Advanced Micro Devices (NASDAQ:AMD) Trading Up 1.1% – Here’s Why

Advanced Micro Devices, Inc. (NASDAQ:AMD) shot up 1.1% during mid-day trading on Monday . The company traded as high as $475.81 and last traded at $470.72. 12,237,515 shares changed hands during trading, a decline of 64% from the average daily volume of 34,427,598 shares. The stock had previously closed at $465.58.

Key Stories Impacting Advanced Micro Devices

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

• Positive Sentiment: AMD, Cisco and Saudi Arabian AI company HUMAIN have brought production AI infrastructure online in Saudi Arabia. The platform uses AMD Instinct MI355X GPUs, AMD EPYC CPUs and Cisco Silicon One networking, giving AMD a live international deployment and potentially strengthening its position in enterprise and sovereign AI markets. AMD, Cisco and HUMAIN Expand Saudi Arabia’s AI Infrastructure as AMD Instinct Systems Go Live
• Positive Sentiment: The partners plan to deploy up to 250 megawatts of additional AI infrastructure beginning in 2027, with broader plans reportedly targeting as much as 1 gigawatt by 2030. These commitments could create a meaningful long-term opportunity for AMD’s GPU and CPU businesses. AMD Expands Global AI Footprint With New Saudi Platform
• Positive Sentiment: Recent coverage also points to new AI infrastructure and supercomputer collaborations, helping reinforce investor expectations that AMD can capture a larger share of the rapidly growing AI-computing market. AMD Stock Rises on New AI Infrastructure and Supercomputer Collaborations
• Neutral Sentiment: Wall Street Zen reportedly upgraded AMD’s stock rating, providing a modest sentiment boost, though the available report does not specify the revised rating or investment rationale. Advanced Micro Devices Stock Rating Upgraded by Wall Street Zen
• Negative Sentiment: ARK Invest sold approximately $74.5 million of AMD shares while increasing positions in Nvidia and Broadcom. The transaction may weigh on sentiment and highlights competition for investor capital within the AI-chip sector. Cathie Wood Sells AMD Stock and Buys Nvidia and Broadcom
• Negative Sentiment: Potential U.S. tariffs on imported semiconductors and components could raise AMD’s supply-chain and manufacturing costs, adding regulatory and trade-policy uncertainty. Advanced Micro Devices Is Exposed to Proposed U.S. Chip Tariffs
• Negative Sentiment: Analysts also caution that Nvidia’s newer chip products are growing rapidly, potentially intensifying pressure on AMD as it competes for AI accelerator demand. Nvidia Just Delivered Bad News for AMD and Intel

Analyst Ratings Changes

AMD has been the topic of a number of research reports. Roth Capital raised their price target on Advanced Micro Devices from $500.00 to $650.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Zacks Research upgraded Advanced Micro Devices from a “hold” rating to a “strong-buy” rating in a report on Monday, August 3rd. Jefferies Financial Group set a $650.00 price objective on Advanced Micro Devices in a research report on Wednesday, August 5th. KeyCorp set a $650.00 price objective on Advanced Micro Devices in a report on Wednesday, August 5th. Finally, Wedbush restated an “outperform” rating and issued a $600.00 target price on shares of Advanced Micro Devices in a research report on Wednesday, August 5th. Four analysts have rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $553.72.

Advanced Micro Devices Price Performance

The firm has a fifty day moving average of $505.66 and a two-hundred day moving average of $385.61. 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 company has a market capitalization of $768.44 billion, a PE ratio of 121.01 and a beta of 2.48.

Advanced Micro Devices (NASDAQ:AMD) last announced its quarterly earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 EPS for the quarter, topping analysts’ consensus estimates of $1.62 by $0.04. Advanced Micro Devices had a return on equity of 12.30% and a net margin of 15.58%.The business had revenue of $11.54 billion for the quarter, compared to analysts’ expectations of $11.31 billion. During the same period in the previous year, the firm earned $0.48 EPS. The business’s quarterly revenue was up 50.1% on a year-over-year basis. Research analysts anticipate that Advanced Micro Devices, Inc. will post 6.44 EPS for the current fiscal year.

Insider Activity at Advanced Micro Devices

In other Advanced Micro Devices news, EVP Mark D. Papermaster sold 28,811 shares of the stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $471.87, for a total transaction of $13,595,046.57. Following the completion of the sale, the executive vice president owned 1,261,461 shares of the company’s stock, valued at $595,245,602.07. This represents a 2.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Jean X. Hu sold 15,000 shares of the firm’s stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $474.08, for a total transaction of $7,111,200.00. Following the completion of the sale, the executive vice president directly owned 160,979 shares in the company, valued at approximately $76,316,924.32. This trade represents a 8.52% decrease in their position. 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 241,203 shares of company stock worth $114,011,942 over the last ninety days. Insiders own 0.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of AMD. California State Teachers Retirement System raised its holdings in Advanced Micro Devices by 58,272.0% in the 2nd quarter. California State Teachers Retirement System now owns 1,436,775,740 shares of the semiconductor manufacturer’s stock worth $834,637,395,000 after purchasing an additional 1,434,314,328 shares in the last quarter. Norges Bank bought a new stake in shares of Advanced Micro Devices during the 4th quarter valued at about $4,929,312,000. Bank of America Corp DE bought a new stake in shares of Advanced Micro Devices during the 2nd quarter valued at about $7,022,226,000. Cardano Risk Management B.V. purchased a new position in shares of Advanced Micro Devices during the fourth quarter valued at about $1,000,783,000. Finally, BlackRock Inc. increased its position in shares of Advanced Micro Devices by 3.1% during the second quarter. BlackRock Inc. now owns 150,301,510 shares of the semiconductor manufacturer’s stock valued at $87,311,650,000 after buying an additional 4,535,126 shares during the period. 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.