Advanced Micro Devices (NASDAQ:AMD) Shares Down 3.1% – Should You Sell?

Advanced Micro Devices, Inc. (NASDAQ:AMD) dropped 3.1% during trading on Thursday . The company traded as low as $401.08 and last traded at $408.46. Approximately 44,555,752 shares traded hands during mid-day trading, an increase of 13% from the average daily volume of 39,586,625 shares. The stock had previously closed at $421.39.

More Advanced Micro Devices News

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

• Positive Sentiment: Blowout Q1 results and raised guidance — AMD’s Q1 beat (strong revenue, AI/data‑center strength) and bullish Q2 outlook remain the primary bullish drivers that sparked the recent rally. AMD Soars 14%: Q1 Crusher
• Positive Sentiment: Major analyst price‑target upgrades and buy reiterations — Several firms raised targets and upgraded coverage after the quarter, supporting upside expectations and sentiment in the near term. Analyst reaction / Goldman Sachs note
• Positive Sentiment: Supply/partner wins and ecosystem tailwinds — Reports cite TSMC capacity wins and customer partnerships (including an AMD enterprise AI deal mentioned alongside Rackspace), which reduce a key supply bottleneck and validate sustained data‑center demand. TSMC capacity win & earnings
• Neutral Sentiment: Corporate calendar item — AMD will hold its virtual Annual Meeting of Stockholders on May 13; management commentary there could influence near‑term expectations but is routine. Annual meeting notice
• Neutral Sentiment: Market/sector momentum — Nasdaq futures and chip ETFs rallied on AMD’s results, lifting the group; broader market moves (e.g., geopolitical headlines) are also contributing to intraday volatility. Nasdaq futures rally
• Negative Sentiment: Profit‑taking after a parabolic move — AMD ran into multi‑week and all‑time highs; some investors are locking gains after a rapid surge, which can push shares lower even with strong fundamentals. AI CPU thesis / profit‑taking note
• Negative Sentiment: Large redemptions and notable sellers — ARK and other high‑profile funds have trimmed AMD exposure (selling into the rally), amplifying downside pressure. ARK Invest shifts / AMD exit
• Negative Sentiment: Contrarian takes and downgrades raise short‑term uncertainty — A few analysts/commentators argue AMD is now richly valued versus peers (including a Seeking Alpha “time to sell” piece), which can feed headline‑driven selling even after strong results. AMD Has Flipped Nvidia: Time To Sell
• Negative Sentiment: Insider/institutional selling and valuation discussion — Reports of concentrated insider sales and some institutional repositioning (plus a high P/E after the rally) elevate caution for near‑term holders assessing risk vs. reward. Cathie Wood / ARK selling

Wall Street Analysts Forecast Growth

AMD has been the topic of a number of analyst reports. Morgan Stanley upped their price target on Advanced Micro Devices from $360.00 to $410.00 and gave the company an “equal weight” rating in a research report on Wednesday. China Renaissance started coverage on Advanced Micro Devices in a research report on Tuesday, January 13th. They set a “buy” rating and a $291.00 target price on the stock. Weiss Ratings upgraded Advanced Micro Devices from a “hold (c)” rating to a “hold (c+)” rating in a research report on Wednesday. Seaport Research Partners upgraded Advanced Micro Devices from a “neutral” rating to a “buy” rating and set a $430.00 target price on the stock in a research report on Wednesday. Finally, Oppenheimer lowered Advanced Micro Devices from a “market perform” rating to a “market perform” rating in a research report on Wednesday. Two analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating and twelve have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $388.84.

Advanced Micro Devices Trading Down 3.1%

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 firm has a fifty day simple moving average of $240.09 and a 200-day simple moving average of $230.52. The firm has a market cap of $665.93 billion, a P/E ratio of 133.92, a price-to-earnings-growth ratio of 1.26 and a beta of 2.40.

Advanced Micro Devices (NASDAQ:AMD) last released its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 EPS for the quarter, beating the consensus estimate of $1.29 by $0.08. The firm had revenue of $10.25 billion during the quarter, compared to the consensus estimate of $9.90 billion. Advanced Micro Devices had a return on equity of 9.68% and a net margin of 13.37%.The company’s quarterly revenue was up 37.8% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.96 earnings per share. On average, equities research analysts expect that Advanced Micro Devices, Inc. will post 5.91 earnings per share for the current year.

Insider Transactions at Advanced Micro Devices

In other news, EVP Mark D. Papermaster sold 31,320 shares of the business’s stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $350.00, for a total transaction of $10,962,000.00. Following the completion of the sale, the executive vice president owned 1,236,037 shares in the company, valued at $432,612,950. The trade was a 2.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Forrest Eugene Norrod sold 19,450 shares of the business’s stock in a transaction that occurred on Wednesday, February 11th. The shares were sold at an average price of $216.81, for a total value of $4,216,954.50. Following the sale, the executive vice president owned 289,098 shares of the company’s stock, valued at approximately $62,679,337.38. This represents a 6.30% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 304,672 shares of company stock worth $70,135,070. Insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Advanced Micro Devices

Hedge funds and other institutional investors have recently modified their holdings of the company. Joseph Group Capital Management bought a new stake in shares of Advanced Micro Devices during the fourth quarter valued at approximately $25,000. ORG Wealth Partners LLC lifted its holdings in shares of Advanced Micro Devices by 39.7% in the third quarter. ORG Wealth Partners LLC now owns 162 shares of the semiconductor manufacturer’s stock valued at $26,000 after purchasing an additional 46 shares in the last quarter. Koesten Hirschmann & Crabtree INC. lifted its holdings in shares of Advanced Micro Devices by 61.0% in the third quarter. Koesten Hirschmann & Crabtree INC. now owns 161 shares of the semiconductor manufacturer’s stock valued at $26,000 after purchasing an additional 61 shares in the last quarter. Sarver Vrooman Wealth Advisors bought a new position in shares of Advanced Micro Devices in the fourth quarter valued at approximately $27,000. Finally, Cornerstone Financial Management LLC bought a new position in shares of Advanced Micro Devices in the fourth quarter valued at approximately $27,000. 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.