Advanced Micro Devices (NASDAQ:AMD) Trading 18.4% Higher Following Better-Than-Expected Earnings

Advanced Micro Devices, Inc. (NASDAQ:AMD) shot up 18.4% during mid-day trading on Wednesday following a better than expected earnings announcement. The company traded as high as $430.60 and last traded at $420.5620. 86,651,438 shares were traded during mid-day trading, an increase of 119% from the average session volume of 39,515,184 shares. The stock had previously closed at $355.26.

The semiconductor manufacturer reported $1.37 EPS for the quarter, topping the consensus estimate of $1.29 by $0.08. Advanced Micro Devices had a return on equity of 8.84% and a net margin of 12.52%.The business had revenue of $10.25 billion during the quarter, compared to analysts’ expectations of $9.90 billion. During the same period in the previous year, the business earned $0.96 earnings per share. The firm’s revenue was up 37.8% on a year-over-year basis.

More Advanced Micro Devices News

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

• Positive Sentiment: Q1 beat and strong guidance — AMD topped estimates (EPS $1.37; revenue ~$10.25B), reported record data?center revenue (~$5.78B) and gave Q2 revenue guidance near $11.2B, a clear beat-and-raise that supports faster AI-driven server CPU/GPU demand. Read More.
• Positive Sentiment: Wall Street upgrades and price?target lifts — Several firms raised ratings and targets (examples include TD Cowen, Wells Fargo, Goldman/others), amplifying buy-side momentum and validating the updated growth outlook. Read More.
• Positive Sentiment: Manufacturing/capacity wins — Reports that AMD secured favorable TSMC capacity allocations for its AI/server roadmap eased a major execution risk and helped justify the upside in AI server demand. Read More.
• Positive Sentiment: Management voice supports accelerated AI adoption — CEO Lisa Su said AI “agents” and CPU demand are ramping faster than expected, reinforcing the thesis that AMD’s CPU + GPU portfolio can capture a meaningful share of AI infrastructure spend. Read More.
• Neutral Sentiment: Macro/tailwind context — Broader market drivers (Iran ceasefire headlines and falling oil) and sector rotation into semiconductors magnified AMD’s move, so part of the rally is liquidity/flow-driven rather than company?specific. Read More.
• Neutral Sentiment: ETF and sector crowding — ETFs with heavy semiconductor exposure (SOXX/SMH/FTXL) are benefitting from AMD’s run; that brings more capital but also concentration risk. Read More.
• Negative Sentiment: Valuation and “priced?for?perfection” risk — After a sharp run, several commentators warn AMD is richly valued and overbought; investors face sell?the?news/mean?reversion risk if future quarters or supply limits disappoint. Read More.
• Negative Sentiment: Execution and margin caveats — Management flagged supply/pricing dynamics (memory pricing, potential PC/gaming pressure) and there is visible insider selling history that some investors monitor as a governance/sentiment concern. Read More.

Wall Street Analysts Forecast Growth

Several research firms recently commented on AMD. Jefferies Financial Group cut Advanced Micro Devices from a “buy” rating to a “hold” rating in a research report on Wednesday. Sanford C. Bernstein upgraded Advanced Micro Devices from a “market perform” rating to an “outperform” rating and boosted their target price for the stock from $265.00 to $525.00 in a research report on Wednesday. Wedbush raised their price target on Advanced Micro Devices from $290.00 to $400.00 and gave the company an “outperform” rating in a research report on Monday. TD Cowen raised their price target on Advanced Micro Devices from $290.00 to $500.00 and gave the company a “buy” rating in a research report on Wednesday. Finally, The Goldman Sachs Group upgraded Advanced Micro Devices from a “neutral” rating to a “buy” rating and raised their price target for the company from $240.00 to $450.00 in a research report on Wednesday. One analyst has rated the stock with a Strong Buy rating, thirty-one have issued a Buy rating and twelve have issued a Hold rating to the company’s stock. According to MarketBeat.com, Advanced Micro Devices has an average rating of “Moderate Buy” and a consensus target price of $385.86.

Insider Transactions at Advanced Micro Devices

In other Advanced Micro Devices news, EVP Paul Darren Grasby sold 7,500 shares of the firm’s stock in a transaction dated Wednesday, March 11th. The stock was sold at an average price of $204.87, for a total transaction of $1,536,525.00. Following the sale, the executive vice president owned 129,598 shares in the company, valued at $26,550,742.26. This trade represents a 5.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Mark D. Papermaster sold 31,320 shares of the firm’s stock in a transaction dated Friday, April 24th. The shares were sold at an average price of $350.00, for a total value of $10,962,000.00. Following the transaction, the executive vice president directly owned 1,236,037 shares in the company, valued at $432,612,950. This trade represents a 2.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 304,672 shares of company stock worth $70,135,070. Company insiders own 0.50% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Columbia Bank grew its stake in shares of Advanced Micro Devices by 0.7% during the first quarter. Columbia Bank now owns 5,188 shares of the semiconductor manufacturer’s stock valued at $1,055,000 after buying an additional 34 shares during the last quarter. Evolution Wealth Management Inc. grew its stake in shares of Advanced Micro Devices by 11.0% during the first quarter. Evolution Wealth Management Inc. now owns 352 shares of the semiconductor manufacturer’s stock valued at $72,000 after buying an additional 35 shares during the last quarter. Focused Wealth Management Inc grew its stake in shares of Advanced Micro Devices by 2.7% during the first quarter. Focused Wealth Management Inc now owns 1,431 shares of the semiconductor manufacturer’s stock valued at $291,000 after buying an additional 37 shares during the last quarter. HHM Wealth Advisors LLC grew its stake in shares of Advanced Micro Devices by 2.4% during the third quarter. HHM Wealth Advisors LLC now owns 1,742 shares of the semiconductor manufacturer’s stock valued at $282,000 after buying an additional 40 shares during the last quarter. Finally, James J. Burns & Company LLC grew its stake in shares of Advanced Micro Devices by 2.3% in the fourth quarter. James J. Burns & Company LLC now owns 1,816 shares of the semiconductor manufacturer’s stock worth $389,000 after purchasing an additional 40 shares during the last quarter. 71.34% of the stock is owned by institutional investors.

Advanced Micro Devices Stock Up 18.4%

The company has a debt-to-equity ratio of 0.04, a current ratio of 2.85 and a quick ratio of 2.01. The company has a market capitalization of $685.66 billion, a P/E ratio of 158.70, a PEG ratio of 1.23 and a beta of 2.40. The company has a 50 day moving average of $235.61 and a 200-day moving average of $229.21.

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.