Advanced Micro Devices (NASDAQ:AMD) Stock Price Down 5.2% – Should You Sell?

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) fell 5.2% during trading on Monday . The stock traded as low as $476.93 and last traded at $494.95. 31,599,501 shares traded hands during mid-day trading, a decline of 13% from the average session volume of 36,295,992 shares. The stock had previously closed at $521.95.

Key Advanced Micro Devices News

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

• Positive Sentiment: Erste Group Bank raised its AMD EPS estimates to $6.47 for fiscal 2026 and $12.37 for fiscal 2027, while maintaining a Buy rating. The revisions remain above the current-year consensus estimate of $6.27. Erste Group Bank estimate update
• Positive Sentiment: AMD’s partnership with Core Scientific gives it access to up to 2.5 gigawatts of data-center capacity, including an initial deployment of more than 500 megawatts beginning in 2027. The arrangement is intended to support deployments of AMD Instinct GPUs, EPYC CPUs and ROCm software, addressing a key constraint in AI infrastructure: power and data-center availability. AMD and Core Scientific infrastructure partnership
• Positive Sentiment: Recent coverage highlights AMD’s Helios rack systems, Venice CPUs and partnerships involving major cloud and AI customers as evidence that the company is expanding from selling individual chips toward complete AI infrastructure solutions. Several analysts have raised price targets, including Wedbush to $600 and Mizuho to $625. Mizuho raises AMD price target
• Neutral Sentiment: AMD is scheduled to report second-quarter results on August 4. Options pricing implies substantial volatility around the release, with investors looking for confirmation that AI demand can support continued revenue and earnings acceleration.
• Negative Sentiment: The stock’s valuation—approximately 149 times trailing earnings and well above its long-term averages—leaves limited room for disappointment. Analysts have also warned that the average price target offers relatively modest upside from recent levels. AMD valuation analysis
• Negative Sentiment: AMD is participating in a wider semiconductor sell-off driven by concerns about China’s advances in memory and lithography technology, rising AI infrastructure costs and fears that the AI trade has become too concentrated in a few leading companies. This sector-wide risk is currently outweighing favorable company-specific announcements.

Analyst Upgrades and Downgrades

AMD has been the subject of several analyst reports. Oppenheimer downgraded Advanced Micro Devices from a “market perform” rating to a “market perform” rating in a research report on Wednesday, May 6th. Wedbush boosted their target price on shares of Advanced Micro Devices from $450.00 to $600.00 and gave the stock an “outperform” rating in a research note on Monday. Morgan Stanley upped their price target on Advanced Micro Devices from $360.00 to $410.00 and gave the company an “equal weight” rating in a research note on Wednesday, May 6th. Roth Capital increased their price objective on shares of Advanced Micro Devices from $500.00 to $650.00 and gave the company a “buy” rating in a report on Friday. Finally, The Goldman Sachs Group increased their target price on Advanced Micro Devices from $450.00 to $640.00 and gave the company a “buy” rating in a research note on Monday, July 6th. Two investment analysts have rated the stock with a Strong Buy rating, thirty have assigned a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Advanced Micro Devices presently has a consensus rating of “Moderate Buy” and a consensus price target of $528.11.

Advanced Micro Devices Stock Down 3.0%

The company has a debt-to-equity ratio of 0.04, a current ratio of 2.72 and a quick ratio of 1.96. The firm has a 50-day moving average price of $514.89 and a two-hundred day moving average price of $345.23. The company has a market capitalization of $719.43 billion, a price-to-earnings ratio of 146.73 and a beta of 2.47.

Advanced Micro Devices (NASDAQ:AMD) last announced its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, topping analysts’ consensus estimates of $1.29 by $0.08. The business had revenue of $10.25 billion for the quarter, compared to analyst estimates 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 revenue for the quarter was up 37.8% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.96 earnings per share. As a group, sell-side analysts anticipate that Advanced Micro Devices, Inc. will post 6.27 earnings per share for the current fiscal year.

Insider Buying and Selling at Advanced Micro Devices

In other news, EVP Forrest Eugene Norrod sold 19,487 shares of the stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $431.40, for a total value of $8,406,691.80. Following the transaction, the executive vice president directly owned 324,527 shares of the company’s stock, valued at $140,000,947.80. This represents a 5.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Lisa T. Su sold 125,000 shares of the business’s stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $460.69, for a total value 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 represents a 4.14% decrease in their position. 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 sold 310,310 shares of company stock valued at $141,185,456 in the last 90 days. Company insiders own 0.50% of the company’s stock.

Institutional Trading of Advanced Micro Devices

A number of institutional investors have recently bought and sold shares of the business. Norges Bank acquired a new position in Advanced Micro Devices in the 4th quarter valued at approximately $4,929,312,000. Jennison Associates LLC increased its holdings in Advanced Micro Devices by 181.6% in the fourth quarter. Jennison Associates LLC now owns 10,910,310 shares of the semiconductor manufacturer’s stock worth $2,336,552,000 after purchasing an additional 7,035,991 shares in the last quarter. Cardano Risk Management B.V. acquired a new position in shares of Advanced Micro Devices during the 4th quarter valued at $1,000,783,000. Wellington Management Group LLP boosted its position in shares of Advanced Micro Devices by 335.9% during the 3rd quarter. Wellington Management Group LLP now owns 4,847,825 shares of the semiconductor manufacturer’s stock worth $784,330,000 after purchasing an additional 3,735,807 shares in the last quarter. Finally, Franklin Resources Inc. increased 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 acquiring an additional 3,669,054 shares in the last quarter. Institutional investors own 71.34% of the company’s stock.

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.