Piper Sandler Upgrades Advanced Micro Devices (NASDAQ:AMD) to Strong-Buy

Advanced Micro Devices (NASDAQ:AMD) was upgraded by stock analysts at Piper Sandler to a “strong-buy” rating in a research note issued on Wednesday, Zacks reports.

A number of other research firms also recently issued reports on AMD. Citigroup upgraded shares of Advanced Micro Devices from a “market perform” rating to a “buy” rating in a research report on Wednesday, July 22nd. Argus boosted their price objective on shares of Advanced Micro Devices from $450.00 to $625.00 and gave the company a “buy” rating in a research report on Thursday, August 6th. Evercore reiterated an “outperform” rating and set a $579.00 price objective on shares of Advanced Micro Devices in a research note on Tuesday, May 19th. Morgan Stanley upped their target price on Advanced Micro Devices from $410.00 to $465.00 and gave the company an “equal weight” rating in a report on Wednesday, August 5th. Finally, KeyCorp set a $650.00 price target on Advanced Micro Devices in a research report on Wednesday, August 5th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $565.12.

Advanced Micro Devices Stock Performance

NASDAQ:AMD opened at $503.60 on Wednesday. The company has a current ratio of 2.61, a quick ratio of 1.91 and a debt-to-equity ratio of 0.03. The firm has a market capitalization of $822.11 billion, a price-to-earnings ratio of 129.46, a PEG ratio of 5.40 and a beta of 2.48. Advanced Micro Devices has a twelve month low of $149.85 and a twelve month high of $584.73. The firm’s fifty day simple moving average is $495.78 and its 200 day simple moving average is $403.04.

Advanced Micro Devices (NASDAQ:AMD) last announced its quarterly earnings data 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 firm 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 12.30% and a net margin of 15.58%.The firm’s revenue for the quarter was up 50.1% on a year-over-year basis. During the same period last year, the business posted $0.48 earnings per share. As a group, equities research analysts expect that Advanced Micro Devices will post 6.44 earnings per share for the current fiscal year.

Insider Transactions at Advanced Micro Devices

In other news, EVP Forrest Norrod sold 17,261 shares of the business’s stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $459.95, for a total transaction of $7,939,196.95. Following the completion of the transaction, the executive vice president directly owned 373,317 shares in the company, valued at approximately $171,707,154.15. The trade was a 4.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Mark D. Papermaster sold 28,811 shares of the business’s stock in a transaction that occurred on Thursday, August 20th. The stock was sold at an average price of $471.87, for a total value of $13,595,046.57. Following the transaction, the executive vice president owned 1,261,461 shares of the company’s stock, valued at approximately $595,245,602.07. This represents a 2.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 107,577 shares of company stock worth $51,922,920 in the last quarter. 0.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Advanced Micro Devices

Large investors have recently added to or reduced their stakes in the business. Sarver Vrooman Wealth Advisors bought a new position in shares of Advanced Micro Devices in the fourth quarter worth $27,000. Cornerstone Financial Management LLC bought a new stake in shares of Advanced Micro Devices during the fourth quarter valued at about $27,000. Basepoint Wealth LLC acquired a new stake in Advanced Micro Devices in the fourth quarter worth about $30,000. JNBA Financial Advisors lifted its holdings in Advanced Micro Devices by 142.9% in the second quarter. JNBA Financial Advisors now owns 51 shares of the semiconductor manufacturer’s stock worth $30,000 after purchasing an additional 30 shares during the period. Finally, Graney & King LLC bought a new position in Advanced Micro Devices in the 1st quarter valued at about $31,000. 71.34% of the stock is currently owned by institutional investors and hedge funds.

Key Advanced Micro Devices News

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

• Positive Sentiment: Analysts remain constructive on AMD’s long-term outlook. Piper Sandler initiated coverage with a Buy rating, while other bullish commentary points to potential price targets near $600 and continued gains in data-center CPUs and AI accelerators. Piper Sandler AMD coverage
• Positive Sentiment: AMD’s AI opportunity continues to attract investor interest. Recent management commentary projected a potential multitrillion-dollar AI market by 2030 and roughly doubled data-center revenue in 2027, supporting expectations for sustained growth. AMD AI market outlook
• Positive Sentiment: Institutional options activity reportedly increased around AMD, indicating that some large investors are positioning for further upside. AMD institutional options flow
• Positive Sentiment: AMD and Xanadu launched Backline, an open-source platform connecting CPU, GPU and FPGA resources with quantum-computing software. The initiative expands AMD’s developer ecosystem, although its financial impact is likely longer term. AMD and Xanadu Backline launch
• Neutral Sentiment: TSMC reported a 53.3% year-over-year increase in August revenue, confirming strong AI-chip demand and supporting AMD’s volume outlook. However, tight advanced-packaging, memory and manufacturing capacity is also raising costs for fabless chip designers. TSMC August revenue
• Negative Sentiment: The broader technology sector sold off late in the session as investors focused on interest-rate expectations, rising energy prices and weakening market momentum. AMD’s high-beta profile makes it particularly sensitive to this risk-off trading.
• Negative Sentiment: Some analysts favor NVIDIA over AMD because of NVIDIA’s stronger AI infrastructure leadership, higher profitability and lower valuation. AMD’s premium valuation leaves less room for execution or supply-chain disappointments. NVIDIA versus AMD analysis
• Negative Sentiment: ARK Invest’s Cathie Wood continued trimming AMD while reallocating capital to other AI-chip companies, adding a notable sentiment headwind despite the company’s favorable long-term product cycle. Cathie Wood sells AMD

About Advanced Micro Devices

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.