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These 3 GARP Stocks Show Why Growth and Value Do Not Have to ClashApplied Materials NASDAQ: AMAT sees continued strength in semiconductor equipment demand as artificial intelligence-related investment drives customer forecasts higher, Chief Financial Officer Brice Hill said at Citi’s 2026 Global TMT Conference.

Hill said the company’s rolling eight-quarter forecasts from its largest customers, particularly DRAM and leading-edge logic manufacturers, have increased throughout the year. He attributed the trend to demand for AI systems and pointed to rising capital-expenditure forecasts from cloud service providers, which he said exceed $700 billion for U.S. companies and approach $1 trillion globally.

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Applied Materials Beat Everything but Wall Street’s Expectations for Margins“Really all the indicators, all the arrows point up,” Hill said. “Our customers are investing, our customers’ customers are investing and highly profitable, and we’re investing.”

AI Systems Drive Demand Across Logic, Memory and Packaging Applied Materials is monitoring the design of AI systems, including GPU, accelerator, CPU and memory content, to assess future demand by device category. The company is also tracking more than 100 fab projects globally, with more than 10 added during each of the past two quarters, Hill said.

MarketBeat Week in Review – 06/22 - 06/26He said clean-room availability remains an important constraint on industry capacity growth over the medium term. Applied is evaluating the timing of new fabs and the capacity they will add, while using customer forecasts to plan for demand.

Hill identified advanced packaging as a major growth area alongside leading-edge logic and DRAM. Applied’s advanced-packaging business generated $1.4 billion in revenue last year, and the company expects it to grow by more than 70% this year. He said advanced packaging should continue growing in line with leading-edge logic and DRAM as AI systems require high-performance interconnects among processors, accelerators and high-bandwidth-memory stacks.

The company is also investing in panel-level packaging, which uses larger substrates to support more chips and higher-quality interconnects in computing systems. Hill said the industry remains in the development stage, with Applied generating revenue from panel-processing equipment but no volume production yet underway. The company recently acquired NEX, which provides fine-line interconnect capabilities for panel-level packaging.

ICAPS Recovery, NAND Remains Upgrade-Driven Hill said Applied expects moderate growth in its ICAPS business in 2026. ICAPS encompasses IoT, communications, automotive, power and sensor markets and had been weak for the previous several years as China added significant capacity.

Utilization rates are now improving, Hill said, and Applied expects a more normal growth year for ICAPS next year. He characterized normal growth in the underlying device markets as mid- to high-single digits, with equipment demand eventually tracking that growth as utilization normalizes.

NAND bit demand remains strong, in the “high 20% range,” according to Hill. However, he said that gains in layer counts have made NAND manufacturing more productive, allowing producers to add bit capacity with fewer wafers. As a result, NAND remains more dependent on equipment upgrades than greenfield fab construction, keeping the market smaller than the DRAM opportunity.

By contrast, Hill said DRAM capacity is entering a more significant greenfield investment cycle. He estimated that the industry had about 1.6 million DRAM wafer starts per month a year ago and is adding roughly 400,000 wafer starts per month this year. He expects additions of 300,000 to 400,000 wafer starts per month over the next several years.

Hill said an upgrade fab requires roughly 25% of the equipment investment of a greenfield facility. He estimated that process equipment for 100,000 wafer starts of greenfield capacity could total about $10 billion, illustrating the larger equipment opportunity associated with new DRAM fabs.

Capacity, Services and Process Control Applied has invested to support the ability to produce twice its current quarterly system output by 2028, Hill said, emphasizing that the target is a capacity statement rather than a revenue forecast. The company sends aggregated eight-quarter demand outlooks to suppliers by component type to help them plan hiring and capacity investments.

Hill said Applied’s services business is growing more than 20% this year, aided by high utilization across leading-edge logic, DRAM, ICAPS and NAND. Customers are purchasing more spare parts and components to maintain output, he said. The company’s longer-term services outlook is for mid-teens growth, supported by an installed base that is expanding by roughly 5% to 7% annually and higher revenue per tool from new offerings.

Those offerings increasingly include AI-based services that use tool sensors and operating data to help customers improve yield and output, Hill said.

Applied also expects its process diagnostics and control business to grow more than 50%. Hill said demand is being driven by more complex semiconductor architectures, including gate-all-around transistors, which require electron-beam inspection to identify buried defects that cannot be seen through optical inspection methods.

On profitability, Hill said Applied’s approximately 300-basis-point gross-margin improvement over the past three years has reflected the greater value of its product solutions and improved pricing processes. The company applies value-based pricing to both new and existing products, he said, while also accounting for higher costs for labor, materials and components.

About Applied Materials (NASDAQ:AMAT)Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials' offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?

Let's take a look at what these Wall Street heavyweights have to say about Applied Materials (AMAT - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.

Applied Materials currently has an average brokerage recommendation (ABR) of 1.50, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 38 brokerage firms. An ABR of 1.50 approximates between Strong Buy and Buy.

Of the 38 recommendations that derive the current ABR, 27 are Strong Buy and three are Buy. Strong Buy and Buy respectively account for 71.1% and 7.9% of all recommendations.

Brokerage Recommendation Trends for AMAT

Check price target & stock forecast for Applied Materials here>>>

While the ABR calls for buying Applied Materials, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.

Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.

In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.

Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.

Zacks Rank Should Not Be Confused With ABRAlthough both Zacks Rank and ABR are displayed in a range of 1--5, they are different measures altogether.

The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.

Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.

In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research.

Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.

There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.

Should You Invest in AMAT?In terms of earnings estimate revisions for Applied Materials, the Zacks Consensus Estimate for the current year has increased 4.9% over the past month to $12.76.

Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.

The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Applied Materials. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Therefore, the Buy-equivalent ABR for Applied Materials may serve as a useful guide for investors.

Greenland Capital Management LP reduced its holdings in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 82.2% during the second quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 944 shares of the manufacturing equipment provider’s stock after selling 4,369 shares during the quarter. Greenland Capital Management LP’s holdings in Applied Materials were worth $683,000 at the end of the most recent quarter.

