Advanced Micro Devices (NASDAQ:AMD) Trading Up 1% – Here’s Why

Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) rose 1% on Tuesday . The company traded as high as $475.99 and last traded at $474.32. 17,957,749 shares changed hands during mid-day trading, a decline of 50% from the average daily volume of 35,938,746 shares. The stock had previously closed at $469.56.

Key Stories Impacting Advanced Micro Devices

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

• Positive Sentiment: Wedbush identified a potential catalyst from Anthropic’s reported $9.1 billion, 20-year data-center lease with Riot Platforms. The deal highlights accelerating demand for AI infrastructure and could support AMD’s data-center business as capacity expands. Wedbush Flags Surprise AMD Catalyst From Anthropic
• Positive Sentiment: AMD’s Helios rack-scale AI systems are expected to begin ramping this quarter, potentially broadening the company’s role beyond individual chips and benefiting its hardware and infrastructure partners. AMD’s Helios Launch Could Create Winners Beyond AMD Stock
• Positive Sentiment: AMD expanded its AI roadmap through support for Meta’s Muse Glimmer 30B model on PCs, while the Taalas acquisition is expected to strengthen specialized AI-inference capabilities versus Nvidia and other competitors. AMD Brings Meta’s New AI Model to PCs
• Positive Sentiment: Northland Securities raised its FY2026 EPS estimate to $5.97 from $5.54 and its FY2027 forecast to $8.55 from $6.95, signaling improving expectations for future growth, although the firm maintained a Market Perform rating. Advanced Micro Devices analyst estimates
• Neutral Sentiment: At the KeyBanc Technology Leadership Forum, investors received additional commentary on AMD’s AI strategy and data-center plans, but the transcript did not provide a clearly new financial forecast. AMD KeyBanc Technology Leadership Forum transcript
• Negative Sentiment: Analysts caution that AMD’s rapid revenue growth may not translate into sufficient margin expansion. Concerns that the stock is priced for near-perfect execution have prompted rating downgrades and could limit further gains. AMD revenue growth and margin concerns
• Negative Sentiment: AMD remains highly valued relative to current earnings, while ongoing insider selling and a recent pullback in chip stocks reinforce investor sensitivity to AI-spending expectations and execution risk.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on AMD. Robert W. Baird set a $1,250.00 target price on shares of Advanced Micro Devices in a report on Friday, July 24th. Northland Securities restated a “market perform” rating and set a $260.00 price target on shares of Advanced Micro Devices in a research report on Monday, April 27th. KeyCorp set a $650.00 price objective on shares of Advanced Micro Devices in a research note on Wednesday, August 5th. Susquehanna raised their target price on shares of Advanced Micro Devices from $450.00 to $500.00 and gave the stock a “positive” rating in a research note on Thursday, July 30th. Finally, Wolfe Research set a $450.00 target price on Advanced Micro Devices and gave the stock an “outperform” rating in a report on Monday, June 15th. Three analysts have rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating, ten have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $546.87.

Advanced Micro Devices Stock Performance

The company has a debt-to-equity ratio of 0.03, a quick ratio of 1.91 and a current ratio of 2.61. The firm’s 50-day moving average price is $513.75 and its two-hundred day moving average price is $361.67. The stock has a market cap of $774.32 billion, a price-to-earnings ratio of 121.93 and a beta of 2.48.

Advanced Micro Devices (NASDAQ:AMD) last released its quarterly earnings data on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share (EPS) for the quarter, topping the consensus estimate 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 firm had revenue of $11.54 billion during the quarter, compared to analysts’ expectations of $11.31 billion. During the same period last year, the business earned $0.48 earnings per share. Advanced Micro Devices’s revenue was up 50.1% compared to the same quarter last year. On average, analysts expect that Advanced Micro Devices, Inc. will post 6.38 EPS for the current fiscal year.

Insider Activity

In other Advanced Micro Devices news, EVP Forrest Eugene Norrod sold 19,487 shares of the firm’s stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $431.40, for a total transaction of $8,406,691.80. Following the completion of the sale, the executive vice president owned 324,527 shares of the company’s stock, valued at $140,000,947.80. This trade represents a 5.66% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Nora Denzel sold 8,626 shares of the company’s stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $522.00, for a total value of $4,502,772.00. Following the completion of 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 position. The disclosure for this sale is available in the SEC filing. Insiders have sold 285,934 shares of company stock worth $130,353,006 over the last quarter. 0.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Vanguard Group Inc. increased its position in shares of Advanced Micro Devices by 1.6% during the fourth quarter. Vanguard Group Inc. now owns 158,522,860 shares of the semiconductor manufacturer’s stock valued at $33,949,256,000 after acquiring an additional 2,525,109 shares during the last quarter. BlackRock Inc. boosted its position in shares of Advanced Micro Devices by 3.1% during the 2nd quarter. BlackRock Inc. now owns 150,301,510 shares of the semiconductor manufacturer’s stock worth $87,311,650,000 after purchasing an additional 4,535,126 shares during the period. State Street Corp boosted its position in shares of Advanced Micro Devices by 1.5% during the 4th quarter. State Street Corp now owns 74,919,276 shares of the semiconductor manufacturer’s stock worth $16,044,712,000 after purchasing an additional 1,094,835 shares during the period. Geode Capital Management LLC increased its holdings in Advanced Micro Devices by 0.8% in the 4th quarter. Geode Capital Management LLC now owns 37,584,845 shares of the semiconductor manufacturer’s stock valued at $8,015,897,000 after purchasing an additional 287,525 shares during the last quarter. Finally, Norges Bank acquired a new stake in Advanced Micro Devices in the 4th quarter valued at approximately $4,929,312,000. Institutional investors and hedge funds own 71.34% of the company’s stock.

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.