5 Best Video Game Stocks to Buy Now

2. Advanced Micro Devices Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 87

Advanced Micro Devices Inc. (NASDAQ:AMD) is an American semiconductor manufacturer and seller. Its graphics processing units (GPUs) are used by gamers to run video games on their personal computers, and the firm also sells processors and GPUs for gaming consoles such as Sony’s PlayStation.

Advanced Micro Devices Inc. (NASDAQ:AMD) became the latest chip company to suffer from a weakening personal computing environment, as it announced in October 2022 that it will miss revenue guidance for PC sales in its third quarter. However, the long term outlook for the company is still secular, simply due to the expected growth in global personal and enterprise computing trends, believes its chief executive officer Dr. Lisa Su.

To add credence to this fact, Advanced Micro Devices Inc. (NASDAQ:AMD)’s shares are currently trading at price to earnings ratio of 15x, which is significantly lower than historic ratios of 20x and 30x. Jefferies kept a $135 price target for the company in October 2022, as it stated that the revenue miss from PC is already reflected in AMD’s stock price due to year to date losses in the share price. By Q2 of 2022 end, 87 out of the 895 hedge funds polled by Insider Monkey had owned a stake in the company.

Advanced Micro Devices Inc. (NASDAQ:AMD)’s largest investor in our database is Ken Fisher’s Fisher Asset Management which owns 25 million shares that are worth $1.9 billion.