Several other hedge funds have also recently made changes to their positions in AMAT. Brighton Jones LLC lifted its position in shares of Applied Materials by 28.0% in the 4th quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider’s stock worth $2,061,000 after purchasing an additional 2,771 shares during the period. Sivia Capital Partners LLC increased its position in shares of Applied Materials by 26.7% during the second quarter. Sivia Capital Partners LLC now owns 3,225 shares of the manufacturing equipment provider’s stock valued at $590,000 after buying an additional 679 shares during the period. Forefront Wealth Partners LLC purchased a new position in shares of Applied Materials during the second quarter valued at about $410,000. Schnieders Capital Management LLC. raised its stake in Applied Materials by 30.1% in the second quarter. Schnieders Capital Management LLC. now owns 15,003 shares of the manufacturing equipment provider’s stock worth $2,747,000 after buying an additional 3,469 shares in the last quarter. Finally, Sei Investments Co. raised its stake in Applied Materials by 59.3% in the second quarter. Sei Investments Co. now owns 422,694 shares of the manufacturing equipment provider’s stock worth $77,383,000 after buying an additional 157,426 shares in the last quarter. 80.56% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes Several analysts have weighed in on AMAT shares. Zacks Research raised Applied Materials from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, July 1st. William Blair assumed coverage on Applied Materials in a research report on Tuesday, August 11th. They issued a “market perform” rating for the company. Stifel Nicolaus raised their target price on Applied Materials from $530.00 to $650.00 and gave the company a “buy” rating in a research note on Friday, July 10th. Bank of America dropped their price target on Applied Materials from $720.00 to $650.00 and set a “buy” rating on the stock in a research report on Friday, August 14th. Finally, Argus set a $600.00 price target on Applied Materials in a research note on Tuesday, August 18th. One investment analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and five have issued a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $658.45.

View Our Latest Research Report on Applied Materials Applied Materials Price Performance Shares of AMAT opened at $454.71 on Monday. The stock has a market cap of $360.86 billion, a PE ratio of 39.20, a price-to-earnings-growth ratio of 1.27 and a beta of 1.60. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.79 and a current ratio of 2.42. Applied Materials, Inc. has a fifty-two week low of $158.82 and a fifty-two week high of $739.67. The firm’s 50-day simple moving average is $533.24 and its two-hundred day simple moving average is $461.33.

Applied Materials (NASDAQ:AMAT – Get Free Report) last released its earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.40 by $0.10. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The firm had revenue of $9.12 billion during the quarter, compared to analyst estimates of $8.99 billion. During the same period last year, the business earned $2.48 earnings per share. The business’s revenue was up 24.8% on a year-over-year basis. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Analysts anticipate that Applied Materials, Inc. will post 12.76 earnings per share for the current fiscal year.

Applied Materials Announces Dividend The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s dividend payout ratio (DPR) is 18.28%.

Insider Buying and Selling at Applied Materials In other news, insider Prabu Raja sold 10,000 shares of the stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $633.53, for a total value of $6,335,300.00. Following the sale, the insider directly owned 346,642 shares of the company’s stock, valued at approximately $219,608,106.26. This represents a 2.80% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Thomas Iannotti sold 9,250 shares of the firm’s stock in a transaction on Tuesday, June 16th. The shares were sold at an average price of $599.77, for a total value of $5,547,872.50. Following the transaction, the director owned 40,559 shares of the company’s stock, valued at $24,326,071.43. The trade was a 18.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 231,692 shares of company stock valued at $146,114,059 in the last ninety days. Corporate insiders own 0.30% of the company’s stock.

More Applied Materials News Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: AI-driven equipment demand remains the main catalyst. Growth in advanced packaging, DRAM and high-bandwidth memory (HBM), along with accelerating global fab investment, is strengthening the outlook for Applied Materials’ equipment orders. AMAT Rides on AI-Led WFE Demand: Can it Sustain the Momentum? Positive Sentiment: Raised forecasts have driven a major valuation re-rating. Although trailing-twelve-month revenue growth was only 7.8%, management reportedly increased its forecast twice between February and August as semiconductor demand expectations improved. That forward-growth story helps explain the stock’s roughly 180% one-year return. Why Did Applied Materials Stock Nearly Triple On Single-Digit Trailing Revenue Growth? Positive Sentiment: Analyst expectations are improving. UBS projected strong potential appreciation for AMAT, while another analyst raised the fiscal 2027 EPS estimate, signaling continued confidence in earnings growth and semiconductor capital spending. UBS Group Forecasts Strong Price Appreciation for Applied Materials FY2027 EPS Estimate for Applied Materials Boosted by Analyst Neutral Sentiment: Valuation remains a key debate. Despite a recent pullback, AMAT has gained about 237% over five years, leaving investors questioning how much AI and semiconductor-cycle optimism is already reflected in the shares. Can Applied Materials Still Look Cheap After a 237% Run? Negative Sentiment: Industry-cycle risks have not disappeared. Optimism about a permanently stronger semiconductor cycle is tempered by potential memory-capacity imbalances, which could pressure chipmakers’ capital spending if supply expands faster than demand. SEMIs CEO Has Watched Four Decades of Chip Cycles Applied Materials Company Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

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A record quarter and above-consensus guidance haven't been enough to keep Applied Materials (NASDAQ:AMAT | AMAT Price Prediction) shares from sliding through August.

On CNBC’s “Mad Money Lightning Round,” Jim Cramer said KLA Corporation (NASDAQ:KLAC) is a “great” company, which has gained 40% for the year, while its price-to-earnings multiple is still too high. “It does great intellectual property. I think if you wanted to buy some here, it’s fine. But again, I would not put a lot of it on.”

UBS analyst Timothy Arcuri maintained KLA at Neutral on Tuesday, while cutting the price target from $215 to $200.

When asked about Applied Materials, Inc. (NASDAQ:AMAT), he said, “We don’t care where we bought it, we care where it’s going. This stock is now down $300 from its high. I think if you did initiate a position now, you buy a little here.”

UBS analyst Timothy Arcuri maintained Applied Materials with a Buy rating on Tuesday and raised the price target from $675 to $695.

Cramer said Velo3D, Inc. (NASDAQ:VELO) has not had the revenue growth he was expecting and that’s why the stock is trading at $11. He recommended waiting until the company delivers a few more solid quarters.

Trending

Velo3D, on Aug. 11, reported second-quarter revenue of $20.66 million, up 52.3% year-over-year, beating analyst estimates of $13.52 million, according to Benzinga Pro. The company posted a second-quarter adjusted loss of 30 cents per share, beating analyst estimates of 31 cents per share.

“I wouldn’t put it all at once because remember the budget deficit is going to have to be controlled at a certain point, and it’s going to include military,” Cramer said when asked about General Dynamics Corp (NYSE:GD). His favorite in the group remains Lockheed Martin Corp (NYSE:LMT), he added.

