanced Micro Devices, Inc. will post 6.18 EPS for the current fiscal year.

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.