How advanced or “intelligent” are ATMs in terms of what they can do and decide?

ATMs are extremely dumb machines. They are programmed to do very specific functions. Nothing outside the functions defined. The PIN reversal is a myth and a BS story that is not true. If your PIN were 5555 - how would the ATM know that the PIN you entered was in duress? It cannot.

They can be made to be more functional only by what is programmed into them and the peripherals that they are communicating with. Nothing more and nothing less.