Advanced Micro Devices (NASDAQ:AMD) Shares Down 1.1% - Time to Sell?

Advanced Micro Devices, Inc. (NASDAQ:AMD) experienced a decline of 1.1% in its share price during mid-day trading on Thursday. The stock dipped to a low of $132.96 before closing at $136.24. A total of 30,097,938 shares changed hands, which is a significant drop of 45% compared to the average trading volume of 54,698,379 shares. Previously, AMD shares had closed at $137.72.

Several analysts have recently offered their insights and updated price targets for AMD. Wedbush maintained an "outperform" rating, setting a price target of $200.00. In contrast, UBS Group adjusted their target downward from $210.00 to $205.00 while still keeping a "buy" rating. Similarly, Rosenblatt Securities reiterated a "buy" and issued a higher price target of $250.00. On the other hand, StockNews.com downgraded AMD from a "hold" to a "sell" rating. Moreover, TD Cowen revised their price target down from $210.00 to $185.00, still rating the stock as a "buy". The consensus among analysts shows one sell rating, three hold ratings, twenty-eight buy ratings, and one strong buy rating. Currently, AMD holds a "Moderate Buy" consensus rating with an average price target of $192.79.

Advanced Micro Devices Stock Performance

AMD has displayed solid financial metrics, including a current ratio of 2.50, a quick ratio of 1.78, and a impressive debt-to-equity ratio of 0.03. The company boasts a market capitalization of $221.09 billion, a price-to-earnings ratio of 122.74, and a P/E/G ratio of 1.95. Additionally, AMD's beta is recorded at 1.71, indicating higher volatility than the market. The shares have a 50-day moving average of $152.94 and a 200-day moving average of $154.28.

In its most recent quarterly earnings report on October 29, AMD announced earnings of $0.92 per share, meeting analysts' expectations. The company had a return on equity of 6.62% and a net margin of 7.52%. Their revenue reached $6.82 billion for the quarter, surpassing the anticipated $6.71 billion, and marking a 17.6% increase year-over-year. Analysts estimate that AMD will report an EPS of 2.54 by the end of the current year.

Insider Activity

Recent insider transactions have been noteworthy. EVP Forrest Eugene Norrod sold 40,540 shares on November 5 at an average price of $141.67, totaling roughly $5.74 million. Post-sale, Norrod retains 293,347 shares valued at approximately $41.56 million, reflecting a 12.14% reduction in their stake. Meanwhile, CEO Lisa T. Su sold 80,000 shares on November 6 for about $11.51 million at an average price of $143.87. Currently, she holds 3,566,762 shares, representing a 2.19% decrease in ownership.

Institutional Investments

Recent trading by large investors has influenced AMD's share performance. State Street Corp increased its stock position by 2.3%, now holding 70,170,271 shares valued at around $11.51 billion due to an additional purchase of 1,580,035 shares. Geode Capital Management raised its stake by 1.3%, currently owning 34,243,843 shares worth $5.60 billion. Fisher Asset Management and UBS Asset Management also incremented their holdings by 2.8% and 8.7%, respectively. Institutional investors now hold approximately 71.34% of AMD's stock.

About Advanced Micro Devices

Advanced Micro Devices, Inc. is a leading global semiconductor company. Its operations are divided into several segments, including Data Center, Client, Gaming, and Embedded. AMD specializes in designing x86 microprocessors, graphics processing units (GPUs), chipsets, and various other products for the technology and gaming industries.

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