The stock of Advanced Micro Devices Inc. (NASDAQ:AMD) increased by $4.41 on Monday to finish at $111.98, up 4.10 percent. The last five days have seen an average of 56,157,199 shares of common stock traded. 24 times new highs were reached in the current year, with a gain of $47.21. The average number of shares traded over the last 20 days was 69,772,195, while the average volume over the last 50 days totaled 68,212,141.
AMD stock dropped -3.42% since last month. On 08/14/23, the company’s shares reached a one-month low of $105.42. The stock touched a high of $132.83 on 06/13/23, after rallying from a low of $54.57 in 52 weeks. The price of AMD stock has risen by 72.89% or $47.21 this year, reaching a new high 24 times. Still, the stock price is down -15.70% from the 52-week high.
Insider Transactions
AMD stock investors should be aware that Advanced Micro Devices Inc. (AMD) stock had its last reported insider trading activity 40 days ago on Jul 06. On Jul 06, Chief Technology Officer & EVP Papermaster Mark D sold 31,701 shares at $111.49 each. This transaction resulted in the insider making $3,534,376. On Jun 09, PENG VICTOR sold 105,000 shares at a price of US$124.57. After the transaction, the insider now owns 321,090 shares. SVP, GC & Corporate Secretary WOLIN HARRY A had earlier sold 74,473 shares on Jun 09 for $125.98 a share. The transaction was completed for $9,382,109.
Valuation Metrics
Beta for the stock is 1.79. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 8.47, the price-to-book (PB) ratio of 3.27, and the price-to-cash flow ratio of 99.30.
Financial Health
For the three months ended June 29, Advanced Micro Devices Inc.’s quick ratio was 1.60, while its current ratio was 2.20, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.03, and the total debt to equity ratio is 0.04. As far as profitability goes, gross margin for the trailing twelve months is 43.70% percent. Advanced Micro Devices Inc.’s EBITDA margin for the year ended June 29 was 24.90%, whereas its operating margin stood at -1.70% for the same period. Based on annual data, it had gross profit of $10.6 billion and revenue of $23.6 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. AMD’s return on assets (ROA) during the last 12 months has been 0.00%. There was a 2.40% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 0.00%.
Earnings Surprise
According to Advanced Micro Devices Inc.’s quarterly financial report for the quarter that ended June 29, it had $1.71 billion in total debt versus $2.44 billion in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $5.15 billion, while revenues fell by -87.78% to $5.05 billion. It was predicted that Advanced Micro Devices Inc.’s quarterly earnings would be $0.58, but it ended up being $0.57, beating the consensus by 1.80%. EBITDA was $854.0 million for the quarter. At the end of Advanced Micro Devices Inc.’s most recent quarter ended June 29, its liabilities totaled 12.83 billion, while its total debt was $2.86 billion. Equity owned by shareholders amounts to $1.62 billion.
Technical Picture
Here’s a quick look at Advanced Micro Devices Inc.’s (AMD) price momentum from a technical perspective. As of 14 August, the RSI 9-day stood at 48.98%, suggesting the stock is Neutral, with a 54.30% historical volatility rate.
The stochastic %K and %D were 26.16% and 25.90% respectively, while the average true range (ATR) was 5.00. Based on the 14-day stochastic reading of 46.59%, the RSI (14) reading is 48.81%. On the 9-day MACD Oscillator, the stock is at -2.14, and the 14-day reading is at -2.56.
Analyst Ratings
In its most recent analyst report, Citigroup raised its rating on Advanced Micro Devices Inc. (NASDAQ: AMD) to a Buy. Prior to this, analysts firm rated the stock as a Neutral. Analysts have assigned Advanced Micro Devices Inc. (AMD) an Overweight rating. AMD is a stock that is recommended for selling by 0 brokerage firms, while 15 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 4 rates it overweight and 27 others recommend it as a buy.
What is AMD’s price target for the next 12 months?
The current consensus forecast for the stock is between $95.00 and $200.00, with a median target price of $145.00. In analyzing these forecasts, the average price target given by analysts for Advanced Micro Devices Inc. (AMD) is $141.24.