Price Action Applied Materials shares fell 3.6% to settle at $441.85 on Tuesday. Velo3D shares declined 5.5% to close at $11.25 during the session. KLA fell 2.6% to settle at $170.89 on Tuesday. General Dynamics shares fell 0.5% to close at $369.41. Read Next

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Benjamin Edwards Inc. lessened its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 3.5% in the second quarter, according to its most recent filing with the SEC. The firm owned 39,111 shares of the manufacturing equipment provider’s stock after selling 1,432 shares during the quarter. Benjamin Edwards Inc.’s holdings in Applied Materials were worth $28,282,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently modified their holdings of the business. JFS Wealth Advisors LLC increased its stake in Applied Materials by 4.3% during the 2nd quarter. JFS Wealth Advisors LLC now owns 409 shares of the manufacturing equipment provider’s stock valued at $296,000 after buying an additional 17 shares during the period. Innovative Asset Advisors Group LLC raised its position in shares of Applied Materials by 2.1% during the 2nd quarter. Innovative Asset Advisors Group LLC now owns 961 shares of the manufacturing equipment provider’s stock worth $695,000 after buying an additional 20 shares in the last quarter. Stonebridge Financial Group LLC raised its holdings in Applied Materials by 2.1% during the second quarter. Stonebridge Financial Group LLC now owns 1,003 shares of the manufacturing equipment provider’s stock worth $725,000 after purchasing an additional 21 shares in the last quarter. N.E.W. Advisory Services LLC lifted its position in Applied Materials by 5.9% in the second quarter. N.E.W. Advisory Services LLC now owns 377 shares of the manufacturing equipment provider’s stock worth $273,000 after purchasing an additional 21 shares during the period. Finally, IMG Wealth Management Inc. lifted its position in Applied Materials by 13.0% in the second quarter. IMG Wealth Management Inc. now owns 183 shares of the manufacturing equipment provider’s stock worth $132,000 after purchasing an additional 21 shares during the period. Institutional investors own 80.56% of the company’s stock.

Applied Materials News Roundup Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: Semiconductor and AI demand remains strong: Recent coverage highlights Applied Materials’ $9.12 billion third-quarter revenue, up 25% year over year, and non-GAAP EPS of $3.50, up 41%. Management cited record demand visibility from AI infrastructure, more than 10 new fab projects during the quarter and fourth-quarter revenue guidance of $10.25 billion. The company is also continuing share repurchases and investing $5 billion in its EPIC Center to accelerate semiconductor innovation. The AI Buildout Is Turning Applied Materials Into A Profit Machine Positive Sentiment: New board member adds semiconductor expertise: AMAT appointed Akash Palkhiwala, Qualcomm’s CFO and COO, to its board and Audit Committee. His finance, operations and industry experience could strengthen oversight as Applied Materials pursues growth tied to advanced logic, memory and AI chip production. Applied Materials Appoints Akash Palkhiwala to Board of Directors Neutral Sentiment: Options market signals elevated uncertainty: A new analysis says options pricing for roughly one year ahead implies a particularly wide potential trading range, extending materially below and above the current level. That suggests investors should expect significant volatility rather than providing a clear directional signal. How Far Applied Materials Stock Can Move In A Year Negative Sentiment: CFO share sale may weigh modestly on sentiment: CFO Brice Hill sold 7,500 AMAT shares for approximately $3.6 million, reducing his direct holdings by 5.51%. The sale does not alter the company’s operating outlook, but insider selling can create a limited short-term sentiment overhang. SEC Insider Transaction Filing Applied Materials Stock Performance Shares of AMAT opened at $461.67 on Monday. The company has a 50-day moving average of $550.80 and a two-hundred day moving average of $457.65. The stock has a market cap of $366.38 billion, a price-to-earnings ratio of 39.80, a PEG ratio of 0.99 and a beta of 1.61. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.42 and a quick ratio of 1.79. Applied Materials, Inc. has a one year low of $154.46 and a one year high of $739.67. Applied Materials (NASDAQ:AMAT – Get Free Report) last released its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.40 by $0.10. The business had revenue of $9.12 billion for the quarter, compared to analyst estimates of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The firm’s revenue was up 24.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. On average, equities research analysts expect that Applied Materials, Inc. will post 12.76 earnings per share for the current year.

Applied Materials Announces Dividend The company also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be paid a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s payout ratio is 18.28%.

Analyst Ratings Changes AMAT has been the topic of several research analyst reports. The Goldman Sachs Group reiterated a “buy” rating and set a $645.00 price target on shares of Applied Materials in a research report on Monday, August 3rd. Raymond James Financial set a $650.00 price objective on Applied Materials in a report on Wednesday, June 10th. Sanford C. Bernstein raised their target price on Applied Materials from $675.00 to $700.00 and gave the company an “outperform” rating in a research note on Friday, August 14th. Wall Street Zen raised Applied Materials from a “hold” rating to a “buy” rating in a report on Saturday, August 15th. Finally, Mizuho dropped their price target on shares of Applied Materials from $650.00 to $590.00 and set an “outperform” rating on the stock in a research report on Tuesday, August 25th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $657.76.

Get Our Latest Research Report on AMAT

Insider Buying and Selling In other news, Director Thomas J. Iannotti sold 9,250 shares of the firm’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $599.77, for a total value of $5,547,872.50. Following the completion of the sale, the director owned 40,559 shares of the company’s stock, valued at $24,326,071.43. This trade represents a 18.57% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, insider Prabu G. Raja sold 10,000 shares of Applied Materials stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $633.53, for a total value of $6,335,300.00. Following the transaction, the insider owned 346,642 shares in the company, valued at $219,608,106.26. This represents a 2.80% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 284,192 shares of company stock valued at $172,625,209. 0.30% of the stock is currently owned by company insiders.

Applied Materials Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

Further Reading Five stocks we like better than Applied Materials Strike a Balance Between Growth and Stability With These 3 Names Ready to Rally Rubrik’s AI Security Bet Could Power the Next Leg Higher Apple’s Foldable iPhone Could Be a Catalyst, But Not a Cure-All Snowflake Is Up Nearly 50% in 2026—What Are Short Sellers Betting Against?

