Advanced Micro Devices (NASDAQ:AMD) Shares Gap Down – Here’s Why

Advanced Micro Devices, Inc. (NASDAQ:AMD)’s stock price gapped down before the market opened on Tuesday . The stock had previously closed at $552.05, but opened at $515.91. Advanced Micro Devices shares last traded at $513.8520, with a volume of 4,789,482 shares changing hands.

Advanced Micro Devices News Roundup

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

• Positive Sentiment: Chip stocks, including AMD, are rebounding premarket as investors buy back into AI hardware names after two days of heavy selling. Micron, AMD, Intel surge premarket: why chip stocks are roaring back
• Positive Sentiment: Recent Wall Street target hikes are helping restore sentiment across the chip sector, which may support AMD’s valuation despite its recent volatility. NVDA, AMD, INTC, MU, and Others: Why Chip Stocks Are Rebounding in Pre-Market Today after This Week’s Selloff, 7/9/26
• Positive Sentiment: AMD confirmed it will report fiscal second-quarter 2026 results on August 4, giving investors a near-term catalyst for updated guidance and AI-related commentary. AMD to Report Fiscal Second Quarter 2026 Financial Results
• Positive Sentiment: AMD’s collaboration with self-driving startup Turing and its Ryzen AI Halo launch reinforce the company’s push into new AI and edge-computing markets. Advanced Micro Devices (AMD): Top 10 Best Stock to Buy in Glen Kacher’s Portfolio

Analysts Set New Price Targets

Several analysts have recently commented on AMD shares. JPMorgan Chase & Co. raised their target price on Advanced Micro Devices from $270.00 to $385.00 and gave the stock a “neutral” rating in a research report on Wednesday, May 6th. Royal Bank Of Canada upped their price target on Advanced Micro Devices from $325.00 to $400.00 and gave the company a “sector perform” rating in a research report on Wednesday, May 6th. Cantor Fitzgerald increased their price objective on Advanced Micro Devices from $500.00 to $700.00 and gave the stock an “overweight” rating in a research note on Monday, June 29th. Melius Research set a $540.00 price objective on Advanced Micro Devices in a research report on Monday, May 18th. Finally, Loop Capital raised Advanced Micro Devices to a “strong-buy” rating in a research note on Tuesday, June 16th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Advanced Micro Devices has an average rating of “Moderate Buy” and an average price target of $453.92.

Advanced Micro Devices Price Performance

The company has a quick ratio of 1.96, a current ratio of 2.72 and a debt-to-equity ratio of 0.04. The stock’s 50 day moving average price is $482.72 and its two-hundred day moving average price is $314.89. The firm has a market capitalization of $843.69 billion, a price-to-earnings ratio of 169.64, a P/E/G ratio of 1.52 and a beta of 2.47.

Advanced Micro Devices (NASDAQ:AMD) last released its quarterly earnings data on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.29 by $0.08. Advanced Micro Devices had a return on equity of 9.55% and a net margin of 13.37%.The firm had revenue of $10.25 billion during the quarter, compared to analysts’ expectations of $9.90 billion. During the same quarter last year, the firm earned $0.96 earnings per share. The business’s revenue for the quarter was up 37.8% on a year-over-year basis. Analysts anticipate that Advanced Micro Devices, Inc. will post 6.15 EPS for the current fiscal year.

Insider Buying and Selling at Advanced Micro Devices

In related news, CEO Lisa T. Su sold 125,000 shares of the stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $460.69, for a total value of $57,586,250.00. Following the transaction, the chief executive officer owned 2,896,899 shares in the company, valued at approximately $1,334,572,400.31. This represents a 4.14% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paul Darren Grasby sold 24,376 shares of the firm’s stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $444.39, for a total transaction of $10,832,450.64. Following the transaction, the executive vice president directly owned 105,222 shares in the company, valued at approximately $46,759,604.58. The trade was a 18.81% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 374,739 shares of company stock worth $161,135,671 over the last quarter. Insiders own 0.50% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Brighton Jones LLC boosted its stake in shares of Advanced Micro Devices by 178.2% during the 4th quarter. Brighton Jones LLC now owns 45,956 shares of the semiconductor manufacturer’s stock worth $5,551,000 after acquiring an additional 29,438 shares in the last quarter. Revolve Wealth Partners LLC raised its stake in shares of Advanced Micro Devices by 2.9% in the 4th quarter. Revolve Wealth Partners LLC now owns 8,283 shares of the semiconductor manufacturer’s stock valued at $1,001,000 after acquiring an additional 234 shares in the last quarter. Sivia Capital Partners LLC lifted its holdings in Advanced Micro Devices by 125.1% in the 2nd quarter. Sivia Capital Partners LLC now owns 5,344 shares of the semiconductor manufacturer’s stock worth $758,000 after purchasing an additional 2,970 shares during the last quarter. United Bank lifted its holdings in Advanced Micro Devices by 22.0% in the 2nd quarter. United Bank now owns 13,255 shares of the semiconductor manufacturer’s stock worth $1,881,000 after purchasing an additional 2,392 shares during the last quarter. Finally, Schnieders Capital Management LLC. lifted its holdings in Advanced Micro Devices by 361.0% in the 2nd quarter. Schnieders Capital Management LLC. now owns 9,230 shares of the semiconductor manufacturer’s stock worth $1,310,000 after purchasing an additional 7,228 shares during the last quarter. 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.