Ed Lin

Advanced Micro Devices shares have slipped to a 52-week low, and one of the chip maker's executives just made the first insider stock purchase in more than 12 years.

AMD stock slipped 18% in 2024 -- a year that saw a 19% rally in the PHLX Semiconductor index, of which AMD is a component, and a 23% jump in the S&P 500 index. AMD reported strong earnings through the year, but not even beating consensus estimates could overcome disappointing guidance.

How AMD will fare in artificial intelligence against formidable competition in Nvidia continues to weigh on shares in 2025. So far this year, down 7.5% through Wednesday's close, compared with a 2.2% gain in the PHLX Semiconductor index, and a 2.9% rise in the S&P 500.

AMD stock traded to a 52-week low of $106.50 on Feb. 5 after the company reported soft fourth-quarter data-center revenue.

Phil Guido, AMD's executive vice president and chief commercial officer, paid $500,000 on Feb. 7 for 4,645 shares, an average price of $107.56 each. He now owns 33,522 AMD shares in a personal account, according to a form Guido filed with the Securities and Exchange Commission.

It was the first stock purchase on the open market by an AMD insider since November 2012, when Lisa Su paid $98,400 for 48,000 AMD shares, an average price of $2.05 each. Su was a senior vice president at the time; she was named AMD's chief operating officer in July 2014, became president and CEO in October 2014, and added the chair title in February 2022.

AMD didn't immediately respond to a request to make Guido available for comment. He joined AMD in June 2023, and is a former executive of International Business Machines.

Inside Scoop is a regular Barron's feature covering stock transactions by corporate executives and board members -- so-called insiders -- as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.

Write to Ed Lin at edward.lin@barrons.com and follow @BarronsEdLin.

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February 13, 2025 09:46 ET (14:46 GMT)

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