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Blue Capital Inc. cut its position in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 90.7% in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 946 shares of the manufacturing equipment provider’s stock after selling 9,212 shares during the quarter. Blue Capital Inc.’s holdings in Applied Materials were worth $684,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other large investors have also added to or reduced their stakes in the company. JFS Wealth Advisors LLC boosted its holdings in Applied Materials by 4.3% in the second quarter. JFS Wealth Advisors LLC now owns 409 shares of the manufacturing equipment provider’s stock valued at $296,000 after purchasing an additional 17 shares during the last quarter. Innovative Asset Advisors Group LLC increased its holdings in Applied Materials by 2.1% during the 2nd quarter. Innovative Asset Advisors Group LLC now owns 961 shares of the manufacturing equipment provider’s stock worth $695,000 after purchasing an additional 20 shares during the last quarter. Stonebridge Financial Group LLC increased its holdings in Applied Materials by 2.1% during the 2nd quarter. Stonebridge Financial Group LLC now owns 1,003 shares of the manufacturing equipment provider’s stock worth $725,000 after purchasing an additional 21 shares during the last quarter. N.E.W. Advisory Services LLC raised its position in shares of Applied Materials by 5.9% in the 2nd quarter. N.E.W. Advisory Services LLC now owns 377 shares of the manufacturing equipment provider’s stock valued at $273,000 after purchasing an additional 21 shares in the last quarter. Finally, IMG Wealth Management Inc. raised its position in shares of Applied Materials by 13.0% in the 2nd quarter. IMG Wealth Management Inc. now owns 183 shares of the manufacturing equipment provider’s stock valued at $132,000 after purchasing an additional 21 shares in the last quarter. 80.56% of the stock is owned by institutional investors and hedge funds.

Insider Activity In other Applied Materials news, SVP Timothy M. Deane sold 8,621 shares of the firm’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $590.76, for a total value of $5,092,941.96. Following the transaction, the senior vice president owned 134,631 shares of the company’s stock, valued at $79,534,609.56. This trade represents a 6.02% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Gary E. Dickerson sold 20,000 shares of Applied Materials stock in a transaction that occurred on Tuesday, June 30th. The shares were sold at an average price of $735.22, for a total value of $14,704,400.00. Following the completion of the transaction, the chief executive officer owned 1,599,843 shares of the company’s stock, valued at approximately $1,176,236,570.46. The trade was a 1.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 276,692 shares of company stock valued at $169,030,834 over the last quarter. Corporate insiders own 0.30% of the company’s stock.

Analysts Set New Price Targets A number of research firms have recently weighed in on AMAT. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $605.00 price target on shares of Applied Materials in a research report on Friday, August 14th. Royal Bank Of Canada upped their price target on shares of Applied Materials from $520.00 to $600.00 and gave the company an “outperform” rating in a report on Friday, August 14th. HSBC reiterated a “buy” rating and set a $683.00 price objective on shares of Applied Materials in a research note on Monday, July 27th. HC Wainwright set a $850.00 price objective on shares of Applied Materials in a report on Monday, June 29th. Finally, Sanford C. Bernstein boosted their target price on shares of Applied Materials from $675.00 to $700.00 and gave the stock an “outperform” rating in a research report on Friday, August 14th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, Applied Materials presently has a consensus rating of “Moderate Buy” and an average target price of $659.83. View Our Latest Report on AMAT

Applied Materials Stock Performance AMAT stock opened at $484.19 on Tuesday. The company has a current ratio of 2.42, a quick ratio of 1.79 and a debt-to-equity ratio of 0.20. The firm has a market cap of $384.25 billion, a P/E ratio of 41.74, a P/E/G ratio of 1.06 and a beta of 1.61. Applied Materials, Inc. has a 12-month low of $154.46 and a 12-month high of $739.67. The stock’s 50 day simple moving average is $560.64 and its 200 day simple moving average is $453.08.

Applied Materials (NASDAQ:AMAT – Get Free Report) last announced its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.40 by $0.10. The firm had revenue of $9.12 billion for the quarter, compared to analysts’ expectations of $8.99 billion. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%.The firm’s revenue for the quarter was up 24.8% on a year-over-year basis. During the same period last year, the business posted $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. As a group, equities research analysts predict that Applied Materials, Inc. will post 12.73 EPS for the current year.

Applied Materials Dividend Announcement The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s dividend payout ratio is currently 18.28%.

Applied Materials Company Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

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Shares of Applied Materials (AMAT - Free Report) have gained 0.8% over the past four weeks to close the last trading session at $480.04, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $646.65 indicates a potential upside of 34.7%.

The average comprises 34 short-term price targets ranging from a low of $425.00 to a high of $900.00, with a standard deviation of $100.97. While the lowest estimate indicates a decline of 11.5% from the current price level, the most optimistic estimate points to a 87.5% upside. More than the range, one should note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.

While the consensus price target is a much-coveted metric for investors, solely banking on this metric to make an investment decision may not be wise at all. That's because the ability and unbiasedness of analysts in setting price targets have long been questionable.

But, for AMAT, an impressive average price target is not the only indicator of a potential upside. Strong agreement among analysts about the company's ability to report better earnings than they predicted earlier strengthens this view. While a positive trend in earnings estimate revisions doesn't gauge how much a stock could gain, it has proven to be powerful in predicting an upside.

Price, Consensus and EPS Surprise

Here's What You Should Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.

While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?

They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.

However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.

That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.

Why AMAT Could Witness a Solid UpsideThere has been increasing optimism among analysts lately about the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher. And that could be a legitimate reason to expect an upside in the stock. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current year, 12 estimates have moved higher over the last 30 days compared to no negative revision. As a result, the Zacks Consensus Estimate has increased 4.9%.

Moreover, AMAT currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Therefore, while the consensus price target may not be a reliable indicator of how much AMAT could gain, the direction of price movement it implies does appear to be a good guide.

China just unveiled domestic immersion DUV lithography systems, and semiconductor equipment stocks sold off hard, but the companies actually in the crosshairs may not be the ones investors are panicking about.

China has directed semiconductor manufacturers to use at least 50% domestically produced equipment when adding new capacity, according to a Reuters report citing people familiar with the policy. Fab projects that fail to meet that threshold are generally denied regulatory approval, although flexibility remains where no suitable Chinese tool is available. The requirement favors domestic equipment suppliers such as Naura Technology and AMEC over foreign companies and provides the context needed to understand China’s newly announced immersion deep-ultraviolet lithography systems.

Reports that Shanghai Aishengna Electronic Technology Group has begun producing immersion DUV systems sent shares of ASML Holding (ASML | ASML Price Prediction) down sharply and contributed to weakness across semiconductor equipment stocks, including Applied Materials (AMAT). The initial reaction treated the development as evidence that China could begin replacing Western equipment across its semiconductor industry. That conclusion is directionally understandable, but the immediate effect on Applied Materials is being overstated.

Applied Materials does not manufacture lithography systems. A Chinese immersion DUV machine competes directly with ASML, not with Applied Materials’ deposition, etch, thermal-processing, metrology, inspection and advanced-packaging systems. The greater risk is indirect and longer term: if domestic lithography becomes commercially usable, it fills one of the largest remaining holes in China’s equipment supply chain and allows Chinese fabs to build production lines containing a higher percentage of domestic deposition, etch, cleaning and chemical mechanical planarization equipment.

