Advanced Micro Devices (NASDAQ:AMD) Trading Up 3.8% – Still a Buy?

Advanced Micro Devices, Inc. (NASDAQ:AMD) shares traded up 3.8% during mid-day trading on Tuesday . The stock traded as high as $204.00 and last traded at $203.43. 41,397,698 shares were traded during trading, an increase of 8% from the average session volume of 38,206,258 shares. The stock had previously closed at $196.04.

Key Headlines Impacting Advanced Micro Devices

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

• Positive Sentiment: Large AI order chatter — South Korean AI startup Upstage is reported to be in talks to buy ~10,000 AMD chips, a development investors see as direct demand validation for AMD’s MI/Instinct accelerator lineup. AI Startup “Upstage” in Talks to Purchase 10,000 Advanced Micro Devices (AMD) Chips in Korea
• Positive Sentiment: CPU price hikes and supply tightness — social and data‑center conversations about planned 10–15% CPU price increases (and extended lead times) are being interpreted as evidence of strong demand, especially for AI workloads, supporting a re‑rating vs. Intel. AMD Stock (AMD) Opinions on CPU Price Hikes and AI Demand
• Positive Sentiment: Supply chain/partnership tailwind — AMD and Samsung expanded an MoU for next‑gen HBM4 memory supply (and potential foundry talks), which reduces a key bottleneck for high‑end AI GPUs. AMD And Samsung Partnership Adds New Piece To AI Supply Story
• Positive Sentiment: Bullish analyst/macro narratives — UBS and other firms have flagged large‑scale AI megadeals as major upside drivers, with multi‑hundred‑dollar price targets feeding momentum. That institutional optimism is supporting flows into AMD. AMD Stock Gains Momentum As UBS Eyes 54% Upside On AI Megadeals
• Neutral Sentiment: Analyst & institutional mix — many firms remain bullish (median targets elevated around ~$291) even as some large funds trimmed positions; this produces polarized positioning that can amplify moves in either direction. $AMD stock is down 4% today. Here’s what we see in our data.
• Negative Sentiment: Gaming revenue risk — Zacks flags that gaming revenue, while up year‑over‑year, showed a sharp sequential slowdown and weak semi‑custom guidance that could pressure near‑term growth expectations. AMD’s Gaming Revenues Set to Decelerate: What’s the Path Ahead?
• Negative Sentiment: Heavy insider selling — data shows significant insider sales activity over recent months, which some traders view as a governance/conviction flag and a short‑term headwind on sentiment. AMD Stock (AMD) Opinions on CPU Price Hikes and AI Demand
• Negative Sentiment: Macro/geopolitical volatility — recent techwide pullbacks and Middle East tensions have triggered risk‑off flows; traders are watching dips and using geopolitical headlines to take chips off the table. Why Is AMD Stock Down Today?

Analysts Set New Price Targets

Several research firms recently weighed in on AMD. Phillip Securities upgraded shares of Advanced Micro Devices from a “moderate buy” rating to a “strong-buy” rating in a report on Sunday, February 8th. TD Cowen reiterated a “buy” rating on shares of Advanced Micro Devices in a report on Wednesday, February 25th. Roth Mkm reissued a “buy” rating on shares of Advanced Micro Devices in a research report on Tuesday, February 24th. Piper Sandler reaffirmed an “overweight” rating on shares of Advanced Micro Devices in a research report on Wednesday, February 25th. Finally, Wall Street Zen raised Advanced Micro Devices from a “hold” rating to a “buy” rating in a research report on Monday, January 26th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and ten have given a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $290.53.

Advanced Micro Devices Stock Performance

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 stock has a 50-day moving average price of $212.80 and a 200-day moving average price of $213.79. The firm has a market capitalization of $331.67 billion, a PE ratio of 76.77, a price-to-earnings-growth ratio of 0.76 and a beta of 1.98.

Advanced Micro Devices (NASDAQ:AMD) last announced its earnings results on Tuesday, February 3rd. The semiconductor manufacturer reported $1.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.32 by $0.21. The company had revenue of $10.27 billion for the quarter, compared to analyst estimates of $9.65 billion. Advanced Micro Devices had a return on equity of 8.84% and a net margin of 12.52%.Advanced Micro Devices’s quarterly revenue was up 34.1% on a year-over-year basis. During the same period in the prior year, the company posted $1.09 EPS. On average, research analysts expect that Advanced Micro Devices, Inc. will post 3.87 EPS for the current fiscal year.

Insider Activity at Advanced Micro Devices

In related news, SVP Ava Hahn sold 2,442 shares of Advanced Micro Devices stock in a transaction dated Friday, January 16th. The stock was sold at an average price of $234.42, for a total value of $572,453.64. Following the completion of the transaction, the senior vice president directly owned 16,359 shares in the company, valued at approximately $3,834,876.78. This trade represents a 12.99% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Forrest Eugene Norrod sold 19,450 shares of the company’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 in the company, valued at $62,679,337.38. The trade was a 6.30% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 239,392 shares of company stock worth $50,016,383 over the last quarter. Company insiders own 0.06% of the company’s stock.

Institutional Investors Weigh In On Advanced Micro Devices

A number of institutional investors have recently made changes to their positions in AMD. Vanguard Group Inc. lifted its position in shares of Advanced Micro Devices by 1.6% in the 4th quarter. Vanguard Group Inc. now owns 158,522,860 shares of the semiconductor manufacturer’s stock worth $33,949,256,000 after buying an additional 2,525,109 shares during the last quarter. State Street Corp grew its position in shares of Advanced Micro Devices by 1.5% during the 4th quarter. State Street Corp now owns 74,919,276 shares of the semiconductor manufacturer’s stock valued at $16,044,712,000 after buying an additional 1,094,835 shares during the last quarter. Geode Capital Management LLC raised its stake in Advanced Micro Devices by 0.8% during the fourth quarter. Geode Capital Management LLC now owns 37,584,845 shares of the semiconductor manufacturer’s stock worth $8,015,897,000 after acquiring an additional 287,525 shares during the period. Norges Bank acquired a new stake in Advanced Micro Devices during the fourth quarter worth about $4,929,312,000. Finally, Price T Rowe Associates Inc. MD lifted its holdings in Advanced Micro Devices by 0.3% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 20,325,288 shares of the semiconductor manufacturer’s stock worth $4,352,864,000 after acquiring an additional 55,969 shares during the last quarter. 71.34% of the stock is currently owned by institutional investors.

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.