Advanced Micro Devices (NASDAQ:AMD) Trading Down 4.1% – Here’s Why

Advanced Micro Devices, Inc. (NASDAQ:AMD) dropped 4.1% on Wednesday . The company traded as low as $120.77 and last traded at $122.11. Approximately 19,779,599 shares were traded during mid-day trading, a decline of 44% from the average daily volume of 35,398,195 shares. The stock had previously closed at $127.33.

Analyst Ratings Changes

AMD has been the topic of a number of research analyst reports. HSBC restated a “reduce” rating and issued a $110.00 target price (down from $200.00) on shares of Advanced Micro Devices in a research note on Wednesday. The Goldman Sachs Group cut Advanced Micro Devices from a “buy” rating to a “neutral” rating and cut their price objective for the stock from $175.00 to $129.00 in a report on Friday. Piper Sandler reiterated an “overweight” rating and issued a $180.00 price objective (down from $200.00) on shares of Advanced Micro Devices in a report on Wednesday, October 30th. StockNews.com upgraded Advanced Micro Devices from a “sell” rating to a “hold” rating in a report on Monday. Finally, Evercore ISI upped their price objective on Advanced Micro Devices from $193.00 to $198.00 and gave the stock an “outperform” rating in a report on Wednesday, October 30th. One research analyst has rated the stock with a sell rating, six have given a hold rating, twenty-two have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, Advanced Micro Devices has a consensus rating of “Moderate Buy” and a consensus price target of $185.22.

Advanced Micro Devices Stock Down 4.8 %

The company has a fifty day simple moving average of $133.09 and a 200-day simple moving average of $147.05. The company has a quick ratio of 1.78, a current ratio of 2.50 and a debt-to-equity ratio of 0.03. The firm has a market cap of $188.31 billion, a P/E ratio of 104.54, a price-to-earnings-growth ratio of 1.88 and a beta of 1.66.

Advanced Micro Devices (NASDAQ:AMD) last released its quarterly earnings results on Tuesday, October 29th. The semiconductor manufacturer reported $0.92 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.92. Advanced Micro Devices had a return on equity of 6.62% and a net margin of 7.52%. The business had revenue of $6.82 billion during the quarter, compared to analyst estimates of $6.71 billion. During the same quarter in the previous year, the company posted $0.53 earnings per share. Advanced Micro Devices’s revenue for the quarter was up 17.6% on a year-over-year basis. On average, equities analysts anticipate that Advanced Micro Devices, Inc. will post 2.54 earnings per share for the current year.

Insider Buying and Selling

In other news, CEO Lisa T. Su sold 76,496 shares of the company’s stock in a transaction that occurred on Wednesday, December 4th. The stock was sold at an average price of $142.66, for a total transaction of $10,912,919.36. Following the transaction, the chief executive officer now owns 3,566,762 shares of the company’s stock, valued at approximately $508,834,266.92. This represents a 2.10 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, EVP Forrest Eugene Norrod sold 40,540 shares of the company’s stock in a transaction that occurred on Tuesday, November 5th. The shares were sold at an average price of $141.67, for a total value of $5,743,301.80. Following the transaction, the executive vice president now directly owns 293,347 shares in the company, valued at approximately $41,558,469.49. This represents a 12.14 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 197,036 shares of company stock worth $28,165,821. Corporate insiders own 0.65% of the company’s stock.

Institutional Trading of Advanced Micro Devices

Several hedge funds and other institutional investors have recently bought and sold shares of AMD. Creative Capital Management Investments LLC boosted its position in Advanced Micro Devices by 124.6% during the 3rd quarter. Creative Capital Management Investments LLC now owns 155 shares of the semiconductor manufacturer’s stock valued at $25,000 after acquiring an additional 86 shares in the last quarter. ZRC Wealth Management LLC lifted its holdings in shares of Advanced Micro Devices by 90.4% during the 3rd quarter. ZRC Wealth Management LLC now owns 158 shares of the semiconductor manufacturer’s stock valued at $26,000 after purchasing an additional 75 shares during the last quarter. Global Wealth Strategies & Associates purchased a new stake in shares of Advanced Micro Devices during the 4th quarter valued at $26,000. Fairway Wealth LLC purchased a new stake in shares of Advanced Micro Devices during the 2nd quarter valued at $27,000. Finally, Abich Financial Wealth Management LLC lifted its holdings in shares of Advanced Micro Devices by 101.8% during the 2nd quarter. Abich Financial Wealth Management LLC now owns 220 shares of the semiconductor manufacturer’s stock valued at $36,000 after purchasing an additional 111 shares during the last quarter. Institutional investors own 71.34% of the company’s stock.

About Advanced Micro Devices

Advanced Micro Devices, Inc operates as a semiconductor company worldwide. It operates through Data Center, Client, Gaming, and Embedded segments. The company offers x86 microprocessors and graphics processing units (GPUs) as an accelerated processing unit, chipsets, data center, and professional GPUs; and embedded processors, and semi-custom system-on-chip (SoC) products, microprocessor and SoC development services and technology, data processing unites, field programmable gate arrays (FPGA), and adaptive SoC products.