For investors, the distinction matters. Five unproven Chinese DUV systems will not materially change Applied Materials’ earnings in 2026. But the combination of China’s 50% domestic-equipment requirement, rapidly growing local equipment companies, and expanding fabs at CXMT, SMIC and Hua Hong could reduce Applied Materials’ addressable market in China over several years.

Applied Materials Remains Heavily Exposed to China Applied Materials generated $2.095 billion from China during its fiscal first quarter of 2026, representing 29.9% of total company revenue. China remained the company’s largest individual geographic market even though revenue declined 6.6% from $2.243 billion one year earlier.

China exposure held close to that level in fiscal Q2: reported China revenue was $2.087 billion, or 26.4% of the quarter’s $7.910 billion total. Across the first half of fiscal 2026, China generated $4.182 billion of Applied Materials’ $14.922 billion in revenue — 28.0% of the total (Table 1).

These figures do not mean that all $2.087 billion of quarterly China revenue is threatened by CXMT or Chinese DUV. U.S. controls already restrict exports of specified semiconductor manufacturing equipment used to produce advanced chips in China. The thresholds include logic at 16/14nm or below, DRAM at 18nm calculated half-pitch or below, and advanced NAND.

Applied Materials’ remaining China revenue therefore includes portions of the market it can still legally serve: qualifying mature-node fabs, specialty devices, packaging, display-related manufacturing, services and unrestricted customers. Its current China business should not be confused with the advanced memory and logic opportunities from which the company has already been partially excluded — exclusions that carry a real, quantified cost. Applied Materials has guided to roughly a $600 million revenue headwind in fiscal 2026 from expanded U.S. export restrictions, including $110 million in the fiscal fourth quarter alone.

China’s domestic-equipment policy layers a second risk on top of that sanctions-driven one. Chinese fabs are being encouraged to buy local equipment even in markets where foreign tools remain legally available, putting Applied Materials’ permitted China business under competitive pressure while it is simultaneously locked out of the country’s most advanced capacity additions.

Chinese Equipment Suppliers Are Already Gaining Share China’s domestic equipment industry is no longer a collection of small development programs. Naura supplies deposition, etch, furnaces, rapid thermal processing and other systems. AMEC competes in etch and deposition. Piotech participates in deposition, while Hwatsing Technology supplies CMP equipment. ACM Research (ACMR), through its large Chinese operating presence, supplies wet cleaning, plating, furnace and packaging systems, although its U.S. headquarters and dual corporate structure distinguish it from purely domestic companies such as Naura and AMEC.

Combined sales from six major Chinese semiconductor equipment suppliers increased from $748 million in 2020 to $7.608 billion in 2025 — more than a tenfold increase in five years. Their adjusted worldwide WFE share rose from 1.2% to 6.5% over the same period. These companies collectively grew sales 29.9% in 2025, led by Piotech, AMEC and Hwatsing (Table 2).

Chinese equipment companies do not need to replace Applied Materials worldwide to affect its financial performance — they only need to gain share inside China, where Applied Materials still produces more than a quarter of its revenue. The 50% domestic-equipment requirement gives them a protected qualification environment, while U.S. export controls limit the foreign competition they face at advanced Chinese fabs.

Domestic DUV can accelerate this process even if the scanners initially perform far below ASML’s systems. Lithography has remained one of the largest weaknesses in China’s equipment ecosystem. Progress there makes it easier to assemble a complete Chinese production line rather than pairing Chinese deposition and etch systems with imported ASML scanners.

Five Chinese DUV Systems Do Not Constitute Mass Production Shanghai Aishengna is reportedly targeting approximately five immersion DUV systems in 2026 and 20 in 2027. Initial deliveries are expected to go to SMIC, Hua Hong and CXMT. By comparison, ASML shipped 131 immersion DUV systems in 2025.

The Chinese systems reportedly use mostly domestic components, though selected critical parts still come from Japan. They also trail ASML’s scanners in performance, reliability and build quality and could require months of testing before entering production. China’s domestic EUV initiative remains at the prototype stage and is likely years from supporting commercial chip output.

Aishengna’s 2027 production target would equal only about 15.3% of ASML’s 2025 immersion DUV shipments (Table 3). The near-term numbers are small, but the planned customers are strategically important: China’s leading foundry, a major mature-node producer and its principal DRAM manufacturer.

“Mass production” therefore overstates the immediate commercial threat. Five systems are closer to a qualification fleet than a volume-production program. The investment significance is not that Aishengna is about to displace ASML across China, but that the scanners will be installed at the fabs most important to China’s semiconductor self-sufficiency strategy — where they can be tested alongside Chinese deposition, etch, cleaning, CMP and process-control equipment. If the resulting production line hits acceptable throughput and yield, later capacity expansions can carry a progressively higher share of domestic tools.

CXMT Demonstrates the Longer-Term Risk CXMT is the clearest example of how this equipment ecosystem could develop. The company is now the world’s fourth-largest DRAM producer, behind SK hynix, Samsung Electronics and Micron Technology (MU). Its G4 16Gb DDR5 process has an approximately 16nm feature size, placing it within the U.S. advanced-DRAM threshold covering production at 18nm calculated half-pitch or below.

Consequently, Applied Materials cannot freely compete for much of the equipment required for CXMT’s newest DRAM production. CXMT is not simply choosing Naura over Applied Materials in an unrestricted competitive bid. U.S. rules have already limited Applied Materials’ ability to supply and service controlled tools at advanced Chinese memory facilities.

The impact is no longer only theoretical. Industry trackers estimate that domestic equipment now accounts for roughly 40% to 50% of the tools installed on CXMT’s production lines, a share expected to rise as new expansion phases begin. In core processes such as etch, domestic penetration reportedly exceeds 60% at some facilities, although I have not independently been able to verify these figures. Naura, AMEC and other Chinese suppliers, not Applied Materials, are already capturing much of the equipment spending tied to China’s fastest-growing DRAM producer.

This means CXMT’s expansion represents foregone growth as much as direct displacement of Applied Materials’ currently reported China revenue, and the foregone share is already substantial. CXMT’s capacity reached approximately 290,000 wafer starts per month in Q1 2026 and could approach 350,000 by year-end. New fabs under construction in Shanghai and Hefei could eventually lift CXMT’s capacity above 600,000 wafers per month and allow it to overtake Micron in physical wafer capacity by 2030.

