AMD director Nora Denzel sold more than $5.4 million worth of AMD stock across two transactions, drawing attention from investors who track insider activity at the chipmaker.
Advanced Micro Devices, Inc., AMD
The first sale took place on May 29, when Denzel sold 1,821 shares at an average price of $522.00, totaling $950,562. The second, larger transaction happened on June 2, when she sold 8,626 shares — also at $522.00 — for $4,502,772.
AMD stock was trading around $521.54 during mid-day trading on Tuesday, up $11.41 on the day. That puts the stock near its 52-week high of $527.20, a long way from its 52-week low of $113.28.
Despite the sales, Denzel still holds 95,799 AMD shares valued at approximately $50 million, meaning the transactions represented just under a 10% reduction in her total position.
AMD’s last earnings report, released May 5, gave investors plenty to feel good about. The company posted EPS of $1.37, beating the $1.29 consensus estimate by $0.08. Revenue came in at $10.25 billion, ahead of the $9.90 billion expected.
Revenue was up 37.8% from the same quarter a year ago, when AMD earned $0.96 per share. Analysts now expect full-year EPS of $6.20 for the current fiscal year.
The strong results came alongside news that AMD has started ramping production of its next-generation Venice EPYC processors on TSMC’s 2nm process — a positive signal for its data center roadmap.
Wall Street remains broadly constructive on AMD. The stock currently carries 2 Strong Buy ratings, 30 Buy ratings, and 12 Hold ratings.
The average price target sits at $419.86, though that figure trails the current price following AMD’s sharp rally this year.
Wells Fargo raised its price target to $505 and maintained an overweight rating after the earnings report. KeyCorp went further, lifting its target to $530 — also with an overweight rating. Wedbush set a $400 target with an outperform rating.
Not everyone is fully on board. Northland Securities kept a “market perform” rating and a $260 target, citing valuation concerns. With AMD trading at a price-to-earnings ratio of 171, some analysts have noted the stock has become expensive after a year-to-date gain of over 138%.
AMD also participated in a $410 million funding round for DriveNets, a networking infrastructure company, expanding its footprint beyond GPUs and CPUs. A top Cowen analyst reiterated a bullish stance following a meeting with CEO Lisa Su, flagging continued AI demand momentum as a key theme.
The post AMD Stock: Director Cashes Out $5.4M Near All-Time Highs — Should You Worry? appeared first on CoinCentral.
