Advanced Micro Devices (NASDAQ:AMD) Stock Price Down 2% – Here’s Why

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) dropped 2% during mid-day trading on Tuesday . The company traded as low as $194.83 and last traded at $203.08. Approximately 32,389,213 shares traded hands during mid-day trading, a decline of 20% from the average daily volume of 40,659,770 shares. The stock had previously closed at $207.32.

Trending Headlines about Advanced Micro Devices

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

• Positive Sentiment: AMD expanded its Helios rack‑scale AI partnership with Tata Consultancy Services to roll out large-scale AI infrastructure in India, supporting enterprise adoption and positioning AMD against Nvidia in a fast‑growing market. AMD and TCS to bring state-of-the-art ‘Helios’ rack-scale AI architecture to India
• Positive Sentiment: Analysts and some commentators say data-center demand is strong and recent company commentary set new records for data-center bookings, arguing the market’s sell-off is an overreaction — a bullish structural signal for long‑term revenue growth. AMD Sell-Off Shocks Analysts as Data Center Demand Sets New Record
• Positive Sentiment: Wall Street coverage remains largely positive with multiple buy/outperform ratings and a median 6‑month price target well above current levels, which supports upside sentiment for investors looking past short‑term volatility. SPY is down 0.4% today, on AMD stock price movement
• Neutral Sentiment: The board granted CEO a long‑term performance‑based equity award (Feb. 10–11); standard for tech firms but dilutive over time depending on vesting metrics. AMD Grants CEO Long-Term Performance-Based Equity Award
• Neutral Sentiment: Coverage pieces (Zacks/Fool/others) highlight AMD as a strong growth/AI play, reinforcing the growth narrative but not changing near‑term catalysts. Here’s Why Advanced Micro Devices (AMD) is a Strong Growth Stock
• Negative Sentiment: Reports surfaced of a delay to the Instinct MI455X accelerator, a direct execution risk for AMD’s data‑center roadmap and a key reason cited for weakness in the stock today. AMD Stock Falls on Reported Instinct MI455X Delay
• Negative Sentiment: Market reaction to product/competitive news from Nvidia and Meta triggered an after‑hours selloff, amplifying volatility despite AMD’s positive updates. Why AMD Stock Slipped Today and Why One Investor Says ‘Buy the Dip’
• Negative Sentiment: Significant insider selling has been reported (including CEO sales), which can weigh on investor sentiment even if insiders cite diversification or tax reasons. Insider Selling: Advanced Micro Devices (NASDAQ:AMD) CEO Sells $26,795,000.00 in Stock
• Negative Sentiment: Some analysts remain critical of near‑term execution and have voiced that recent results or guidance are “not good enough,” adding downward pressure on sentiment. ‘It’s Not Good Enough,’ Says Analyst About AMD Stock

Analysts Set New Price Targets

AMD has been the topic of a number of recent analyst reports. Loop Capital set a $290.00 target price on Advanced Micro Devices and gave the stock a “buy” rating in a report on Wednesday, November 5th. Wall Street Zen raised Advanced Micro Devices from a “hold” rating to a “buy” rating in a research note on Monday, January 26th. Raymond James Financial initiated coverage on shares of Advanced Micro Devices in a report on Thursday, November 20th. They set an “outperform” rating and a $377.00 target price for the company. Melius Research set a $380.00 price target on Advanced Micro Devices in a research report on Wednesday, November 12th. Finally, CICC Research raised shares of Advanced Micro Devices from a “market perform” rating to an “outperform” rating and set a $265.00 target price on the stock in a report on Friday, November 7th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and ten have issued a Hold rating to the stock. According to data from MarketBeat, Advanced Micro Devices has an average rating of “Moderate Buy” and a consensus price target of $288.17.

Advanced Micro Devices Stock Down 2.0%

The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.01 and a current ratio of 2.85. The stock has a market cap of $331.10 billion, a P/E ratio of 76.63, a P/E/G ratio of 0.78 and a beta of 1.94. The stock’s fifty day simple moving average is $221.05 and its 200-day simple moving average is $206.50.

Advanced Micro Devices (NASDAQ:AMD) last posted its quarterly earnings data on Tuesday, February 3rd. The semiconductor manufacturer reported $1.53 EPS for the quarter, topping analysts’ consensus estimates of $1.32 by $0.21. The firm had revenue of $10.27 billion for the quarter, compared to analyst estimates of $9.65 billion. Advanced Micro Devices had a return on equity of 8.84% and a net margin of 12.52%.The company’s revenue was up 34.1% on a year-over-year basis. During the same quarter last year, the company earned $1.09 EPS. As a group, research analysts forecast that Advanced Micro Devices, Inc. will post 3.87 earnings per share for the current fiscal year.

Insider Activity

In other news, SVP Ava Hahn sold 2,442 shares of the company’s stock in a transaction that occurred on Friday, January 16th. The shares were sold at an average price of $234.42, for a total transaction of $572,453.64. Following the completion of the sale, the senior vice president owned 16,359 shares of the company’s stock, valued at approximately $3,834,876.78. This represents a 12.99% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, EVP Forrest Eugene Norrod sold 19,450 shares of Advanced Micro Devices stock in a transaction that occurred on Wednesday, November 19th. The shares were sold at an average price of $229.37, for a total transaction of $4,461,246.50. Following the completion of the transaction, the executive vice president directly owned 300,348 shares in the company, valued at $68,890,820.76. This trade represents a 6.08% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 291,342 shares of company stock worth $62,938,155. 0.06% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in AMD. Impax Asset Management Group plc raised its stake in Advanced Micro Devices by 326.5% during the 3rd quarter. Impax Asset Management Group plc now owns 52,068 shares of the semiconductor manufacturer’s stock worth $8,424,000 after buying an additional 39,861 shares during the period. Waterfront Wealth Inc. acquired a new position in Advanced Micro Devices during the second quarter worth $1,145,000. Global Retirement Partners LLC bought a new position in shares of Advanced Micro Devices in the second quarter valued at $4,519,000. Cornercap Investment Counsel Inc. grew its holdings in shares of Advanced Micro Devices by 43.3% during the second quarter. Cornercap Investment Counsel Inc. now owns 12,245 shares of the semiconductor manufacturer’s stock valued at $1,738,000 after buying an additional 3,702 shares during the last quarter. Finally, Swiss National Bank boosted its stake in Advanced Micro Devices by 7.5% during the 2nd quarter. Swiss National Bank now owns 4,917,975 shares of the semiconductor manufacturer’s stock valued at $697,861,000 after purchasing an additional 341,000 shares during the last quarter. Institutional investors own 71.34% of the company’s stock.

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.