CXMT will still trail Micron technologically. Its older process produces fewer bits per wafer, while Micron receives additional revenue from leading-edge DRAM and HBM. However, CXMT’s lower manufacturing efficiency may require greater wafer capacity and equipment intensity to produce a given number of bits. That would normally create an opportunity for deposition and etch suppliers. China’s domestic-equipment policy, and CXMT’s own sourcing pattern, instead directs much of that opportunity toward local companies.

China’s DUV program reinforces this outcome. CXMT has already relied on imported ASML DUV systems and multi-patterning to produce advanced DRAM without EUV. A domestic DUV platform would not immediately give CXMT the same technology as Micron, Samsung or SK hynix, but it could allow the company to add future lithography capacity without depending entirely on additional ASML shipments or foreign servicing.

Applied Materials’ AI Opportunity Remains Intact The China risk should not obscure Applied Materials’ growth opportunities elsewhere. AI is increasing demand for advanced logic, gate-all-around transistors, HBM, high-performance interconnects, 3D architectures and advanced packaging. These transitions increase materials-engineering intensity and support demand for Applied Materials’ deposition, etch and packaging systems.

The company’s June 2026 product introductions for 2nm and advanced 3D architectures — including its Viva nanosheet engineering platform and new ALD and etch systems — target precisely these AI-related manufacturing transitions. Spending by TSMC, Samsung, Intel, Micron and SK hynix can offset some of the equipment opportunities Applied Materials cannot pursue in China.

China’s five initial DUV systems therefore do not invalidate the Applied Materials investment story; they are too few, too immature and too far behind ASML to produce an immediate earnings shock. The larger issue is whether domestic DUV lets China qualify a complete equipment ecosystem that eventually reaches beyond restricted advanced fabs and begins displacing Applied Materials in the mature-node and specialty markets where it can still sell.

Investor Takeaway The market reaction to China’s domestic DUV announcement exaggerated the near-term threat to Applied Materials. Aishengna does not compete directly with Applied Materials, and five planned systems will not materially reduce its 2026 revenue. Applied Materials’ most important AI-related growth opportunities remain tied to advanced manufacturing outside China, where its deposition, etch, gate-all-around and packaging technologies retain strong competitive positions.

The longer-term China risk is nevertheless real, and CXMT shows it is no longer only longer-term. Applied Materials generated 29.9% of fiscal Q1 2026 revenue from China, while six major Chinese equipment companies increased combined sales more than tenfold between 2020 and 2025. China’s 50% domestic-equipment requirement gives those suppliers a structural advantage, and CXMT—one of the first planned recipients of China’s domestic DUV systems—already sources an estimated 40%–50% of its production-line equipment domestically.

For investors, the correct interpretation is not that Chinese DUV immediately threatens Applied Materials’ earnings. It is that China has turned its fastest-growing advanced fab into a protected qualification market for domestic processing equipment, and CXMT’s rising localization rate is the clearest evidence of how far that substitution has already progressed. Applied Materials can continue growing through AI-driven investment elsewhere, but a progressively self-sufficient Chinese equipment industry will limit how much of China’s semiconductor expansion the company can capture.

Contact [email protected] for any questions or corrections.

Applied Materials Beat Everything but Wall Street’s Expectations for MarginsApplied Materials NASDAQ: AMAT President and CEO Gary Dickerson said artificial intelligence is creating what he views as the semiconductor industry’s most consequential growth inflection, driving demand for new computing architectures, memory technologies and advanced packaging.

Speaking at The Six Five Summit: AI Unleashed 2026, Dickerson said AI’s impact will extend beyond software applications and data centers, reshaping how semiconductor equipment makers develop products, serve customers and commercialize new chip technologies.

Get Applied Materials alerts:

MarketBeat Week in Review – 06/22 - 06/26“AI is the biggest inflection of our lifetimes,” Dickerson said. “I think it’s going to transform every industry. It’s going to touch every individual.”

AI-Driven Demand Across Chip Manufacturing Dickerson said Applied Materials is using AI internally in product development, operations, supply chain management and services. He emphasized that the company’s goal is not primarily to reduce headcount, but to accelerate products and services to market and support revenue growth.

From Quantum to Clothing: Insider Trades Hit 3 Big NamesHe said the company is introducing products this year that it would not have been able to bring to market without AI. Applied’s service business, meanwhile, is growing at a 20% compound annual growth rate, according to Dickerson.

On semiconductor demand, Dickerson said the current AI cycle is more pervasive than prior technology transitions, including the shift from mainframes to personal computers and the mobile-computing boom. He said demand is being supported not only by people using computing resources but also by AI agents consuming compute capacity.

“The compute demand is going to keep going up,” Dickerson said, pointing to data-center workloads as well as emerging edge-AI applications. He said the economics of AI adoption are compelling enough to support continued demand across industries.

In wafer-fab equipment, about 80% of growth this year is tied to AI-driven areas, including advanced logic, memory such as high-bandwidth memory, and advanced packaging, he said. Dickerson also said Applied Materials holds the No. 1 position in each of those segments.

Memory, Packaging and Materials Innovation Dickerson said the industry’s focus is increasingly on improving “tokens per second per watt” and lowering the cost per token. Achieving those goals will require innovation across the technology stack rather than merely producing more chips, he said.

He highlighted several areas of development:

Advanced logic technologies designed to process more data. Faster memory and high-bandwidth memory technologies intended to move data on and off chips more quickly. Stacked memory approaches aimed at placing chips closer together to improve speed and reduce power consumption. Advanced packaging technologies that connect multiple computing components and influence performance, power and cost. Applied Materials’ advanced-packaging business is growing by more than 50% this year, Dickerson said. He added that an advanced package next year could contain more than 300 chips, more than 500 billion transistors and more than 2,000 miles of wiring.

Material science will be central to enabling these new architectures, according to Dickerson. He said the company is developing materials as thin as one or two nanometers and controlling them within an angstrom, or one-tenth of a nanometer.

EPIC Center Investment Targets Faster Commercialization Dickerson discussed Applied Materials’ $5 billion investment in its EPIC Center in Silicon Valley, describing it as an effort to bring together the company, customers, customers’ customers and supply-chain partners to speed the development and commercialization of semiconductor technologies.

Rather than pursuing innovation through a sequential process from materials to systems, the facility is intended to support earlier and closer collaboration among technology partners, he said. Dickerson called the approach “high-velocity co-innovation.”

The objective is not simply to introduce new architectures first, he said, but to ramp them at high yields, with reliability and competitive costs. “If you don’t have those three things, cost doesn’t matter,” Dickerson said, referring to performance, yield and reliability.

