AMD Receives Mixed Analyst Ratings Amid Hedge Fund Activity

AMD analyst ratings reveal a mix of holds and buys with significant hedge fund movements. Recent congressional and insider trading raises eyebrows for investors watching for stock price impacts.

Date: 29-03-2025

AI Rating: 6

Analyst Ratings and Price Targets
AMD has recently received a rating of 'Hold' from Jefferies, with significant attention from various other firms issuing buy and overweight ratings. Out of 20 analysts issuing price targets, the median is at $162.5. This suggests that the stock is viewed as having a fair value proposition, but lacks a strong upward momentum for short-term investors.

Institutional and Insider Trading
Insider trading has shown a dominant trend of selling over buying, with only 1 purchase compared to 10 sales by executives, indicating a lack of confidence from insiders regarding the stock's near-term performance. Simultaneously, recent hedge fund activity has shown 1,077 institutions adding shares while 1,457 decreased their positions. Notably, major institutions like Price T Rowe Associates and FMR LLC saw drastic portfolio reductions by nearly 50%. This level of institutional selling can weight negatively on investor sentiment.

Congressional Trading Activity
The trading behavior among members of Congress also reflects a mixed sentiment, with more purchases than sales. This behavior can indicate potential positive outlooks, particularly from investors with access to privileged information.

Conclusion
Overall, AMD's current position showcases mixed signals. High analyst ratings juxtaposed with selling trends among insiders and hedge funds complicate the narrative. While the stock may appear attractive from a long-term perspective due to strong analyst support, the selling patterns among key stakeholders could deter short-term investors. The significant institutional activity may also suggest some turbulence in AMD's near-term stock performance.

Stocks: AMD