Advanced Micro Devices (NASDAQ:AMD) Stock Price Up 6.4% – Time to Buy?

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s share price was up 6.4% during mid-day trading on Thursday . The stock traded as high as $551.42 and last traded at $545.09. Approximately 28,170,370 shares were traded during trading, a decline of 16% from the average session volume of 33,436,703 shares. The stock had previously closed at $512.50.

Key Stories Impacting Advanced Micro Devices

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

• Positive Sentiment: A report citing rumors that AMD may have only one major GPU release in 2027 suggests a potential window in which the company could face less direct competition from NVIDIA. Investors viewed the possibility as a boost to AMD’s future data-center GPU opportunity. AMD stock rises on a rumor that could give it a 2027 GPU edge
• Positive Sentiment: AMD executives said AI adoption remains in its early stages, with demand expanding from training to inference and broader system-level integration. That outlook supports expectations for continued growth in AMD’s Instinct accelerators, CPUs, and AI platforms. AMD says AI adoption is still early
• Positive Sentiment: Reports that AMD and other chipmakers may raise GPU and CPU prices by approximately 10%, partly reflecting higher infrastructure and manufacturing costs, raised hopes for stronger pricing power and revenue growth. Nebius’s planned cloud-price increases also reinforced the view that AI-computing demand remains strong. AMD stock rises on reports of chip price increases
• Positive Sentiment: The broader semiconductor sector rebounded after the Federal Reserve’s decision, with investors moving beyond NVIDIA into AMD and Intel. AMD also moved into a technically favorable buy area after breaking above a key chart level, attracting momentum-focused buyers. AI stocks break out after the FOMC
• Positive Sentiment: AMD’s ROCm software is being adapted for SiFive’s RISC-V data-center servers, potentially broadening its AI-software ecosystem. Separately, GMKtec unveiled a desktop AI system using AMD Ryzen AI Max processors, providing additional evidence of demand for AMD-powered AI products. AMD expands ROCm support to RISC-V servers
• Neutral Sentiment: Analysts remain broadly constructive, citing strong earnings growth and AMD’s role as NVIDIA’s leading challenger. However, the stock’s elevated valuation and proximity to consensus price targets leave limited room for execution misses.
• Negative Sentiment: EVP Forrest Norrod sold 17,261 shares under a pre-arranged Rule 10b5-1 plan. The transaction is a modest ownership reduction, but reports of extensive insider selling and no recent insider purchases could temper sentiment. SEC insider-sale filing

Analyst Ratings Changes

Several brokerages have commented on AMD. Benchmark upped their target price on shares of Advanced Micro Devices from $485.00 to $685.00 and gave the company a “buy” rating in a research note on Wednesday, July 22nd. UBS Group reissued an “overweight” rating on shares of Advanced Micro Devices in a research note on Friday, July 24th. Loop Capital upgraded Advanced Micro Devices to a “strong-buy” rating in a report on Tuesday, June 16th. Wells Fargo & Company lifted their price target on shares of Advanced Micro Devices from $615.00 to $700.00 and gave the company an “overweight” rating in a research note on Wednesday, August 5th. Finally, Citigroup raised shares of Advanced Micro Devices from a “market perform” rating to a “buy” rating in a research report on Wednesday, July 22nd. Three investment analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, ten have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $565.12.

Advanced Micro Devices Stock Up 2.7%

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 stock has a market cap of $913.89 billion, a P/E ratio of 143.91, a PEG ratio of 5.65 and a beta of 2.48. The firm has a 50-day simple moving average of $494.24 and a two-hundred day simple moving average of $414.95.

Advanced Micro Devices (NASDAQ:AMD) last announced its earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.62 by $0.04. Advanced Micro Devices had a net margin of 15.58% and a return on equity of 12.30%. The company had revenue of $11.54 billion during the quarter, compared to analysts’ expectations of $11.31 billion. During the same quarter in the previous year, the business posted $0.48 earnings per share. Advanced Micro Devices’s quarterly revenue was up 50.1% on a year-over-year basis. Equities research analysts expect that Advanced Micro Devices, Inc. will post 6.43 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Lisa Su sold 25,000 shares of the stock in a transaction that occurred on Thursday, September 10th. The stock was sold at an average price of $506.79, for a total transaction of $12,669,750.00. Following the sale, the chief executive officer owned 74,211 shares of the company’s stock, valued at $37,609,392.69. This represents a 25.20% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Mark Papermaster sold 28,811 shares of Advanced Micro Devices stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $471.87, for a total value of $13,595,046.57. Following the completion of the transaction, the executive vice president directly owned 1,261,461 shares of the company’s stock, valued at $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 sold a total of 213,838 shares of company stock valued at $105,533,836 in the last quarter. Company insiders own 0.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in AMD. First National Bank of Hutchinson increased its stake in shares of Advanced Micro Devices by 0.4% in the 2nd quarter. First National Bank of Hutchinson now owns 5,639 shares of the semiconductor manufacturer’s stock valued at $3,276,000 after purchasing an additional 22 shares during the last quarter. Delta Asset Management LLC TN grew its position in Advanced Micro Devices by 1.5% in the second quarter. Delta Asset Management LLC TN now owns 1,497 shares of the semiconductor manufacturer’s stock valued at $870,000 after acquiring an additional 22 shares during the last quarter. Park Place Capital Corp raised its stake in Advanced Micro Devices by 19.5% during the second quarter. Park Place Capital Corp now owns 141 shares of the semiconductor manufacturer’s stock worth $82,000 after acquiring an additional 23 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd lifted its holdings in shares of Advanced Micro Devices by 12.8% in the first quarter. Clal Insurance Enterprises Holdings Ltd now owns 212 shares of the semiconductor manufacturer’s stock worth $43,000 after acquiring an additional 24 shares during the last quarter. Finally, Round Rock Advisors LLC lifted its holdings in shares of Advanced Micro Devices by 2.3% in the second quarter. Round Rock Advisors LLC now owns 1,048 shares of the semiconductor manufacturer’s stock worth $609,000 after acquiring an additional 24 shares during the last quarter. 71.34% of the stock is owned by institutional investors.

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.