Advanced Micro Devices Target of Unusually High Options Trading (NASDAQ:AMD)

Advanced Micro Devices, Inc. (NASDAQ:AMD) was the target of some unusual options trading activity on Monday. Investors purchased 727,811 call options on the company. This represents an increase of approximately 36% compared to the average daily volume of 534,248 call options.

Advanced Micro Devices Stock Performance

Advanced Micro Devices stock opened at $126.39 on Tuesday. The company has a market cap of $204.93 billion, a price-to-earnings ratio of 127.67, a price-to-earnings-growth ratio of 1.11 and a beta of 1.99. Advanced Micro Devices has a 12 month low of $76.48 and a 12 month high of $187.28. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.62 and a quick ratio of 1.83. The stock’s 50-day moving average is $105.48 and its 200-day moving average is $111.08.

Advanced Micro Devices (NASDAQ:AMD) last posted its earnings results on Tuesday, May 6th. The semiconductor manufacturer reported $0.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.93 by $0.03. Advanced Micro Devices had a net margin of 6.36% and a return on equity of 7.42%. The firm had revenue of $7.44 billion during the quarter, compared to the consensus estimate of $7.10 billion. During the same quarter in the prior year, the company earned $0.62 EPS. The company’s revenue was up 35.9% on a year-over-year basis. Equities analysts anticipate that Advanced Micro Devices will post 3.87 earnings per share for the current year.

Advanced Micro Devices announced that its board has initiated a stock repurchase program on Wednesday, May 14th that allows the company to repurchase $6.00 billion in shares. This repurchase authorization allows the semiconductor manufacturer to reacquire up to 3.1% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s leadership believes its shares are undervalued.

Insider Activity

In related news, EVP Mark D. Papermaster sold 17,500 shares of the business’s stock in a transaction dated Tuesday, April 15th. The shares were sold at an average price of $95.47, for a total value of $1,670,725.00. Following the sale, the executive vice president now directly owns 1,713,710 shares in the company, valued at $163,607,893.70. The trade was a 1.01% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 0.06% of the company’s stock.

Institutional Investors Weigh In On Advanced Micro Devices

Several institutional investors and hedge funds have recently modified their holdings of the stock. Brighton Jones LLC raised its stake in shares of Advanced Micro Devices by 178.2% during the fourth quarter. Brighton Jones LLC now owns 45,956 shares of the semiconductor manufacturer’s stock valued at $5,551,000 after purchasing an additional 29,438 shares during the period. Union Bancaire Privee UBP SA purchased a new stake in Advanced Micro Devices during the 4th quarter worth $34,366,000. Revolve Wealth Partners LLC lifted its holdings in Advanced Micro Devices by 2.9% in the 4th quarter. Revolve Wealth Partners LLC now owns 8,283 shares of the semiconductor manufacturer’s stock worth $1,001,000 after buying an additional 234 shares in the last quarter. Bank Pictet & Cie Europe AG boosted its position in Advanced Micro Devices by 12.7% in the 4th quarter. Bank Pictet & Cie Europe AG now owns 264,574 shares of the semiconductor manufacturer’s stock valued at $31,958,000 after buying an additional 29,825 shares during the last quarter. Finally, TigerOak Management L.L.C. purchased a new position in Advanced Micro Devices in the 4th quarter valued at about $491,000. Hedge funds and other institutional investors own 71.34% of the company’s stock.

Analysts Set New Price Targets

Several research analysts recently issued reports on AMD shares. Melius Research set a $110.00 price objective on Advanced Micro Devices in a research report on Wednesday, May 7th. Wedbush reissued an “outperform” rating and set a $120.00 price target (up previously from $115.00) on shares of Advanced Micro Devices in a research report on Wednesday, May 7th. Roth Capital set a $150.00 price objective on Advanced Micro Devices and gave the company a “buy” rating in a research report on Friday. Raymond James reaffirmed an “outperform” rating and set a $120.00 price objective (down previously from $150.00) on shares of Advanced Micro Devices in a research note on Wednesday, May 7th. Finally, Wells Fargo & Company cut their target price on shares of Advanced Micro Devices from $140.00 to $120.00 and set an “overweight” rating for the company in a research note on Thursday, April 17th. Fifteen analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and three have assigned a strong buy rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $134.61.

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.