Advanced Micro Devices (NASDAQ:AMD) Trading 2.7% Higher – What’s Next?

Advanced Micro Devices, Inc. (NASDAQ:AMD) shares were up 2.7% during mid-day trading on Friday . The stock traded as high as $559.91 and last traded at $559.82. Approximately 31,239,254 shares changed hands during trading, a decline of 7% from the average session volume of 33,441,074 shares. The stock had previously closed at $545.09.

More Advanced Micro Devices News

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

• Positive Sentiment: AMD shares rose more than 6% in the latest session as the post-FOMC market rebound revived interest in AI and semiconductor stocks. The move suggests investors are viewing AMD as a leading alternative to NVIDIA in AI accelerators, with capital rotating into a broader group of chipmakers. 2 Stocks Breaking Out Post-FOMC With One Thing in Common
• Positive Sentiment: Management continues to signal that AI adoption is in its early stages, with demand shifting toward inference and system-level solutions. AMD’s AI stack plans and ROCm support for SiFive’s RISC-V data-center servers could expand its software and hardware ecosystem. AMD Says AI Adoption Is Still Early
• Positive Sentiment: Reports that AMD may raise GPU and CPU prices by roughly 10%—partly reflecting higher infrastructure and manufacturing costs—have increased expectations for stronger pricing power and potentially better margins. Nebius’s planned cloud price increases further suggest that AI-computing demand remains strong. AMD Stock Soars on Reports of GPU and CPU Price Increases
• Positive Sentiment: AMD is reportedly among the companies that have secured most of next year’s high-bandwidth memory supply, helping support future AI accelerator shipments amid a constrained HBM market. A desktop AI supercomputer launched with AMD Ryzen AI Max processors also provides additional evidence of product adoption beyond data centers. The HBM Bottleneck
• Neutral Sentiment: Analysts and technical commentators remain constructive, citing projected earnings growth and breakout momentum. However, AMD trades at a demanding valuation near the upper end of recent price targets, leaving less room for disappointment and making execution of its AI product ramp critical. XLK, Oracle and AMD Forecast
• Negative Sentiment: Executive Vice President Forrest Norrod sold 17,261 shares for approximately $8.7 million under a pre-arranged Rule 10b5-1 plan. Broader data also shows substantial AMD insider selling and no reported insider purchases in the past six months, a potential sentiment concern even though the transactions may be scheduled. SEC Form 4 Filing
• Negative Sentiment: Huawei’s launch of more than 10 AI chip products highlights increasing competitive pressure, while higher TSMC and AI infrastructure costs could limit the benefit of any price increases if AMD cannot pass them fully to customers. Huawei Takes Aim at NVIDIA and AMD

Analyst Upgrades and Downgrades

AMD has been the subject of a number of research reports. UBS Group reissued an “overweight” rating on shares of Advanced Micro Devices in a research note on Friday, July 24th. Royal Bank Of Canada reiterated a “sector perform” rating and issued a $540.00 price objective on shares of Advanced Micro Devices in a report on Wednesday, August 5th. JPMorgan Chase & Co. boosted their price objective on Advanced Micro Devices from $385.00 to $550.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 5th. Stifel Nicolaus increased their target price on Advanced Micro Devices from $450.00 to $635.00 and gave the company a “buy” rating in a report on Friday, July 10th. Finally, Barclays lowered Advanced Micro Devices from an “overweight” rating to an “underweight” rating in a research note on Friday, June 12th. Three analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $565.12.

Advanced Micro Devices Stock Performance

The stock has a market cap of $913.89 billion, a price-to-earnings ratio of 143.91, a PEG ratio of 5.31 and a beta of 2.48. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.61 and a quick ratio of 1.91. The firm has a fifty day moving average of $494.21 and a 200 day moving average of $413.93.

Advanced Micro Devices (NASDAQ:AMD) last issued its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.62 by $0.04. Advanced Micro Devices had a return on equity of 12.30% and a net margin of 15.58%.The business had revenue of $11.54 billion during the quarter, compared to the consensus estimate of $11.31 billion. During the same period last year, the company earned $0.48 EPS. The company’s revenue for the quarter was up 50.1% on a year-over-year basis. As a group, sell-side analysts forecast that Advanced Micro Devices, Inc. will post 6.43 EPS for the current year.

Insider Transactions at Advanced Micro Devices

In other news, CEO Lisa Su sold 70,000 shares of the company’s stock in a transaction on Thursday, September 10th. The stock was sold at an average price of $506.80, for a total value of $35,476,000.00. Following the transaction, the chief executive officer owned 3,032,156 shares of the company’s stock, valued at $1,536,696,660.80. This represents a 2.26% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Jean X. Hu sold 15,000 shares of the business’s stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $474.08, for a total transaction of $7,111,200.00. Following the completion of the sale, the executive vice president owned 160,979 shares in the company, valued at approximately $76,316,924.32. This trade represents a 8.52% 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 sold a total of 213,838 shares of company stock valued at $105,533,836 in the last ninety days. 0.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Advanced Micro Devices

Several institutional investors and hedge funds have recently modified their holdings of AMD. Sarver Vrooman Wealth Advisors acquired a new position in shares of Advanced Micro Devices in the 4th quarter valued at about $27,000. Cornerstone Financial Management LLC acquired a new stake in shares of Advanced Micro Devices during the fourth quarter worth approximately $27,000. Basepoint Wealth LLC purchased a new position in Advanced Micro Devices during the fourth quarter valued at approximately $30,000. JNBA Financial Advisors grew its position in Advanced Micro Devices by 142.9% during the second quarter. JNBA Financial Advisors now owns 51 shares of the semiconductor manufacturer’s stock valued at $30,000 after purchasing an additional 30 shares in the last quarter. Finally, Graney & King LLC acquired a new position in Advanced Micro Devices in the 1st quarter valued at approximately $31,000. Hedge funds and other institutional investors own 71.34% of the company’s stock.

Advanced Micro Devices Company Profile

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.