Dickerson said the center is intended to help partners bring architectures to market faster, secure design wins and give Applied Materials greater visibility into technology needs across multiple future nodes. That visibility, he said, can help the company determine where to direct research-and-development investment.

“We have to innovate the way we innovate, or we will not accomplish what we could accomplish together,” Dickerson said. He added that the company is seeing strong interest from ecosystem partners in collaborating on AI-focused computing technologies.

About Applied Materials (NASDAQ:AMAT)Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials' offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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ABS Investment Management LLC purchased a new stake in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The fund purchased 1,446 shares of the manufacturing equipment provider’s stock, valued at approximately $1,045,000.

A number of other large investors also recently bought and sold shares of AMAT. Brighton Jones LLC grew its holdings in Applied Materials by 28.0% in the fourth quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider’s stock valued at $2,061,000 after purchasing an additional 2,771 shares during the period. Sivia Capital Partners LLC raised its stake in shares of Applied Materials by 26.7% during the 2nd quarter. Sivia Capital Partners LLC now owns 3,225 shares of the manufacturing equipment provider’s stock worth $590,000 after buying an additional 679 shares during the period. Forefront Wealth Partners LLC acquired a new position in shares of Applied Materials during the 2nd quarter worth approximately $410,000. Schnieders Capital Management LLC. lifted its position in shares of Applied Materials by 30.1% during the 2nd quarter. Schnieders Capital Management LLC. now owns 15,003 shares of the manufacturing equipment provider’s stock valued at $2,747,000 after buying an additional 3,469 shares in the last quarter. Finally, Sei Investments Co. lifted its position in shares of Applied Materials by 59.3% during the 2nd quarter. Sei Investments Co. now owns 422,694 shares of the manufacturing equipment provider’s stock valued at $77,383,000 after buying an additional 157,426 shares in the last quarter. Institutional investors and hedge funds own 80.56% of the company’s stock.

Insider Activity In related news, CEO Gary E. Dickerson sold 71,727 shares of the company’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.75, for a total transaction of $42,587,906.25. Following the completion of the sale, the chief executive officer owned 1,695,164 shares of the company’s stock, valued at approximately $1,006,503,625. This represents a 4.06% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Timothy M. Deane sold 8,621 shares of the stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $590.76, for a total transaction of $5,092,941.96. Following the completion of the sale, the senior vice president owned 134,631 shares of the company’s stock, valued at approximately $79,534,609.56. The trade was a 6.02% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 284,192 shares of company stock valued at $172,625,209 in the last ninety days. 0.30% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades Several equities research analysts recently commented on AMAT shares. JPMorgan Chase & Co. boosted their price target on shares of Applied Materials from $515.00 to $660.00 and gave the stock an “overweight” rating in a report on Friday, August 14th. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Applied Materials in a report on Friday, August 14th. Citigroup reiterated a “buy” rating on shares of Applied Materials in a research report on Monday, August 3rd. TD Cowen reissued a “buy” rating and set a $700.00 target price on shares of Applied Materials in a research note on Friday, August 14th. Finally, Zacks Research upgraded shares of Applied Materials from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, July 1st. One equities research analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $657.76. Get Our Latest Stock Analysis on Applied Materials

Applied Materials Stock Up 0.5% NASDAQ AMAT opened at $482.36 on Friday. The business has a fifty day moving average price of $553.91 and a 200 day moving average price of $456.73. Applied Materials, Inc. has a one year low of $154.46 and a one year high of $739.67. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.79 and a current ratio of 2.42. The company has a market cap of $382.80 billion, a P/E ratio of 41.58, a P/E/G ratio of 1.03 and a beta of 1.61.

Applied Materials (NASDAQ:AMAT – Get Free Report) last announced its earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.40 by $0.10. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The company had revenue of $9.12 billion for the quarter, compared to analysts’ expectations of $8.99 billion. During the same quarter in the previous year, the company posted $2.48 EPS. The firm’s quarterly revenue was up 24.8% on a year-over-year basis. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Research analysts anticipate that Applied Materials, Inc. will post 12.73 EPS for the current fiscal year.

Applied Materials Dividend Announcement The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a dividend of $0.53 per share. The ex-dividend date is Thursday, August 20th. This represents a $2.12 dividend on an annualized basis and a yield of 0.4%. Applied Materials’s payout ratio is presently 18.28%.

Key Stories Impacting Applied Materials Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: Qualcomm executive joins the board: Applied Materials appointed Qualcomm CFO and COO Akash Palkhiwala as a director and Audit Committee member. His semiconductor-industry, finance and operating experience could strengthen the board as AMAT targets growth in advanced logic, memory and AI infrastructure. Applied Materials Appoints Akash Palkhiwala to Board of Directors Positive Sentiment: AI buildout supports earnings momentum: Recent coverage highlights AMAT’s record quarter-over-quarter revenue increase, with quarterly revenue of $9.12 billion, up 25% year over year, and non-GAAP earnings per share of $3.50, up 41%. Demand is being driven by advanced DRAM, high-bandwidth memory, leading-edge logic and advanced packaging. The AI Buildout Is Turning Applied Materials Into A Profit Machine Positive Sentiment: Services business remains healthy: AMAT’s Applied Global Services segment reported record revenue and expanding margins, supported by subscription services, parts demand and increased semiconductor-fab utilization. This recurring revenue stream may help cushion equipment-cycle volatility. AMAT’s AGS Business Gains Momentum Neutral Sentiment: Analyst upside remains substantial: The average Wall Street price target implies roughly 35% potential upside, although targets are estimates and AMAT’s elevated valuation makes further gains dependent on continued earnings growth. Does Applied Materials Have the Potential to Rally? Negative Sentiment: China exposure is a key overhang: New Chinese immersion DUV lithography capabilities and tighter export controls raise concerns about domestic competition and reduced access to China, a significant AMAT market. Applied Materials’ China Problem Is Getting Worse Negative Sentiment: CFO stock sale adds a minor sentiment concern: CFO Brice Hill sold 7,500 shares worth approximately $3.6 million, reducing his holdings by 5.51%. The transaction does not change AMAT’s fundamentals but may weigh modestly on investor sentiment. SEC Insider Transaction Filing Applied Materials Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

See Also Five stocks we like better than Applied Materials Nutanix’s Rally Has a Bigger Story Than Earnings as AMD’s AI Bet Takes Shape SEC Probe Puts Wall Street Leverage Risk Back in Focus A Bearish-Dollar Options Surge Raises the Stakes for Warsh at Jackson Hole Five Below’s Turnaround Is Working—But Has the Stock Run Too Far?

