Piper Sandler Upgrades Advanced Micro Devices (NASDAQ:AMD) to “Strong-Buy”

Advanced Micro Devices (NASDAQ:AMD) was upgraded by research analysts at Piper Sandler to a “strong-buy” rating in a research note issued to investors on Wednesday, Zacks reports.

Several other equities research analysts also recently commented on AMD. Rosenblatt Securities boosted their target price on shares of Advanced Micro Devices from $665.00 to $700.00 and gave the company a “buy” rating in a research note on Thursday, August 6th. Roth Capital increased their target price on shares of Advanced Micro Devices from $500.00 to $650.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Jefferies Financial Group set a $650.00 price target on shares of Advanced Micro Devices in a report on Wednesday, August 5th. Wedbush restated an “outperform” rating and issued a $600.00 price target on shares of Advanced Micro Devices in a research report on Wednesday, August 5th. Finally, Wall Street Zen raised shares of Advanced Micro Devices from a “hold” rating to a “buy” rating in a research note on Saturday, August 29th. Four research analysts have rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $565.12.

Advanced Micro Devices Price Performance

Advanced Micro Devices stock opened at $503.60 on Wednesday. The business has a 50 day simple moving average of $495.78 and a 200 day simple moving average of $403.04. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.61 and a quick ratio of 1.91. The company has a market capitalization of $822.11 billion, a PE ratio of 129.46, a price-to-earnings-growth ratio of 5.40 and a beta of 2.48. Advanced Micro Devices has a one year low of $149.85 and a one year high of $584.73.

Advanced Micro Devices (NASDAQ:AMD) last announced its quarterly earnings results on Tuesday, August 4th. The semiconductor manufacturer reported $1.66 earnings per share for the quarter, beating 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 firm had revenue of $11.54 billion for the quarter, compared to analysts’ expectations of $11.31 billion. During the same period in the prior year, the business posted $0.48 earnings per share. The business’s revenue was up 50.1% compared to the same quarter last year. On average, sell-side analysts forecast that Advanced Micro Devices will post 6.44 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Lisa Su sold 15,000 shares of the company’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $480.94, for a total transaction of $7,214,100.00. Following the transaction, the chief executive officer owned 3,102,156 shares in the company, valued at $1,491,950,906.64. This represents a 0.48% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, 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 stock in a transaction dated 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 sale, the executive vice president directly owned 160,979 shares in the company, valued at approximately $76,316,924.32. This 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 107,577 shares of company stock valued at $51,922,920 over the last three months. Company insiders own 0.50% of the company’s stock.

Institutional Trading of Advanced Micro Devices

Hedge funds have recently modified their holdings of the stock. First National Bank of Hutchinson increased its stake in shares of Advanced Micro Devices by 0.4% during the 2nd quarter. First National Bank of Hutchinson now owns 5,639 shares of the semiconductor manufacturer’s stock worth $3,276,000 after purchasing an additional 22 shares in the last quarter. Delta Asset Management LLC TN lifted its stake in Advanced Micro Devices by 1.5% in the 2nd quarter. Delta Asset Management LLC TN now owns 1,497 shares of the semiconductor manufacturer’s stock valued at $870,000 after buying an additional 22 shares in the last quarter. Park Place Capital Corp lifted its stake in Advanced Micro Devices by 19.5% in the 2nd quarter. Park Place Capital Corp now owns 141 shares of the semiconductor manufacturer’s stock valued at $82,000 after buying an additional 23 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd grew its holdings in Advanced Micro Devices by 12.8% during the 1st quarter. Clal Insurance Enterprises Holdings Ltd now owns 212 shares of the semiconductor manufacturer’s stock valued at $43,000 after buying an additional 24 shares during the last quarter. Finally, Round Rock Advisors LLC grew its holdings in Advanced Micro Devices by 2.3% during the 2nd quarter. Round Rock Advisors LLC now owns 1,048 shares of the semiconductor manufacturer’s stock valued at $609,000 after buying an additional 24 shares during the last quarter. 71.34% of the stock is owned by institutional investors.

Key Advanced Micro Devices News

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

• Positive Sentiment: Analysts remain constructive on AMD’s long-term outlook. Piper Sandler initiated coverage with a Buy rating, while other bullish commentary points to potential price targets near $600 and continued gains in data-center CPUs and AI accelerators. Piper Sandler AMD coverage
• Positive Sentiment: AMD’s AI opportunity continues to attract investor interest. Recent management commentary projected a potential multitrillion-dollar AI market by 2030 and roughly doubled data-center revenue in 2027, supporting expectations for sustained growth. AMD AI market outlook
• Positive Sentiment: Institutional options activity reportedly increased around AMD, indicating that some large investors are positioning for further upside. AMD institutional options flow
• Positive Sentiment: AMD and Xanadu launched Backline, an open-source platform connecting CPU, GPU and FPGA resources with quantum-computing software. The initiative expands AMD’s developer ecosystem, although its financial impact is likely longer term. AMD and Xanadu Backline launch
• Neutral Sentiment: TSMC reported a 53.3% year-over-year increase in August revenue, confirming strong AI-chip demand and supporting AMD’s volume outlook. However, tight advanced-packaging, memory and manufacturing capacity is also raising costs for fabless chip designers. TSMC August revenue
• Negative Sentiment: The broader technology sector sold off late in the session as investors focused on interest-rate expectations, rising energy prices and weakening market momentum. AMD’s high-beta profile makes it particularly sensitive to this risk-off trading.
• Negative Sentiment: Some analysts favor NVIDIA over AMD because of NVIDIA’s stronger AI infrastructure leadership, higher profitability and lower valuation. AMD’s premium valuation leaves less room for execution or supply-chain disappointments. NVIDIA versus AMD analysis
• Negative Sentiment: ARK Invest’s Cathie Wood continued trimming AMD while reallocating capital to other AI-chip companies, adding a notable sentiment headwind despite the company’s favorable long-term product cycle. Cathie Wood sells AMD

About Advanced Micro Devices

Advanced Micro Devices, Inc (NASDAQ: AMD) is a semiconductor company that designs high-performance computing, graphics and adaptive-processing products. Its portfolio includes central processing units (CPUs), graphics processing units (GPUs), accelerated processing units (APUs), field-programmable gate arrays (FPGAs) and adaptive system-on-chip products.

AMD serves customers across data centers, cloud computing, personal computers, gaming consoles, embedded systems and industrial applications.