Advanced Micro Devices’ (AMD) “Outperform” Rating Reaffirmed at Wedbush

Advanced Micro Devices (NASDAQ:AMD)‘s stock had its “outperform” rating reaffirmed by equities research analysts at Wedbush in a research report issued on Wednesday, Benzinga reports. They presently have a $600.00 price objective on the semiconductor manufacturer’s stock. Wedbush‘s target price indicates a potential upside of 17.56% from the company’s current price.

A number of other analysts have also recently commented on the stock. Royal Bank Of Canada restated a “sector perform” rating and set a $540.00 target price on shares of Advanced Micro Devices in a report on Wednesday, August 5th. Wall Street Zen cut shares of Advanced Micro Devices from a “buy” rating to a “hold” rating in a research report on Saturday. Union Gaming Research reissued a “positive” rating on shares of Advanced Micro Devices in a research note on Wednesday. Benchmark upped their price objective on shares of Advanced Micro Devices from $485.00 to $685.00 and gave the stock a “buy” rating in a report on Wednesday, July 22nd. Finally, Wells Fargo & Company reaffirmed an “overweight” rating and set a $650.00 target price on shares of Advanced Micro Devices in a research note on Wednesday. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, Advanced Micro Devices presently has a consensus rating of “Moderate Buy” and an average target price of $608.22.

Advanced Micro Devices Trading Up 5.5%

AMD opened at $510.39 on Wednesday. The company has a quick ratio of 1.91, a current ratio of 2.61 and a debt-to-equity ratio of 0.03. Advanced Micro Devices has a 52 week low of $188.22 and a 52 week high of $658.52. The stock has a market cap of $833.20 billion, a PE ratio of 124.72, a PEG ratio of 4.79 and a beta of 2.49. The business has a 50 day moving average of $548.70 and a 200-day moving average of $411.73.

Advanced Micro Devices (NASDAQ:AMD) last issued its quarterly earnings results on Tuesday, November 3rd. The semiconductor manufacturer reported $2.09 earnings per share for the quarter, topping the consensus estimate of $1.95 by $0.14. The company had revenue of $13.38 billion for the quarter, compared to analysts’ expectations of $13.10 billion. Advanced Micro Devices had a return on equity of 12.30% and a net margin of 15.58%. The firm’s revenue for the quarter was up 44.7% on a year-over-year basis. During the same period in the prior year, the firm earned $1.20 earnings per share. Equities research analysts predict that Advanced Micro Devices will post 6.50 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Advanced Micro Devices news, EVP Jean X. Hu sold 15,000 shares of Advanced Micro Devices stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $474.08, for a total value of $7,111,200.00. Following the completion of the transaction, the executive vice president directly owned 160,979 shares of the company’s stock, valued at approximately $76,316,924.32. The trade was a 8.52% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Forrest Norrod sold 17,262 shares of Advanced Micro Devices stock in a transaction dated Thursday, October 15th. The stock was sold at an average price of $540.70, for a total transaction of $9,333,563.40. Following the completion of the transaction, the executive vice president directly owned 353,317 shares of the company’s stock, valued at $191,038,501.90. This trade represents a 4.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 231,100 shares of company stock worth $114,867,400 over the last quarter. 0.50% of the stock is owned by insiders.

Institutional Investors Weigh In On Advanced Micro Devices

Several institutional investors and hedge funds have recently made changes to their positions in the company. DecisionPoint Financial LLC grew its position in Advanced Micro Devices by 79.2% in the 3rd quarter. DecisionPoint Financial LLC now owns 43 shares of the semiconductor manufacturer’s stock valued at $26,000 after buying an additional 19 shares during the last quarter. MJT & Associates Financial Advisory Group Inc. purchased a new position in Advanced Micro Devices during the 3rd quarter worth $29,000. JNBA Financial Advisors raised its position in Advanced Micro Devices by 142.9% during the 2nd quarter. JNBA Financial Advisors now owns 51 shares of the semiconductor manufacturer’s stock worth $30,000 after buying an additional 30 shares during the last quarter. Downshift Financial LLC lifted its stake in shares of Advanced Micro Devices by 850.0% in the 3rd quarter. Downshift Financial LLC now owns 57 shares of the semiconductor manufacturer’s stock worth $35,000 after acquiring an additional 51 shares during the period. Finally, Sawyer & Company Inc acquired a new stake in Advanced Micro Devices in the third quarter valued at about $37,000. Institutional investors own 71.34% of the company’s stock.

Key Stories Impacting Advanced Micro Devices

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

• Positive Sentiment: AMD beat third-quarter estimates, with revenue of $13.38 billion and earnings of $2.09 per share. Data Center revenue nearly doubled, rising 97% to $8.55 billion, led by Instinct GPU and EPYC CPU sales. Reuters report on AMD’s results and outlook
• Positive Sentiment: The fourth-quarter revenue forecast of about $17 billion topped expectations. Management also sees AI Data Center revenue more than doubling in 2027, reinforcing expectations that AI demand can sustain rapid growth. Benzinga report on AMD’s AI outlook
• Positive Sentiment: Several analysts remain constructive: DA Davidson raised its price target to $600, while Cantor Fitzgerald and Rosenblatt reaffirmed $700 targets. Benzinga summary of analyst revisions
• Neutral Sentiment: Analyst views are mixed following the results, with some target increases and some cuts. The strong outlook has eased concerns about the durability of AI spending, but investors will look for evidence that demand converts into sustained profits and cash generation. CNBC analyst reaction
• Negative Sentiment: Cash generation is a key watchpoint: reports highlighted sharply lower free cash flow and a sizable inventory build as AMD invests to meet anticipated demand. The company’s 55% fourth-quarter gross-margin forecast also came in slightly below expectations, with high-bandwidth memory availability posing a potential constraint. Barchart analysis of inventory and cash flow
• Negative Sentiment: AMD’s valuation remains demanding after its sharp rally, leaving the stock vulnerable if growth or margins fall short of elevated expectations. Valuation and risk analysis

About Advanced Micro Devices

Advanced Micro Devices, Inc (NASDAQ: AMD) is a global semiconductor company that designs high-performance computing, graphics and adaptive computing products. Its offerings serve data centers, personal computers, gaming systems, embedded markets and other specialized applications.

AMD’s product portfolio includes Ryzen processors for desktop and notebook computers, EPYC server processors, Radeon graphics processing units, and Instinct accelerators for artificial intelligence and high-performance computing.