Advanced Micro Devices (NASDAQ:AMD) Trading Down 4.9% – Here’s What Happened

Advanced Micro Devices, Inc. (NASDAQ:AMD) was down 4.9% during trading on Wednesday . The stock traded as low as $448.33 and last traded at $452.40. Approximately 27,199,139 shares traded hands during trading, a decline of 29% from the average daily volume of 38,366,398 shares. The stock had previously closed at $475.51.

More Advanced Micro Devices News

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

• Positive Sentiment: AMD continues to benefit from strong AI infrastructure demand, with reports pointing to surging data center revenue, growing EPYC and Instinct adoption, and potential upside from agentic AI workloads. Article Title
• Positive Sentiment: Wall Street remains broadly bullish on AMD, with recent price-target hikes suggesting investors still see meaningful upside despite the stock’s sharp rally this year. Article Title
• Neutral Sentiment: Several articles framed AMD’s recent pullback as part of a sector-wide rotation and valuation reset, rather than a company-specific deterioration. Article Title
• Negative Sentiment: AMD was hit by a wider chip-sector selloff, with reports citing weakness in semiconductor names and renewed caution around AI stock valuations. Article Title
• Negative Sentiment: Sentiment also softened after AMD invested $350 million in TensorWave, which some investors view as a circular-financing style AI deal similar to Nvidia’s CoreWeave structure. Article Title
• Negative Sentiment: On top of the sector weakness, articles flagged concerns about sustainability of the AI boom and rising insider selling, both of which may be weighing on investor confidence. Article Title

Analyst Ratings Changes

AMD has been the subject of several analyst reports. Wells Fargo & Company boosted their target price on shares of Advanced Micro Devices from $345.00 to $505.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. Erste Group Bank upgraded shares of Advanced Micro Devices from a “hold” rating to a “buy” rating in a research note on Thursday, April 2nd. Northland Securities reiterated a “market perform” rating and issued a $260.00 target price on shares of Advanced Micro Devices in a research note on Monday, April 27th. Royal Bank Of Canada upped their price objective on shares of Advanced Micro Devices from $325.00 to $400.00 and gave the stock a “sector perform” rating in a research report on Wednesday, May 6th. Finally, BTIG Research upgraded shares of Advanced Micro Devices to a “buy” rating in a research report on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, thirty have given a Buy rating and thirteen have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $419.86.

Advanced Micro Devices Price Performance

The firm has a market cap of $737.68 billion, a PE ratio of 148.33, a price-to-earnings-growth ratio of 1.44 and a beta of 2.50. The stock’s fifty day moving average price is $369.56 and its 200-day moving average price is $268.77. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.72 and a quick ratio of 1.96.

Advanced Micro Devices (NASDAQ:AMD) last released its earnings results on Tuesday, May 5th. The semiconductor manufacturer reported $1.37 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.29 by $0.08. Advanced Micro Devices had a net margin of 13.37% and a return on equity of 9.55%. The business had revenue of $10.25 billion during the quarter, compared to analyst estimates of $9.90 billion. During the same quarter in the prior year, the firm earned $0.96 earnings per share. The company’s revenue for the quarter was up 37.8% compared to the same quarter last year. As a group, equities analysts expect that Advanced Micro Devices, Inc. will post 6.2 EPS for the current fiscal year.

Insider Buying and Selling at Advanced Micro Devices

In related news, Director Nora Denzel sold 8,626 shares of the company’s stock in a transaction dated 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 sale, the director owned 87,173 shares of the company’s stock, valued at approximately $45,504,306. This represents a 9.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, EVP Paul Darren Grasby sold 24,376 shares of the company’s stock in a transaction dated 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 completion of the sale, the executive vice president directly owned 105,222 shares of the company’s stock, valued at $46,759,604.58. This represents a 18.81% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 332,032 shares of company stock valued at $117,967,816. 0.50% of the stock is owned by company insiders.

Institutional Investors Weigh In On Advanced Micro Devices

Hedge funds have recently modified their holdings of the company. Joseph Group Capital Management purchased a new stake in shares of Advanced Micro Devices in the fourth quarter valued at about $25,000. Sarver Vrooman Wealth Advisors purchased a new stake in shares of Advanced Micro Devices in the fourth quarter valued at about $27,000. Cornerstone Financial Management LLC acquired a new position in Advanced Micro Devices in the fourth quarter valued at about $27,000. Basepoint Wealth LLC acquired a new position in Advanced Micro Devices in the fourth quarter valued at about $30,000. Finally, Graney & King LLC acquired a new position in Advanced Micro Devices in the first quarter valued at about $31,000. Hedge funds and other 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.