Advanced Micro Devices (NASDAQ:AMD) Stock Price Up 13% on Analyst Upgrade

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s stock price rose 13% during trading on Thursday after Susquehanna raised their price target on the stock from $450.00 to $500.00. Susquehanna currently has a positive rating on the stock. Advanced Micro Devices traded as high as $498.20 and last traded at $485.39. 36,234,132 shares changed hands during mid-day trading, a decline of 0% from the average daily volume of 36,296,258 shares. The stock had previously closed at $429.56.

Several other research analysts have also recently issued reports on AMD. Benchmark upped their price objective on Advanced Micro Devices from $485.00 to $685.00 and gave the stock a “buy” rating in a research report on Wednesday, July 22nd. Wedbush raised their target price on Advanced Micro Devices from $450.00 to $600.00 and gave the stock an “outperform” rating in a research report on Monday. Wolfe Research set a $450.00 target price on Advanced Micro Devices and gave the stock an “outperform” rating in a research note on Monday, June 15th. JPMorgan Chase & Co. upped 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. Finally, Bank of America increased their price target on shares of Advanced Micro Devices from $550.00 to $620.00 and gave the company a “buy” rating in a research note on Tuesday, July 14th. Two 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 assigned a Sell rating to the stock. Based on data from MarketBeat.com, Advanced Micro Devices presently has a consensus rating of “Moderate Buy” and a consensus target price of $529.46.

Insider Activity at Advanced Micro Devices

In other news, Director Nora Denzel sold 8,626 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $522.00, for a total transaction of $4,502,772.00. Following the transaction, the director directly owned 87,173 shares in the company, valued at approximately $45,504,306. This trade represents a 9.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Lisa T. Su sold 125,000 shares of the firm’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 transaction of $57,586,250.00. Following the transaction, the chief executive officer owned 2,896,899 shares in the company, valued at approximately $1,334,572,400.31. This trade represents a 4.14% 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 a total of 310,310 shares of company stock valued at $141,185,456 over the last 90 days. 0.50% of the stock is owned by insiders.

More Advanced Micro Devices News

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

• Positive Sentiment: Analyst upgrades strengthened the bullish case. Susquehanna raised its AMD price target from $450 to $500 and assigned a “Positive” rating ahead of the company’s Aug. 4 earnings report. Wedbush separately lifted its target to $600, citing expected acceleration in AMD’s data-center business from Microsoft and Anthropic partnerships. Susquehanna raises AMD price target
• Positive Sentiment: AI infrastructure demand remains the key catalyst. AMD’s agreement with Core Scientific provides more than 500 megawatts of U.S. data-center capacity beginning in 2027, with an option to expand to 2.5 gigawatts. Bernstein estimates the partnership could generate roughly $14 billion in revenue over 15 years, while Wedbush views it as evidence that AMD is addressing the infrastructure bottleneck limiting AI-chip deployments. Bernstein estimates AMD Core Scientific deal value
• Positive Sentiment: Broader confidence in AI spending lifted AMD. Microsoft’s stronger-than-expected cloud results helped ease concerns about a slowdown in hyperscaler investment. An Anthropic developer’s comments about the need for more powerful CPUs also highlighted potential demand for AMD’s server processors. AMD and Intel rebound on AI infrastructure optimism
• Neutral Sentiment: Earnings are the next major test. Investors are focused on AMD’s second-quarter results and outlook, with expectations for continued revenue and earnings growth. The company’s prior quarter exceeded consensus estimates, but its elevated valuation leaves little room for disappointing guidance.
• Negative Sentiment: Valuation and competitive risks remain. Recent reports cited concerns about AMD’s high earnings multiple, increased competition from China and custom AI-chip developers, and reports of a new 4 GB GPU. In addition, recent institutional filings showed some fund reductions, while AMD insiders have reported selling shares without open-market purchases. AMD valuation and China technology risks

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the business. Southpoint Capital Advisors LP boosted its stake in shares of Advanced Micro Devices by 50.0% in the first quarter. Southpoint Capital Advisors LP now owns 900,000 shares of the semiconductor manufacturer’s stock valued at $183,087,000 after buying an additional 300,000 shares in the last quarter. Jefferies Financial Group Inc. raised its position in Advanced Micro Devices by 6,228.8% in the fourth quarter. Jefferies Financial Group Inc. now owns 308,021 shares of the semiconductor manufacturer’s stock worth $65,966,000 after acquiring an additional 303,154 shares in the last quarter. Boomfish Wealth Group LLC acquired a new stake in Advanced Micro Devices in the first quarter valued at $1,193,000. Dimensional Fund Advisors LP lifted its holdings in Advanced Micro Devices by 6.0% in the first quarter. Dimensional Fund Advisors LP now owns 5,142,516 shares of the semiconductor manufacturer’s stock valued at $1,045,954,000 after acquiring an additional 291,165 shares during the period. Finally, Williamson Legacy Group LLC purchased a new stake in shares of Advanced Micro Devices during the 4th quarter worth $1,118,000. 71.34% of the stock is currently owned by institutional investors and hedge funds.

Advanced Micro Devices Stock Up 13.0%

The company has a debt-to-equity ratio of 0.04, a quick ratio of 1.96 and a current ratio of 2.72. The company has a market capitalization of $791.48 billion, a PE ratio of 159.14 and a beta of 2.47. The firm’s 50-day simple moving average is $514.54 and its 200 day simple moving average is $346.81.

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, beating the consensus estimate of $1.29 by $0.08. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The firm had revenue of $10.25 billion during the quarter, compared to analysts’ expectations of $9.90 billion. During the same quarter last year, the business earned $0.96 earnings per share. The business’s revenue for the quarter was up 37.8% compared to the same quarter last year. As a group, equities research analysts forecast that Advanced Micro Devices, Inc. will post 6.27 earnings per share for the current 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.