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Ausdal Financial Partners Inc. purchased a new stake in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor purchased 5,539 shares of the manufacturing equipment provider’s stock, valued at approximately $4,005,000.

A number of other large investors have also recently added to or reduced their stakes in the stock. Caldwell Investment Management Ltd. bought a new stake in shares of Applied Materials during the 2nd quarter valued at about $1,589,000. Evolve Private Wealth LLC lifted its holdings in Applied Materials by 59.0% in the first quarter. Evolve Private Wealth LLC now owns 2,875 shares of the manufacturing equipment provider’s stock worth $983,000 after acquiring an additional 1,067 shares during the last quarter. WealthPlan Investment Management LLC bought a new position in Applied Materials in the fourth quarter worth about $1,082,000. Ameritas Advisory Services LLC boosted its stake in Applied Materials by 183.7% in the fourth quarter. Ameritas Advisory Services LLC now owns 3,073 shares of the manufacturing equipment provider’s stock valued at $790,000 after acquiring an additional 1,990 shares during the period. Finally, Handelsbanken Fonder AB grew its holdings in shares of Applied Materials by 29.6% during the second quarter. Handelsbanken Fonder AB now owns 462,685 shares of the manufacturing equipment provider’s stock valued at $334,521,000 after purchasing an additional 105,776 shares during the last quarter. 80.56% of the stock is currently owned by institutional investors.

Applied Materials Price Performance Shares of AMAT opened at $482.36 on Friday. The firm has a market capitalization of $382.80 billion, a price-to-earnings ratio of 41.58, a price-to-earnings-growth ratio of 1.03 and a beta of 1.61. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.79 and a current ratio of 2.42. Applied Materials, Inc. has a one year low of $154.46 and a one year high of $739.67. The stock’s fifty day moving average is $553.91 and its 200-day moving average is $456.73.

Applied Materials (NASDAQ:AMAT – Get Free Report) last posted its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share for the quarter, topping the consensus estimate of $3.40 by $0.10. The business had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The company’s quarterly revenue was up 24.8% compared to the same quarter last year. During the same quarter in the prior year, the company posted $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Equities analysts anticipate that Applied Materials, Inc. will post 12.73 EPS for the current year. Applied Materials Announces Dividend The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Thursday, August 20th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s dividend payout ratio is currently 18.28%.

Analyst Ratings Changes Several brokerages recently issued reports on AMAT. Raymond James Financial set a $650.00 price target on Applied Materials in a report on Wednesday, June 10th. Argus set a $600.00 target price on Applied Materials in a research note on Tuesday, August 18th. Citigroup reissued a “buy” rating on shares of Applied Materials in a report on Monday, August 3rd. Zacks Research raised shares of Applied Materials from a “hold” rating to a “strong-buy” rating in a report on Wednesday, July 1st. Finally, Erste Group Bank downgraded shares of Applied Materials from a “buy” rating to a “hold” rating in a research report on Wednesday, August 5th. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $657.76.

Get Our Latest Analysis on AMAT

Applied Materials News Summary Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: Qualcomm executive joins the board: Applied Materials appointed Qualcomm CFO and COO Akash Palkhiwala as a director and Audit Committee member. His semiconductor-industry, finance and operating experience could strengthen the board as AMAT targets growth in advanced logic, memory and AI infrastructure. Applied Materials Appoints Akash Palkhiwala to Board of Directors Positive Sentiment: AI buildout supports earnings momentum: Recent coverage highlights AMAT’s record quarter-over-quarter revenue increase, with quarterly revenue of $9.12 billion, up 25% year over year, and non-GAAP earnings per share of $3.50, up 41%. Demand is being driven by advanced DRAM, high-bandwidth memory, leading-edge logic and advanced packaging. The AI Buildout Is Turning Applied Materials Into A Profit Machine Positive Sentiment: Services business remains healthy: AMAT’s Applied Global Services segment reported record revenue and expanding margins, supported by subscription services, parts demand and increased semiconductor-fab utilization. This recurring revenue stream may help cushion equipment-cycle volatility. AMAT’s AGS Business Gains Momentum Neutral Sentiment: Analyst upside remains substantial: The average Wall Street price target implies roughly 35% potential upside, although targets are estimates and AMAT’s elevated valuation makes further gains dependent on continued earnings growth. Does Applied Materials Have the Potential to Rally? Negative Sentiment: China exposure is a key overhang: New Chinese immersion DUV lithography capabilities and tighter export controls raise concerns about domestic competition and reduced access to China, a significant AMAT market. Applied Materials’ China Problem Is Getting Worse Negative Sentiment: CFO stock sale adds a minor sentiment concern: CFO Brice Hill sold 7,500 shares worth approximately $3.6 million, reducing his holdings by 5.51%. The transaction does not change AMAT’s fundamentals but may weigh modestly on investor sentiment. SEC Insider Transaction Filing Insiders Place Their Bets In other news, SVP Timothy M. Deane sold 8,621 shares of the stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $590.76, for a total value of $5,092,941.96. Following the completion of the transaction, the senior vice president directly owned 134,631 shares in the company, valued at $79,534,609.56. This trade represents a 6.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, SVP Omkaram Nalamasu sold 24,263 shares of the firm’s stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $593.43, for a total transaction of $14,398,392.09. Following the transaction, the senior vice president owned 146,916 shares in the company, valued at $87,184,361.88. This represents a 14.17% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 284,192 shares of company stock valued at $172,625,209. 0.30% of the stock is currently owned by insiders.

Applied Materials Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

Further Reading Five stocks we like better than Applied Materials Nutanix’s Rally Has a Bigger Story Than Earnings as AMD’s AI Bet Takes Shape SEC Probe Puts Wall Street Leverage Risk Back in Focus A Bearish-Dollar Options Surge Raises the Stakes for Warsh at Jackson Hole Five Below’s Turnaround Is Working—But Has the Stock Run Too Far?

Receive News & Ratings for Applied Materials Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Applied Materials and related companies with MarketBeat.com's FREE daily email newsletter.

Chip stocks are leading a narrow de-risking Monday morning, with the iShares Semiconductor ETF (NASDAQ:SOXX) down 4% to $501.17 while the iShares U.S. Technology ETF (NYSEARCA:IYW) is down 2% to $243.24. Semis are selling roughly twice as hard as broad technology, and that gap marks the session as sector-specific rather than a general tech pullback.

Intel (NASDAQ:INTC | INTC Price Prediction) stock is down 5% to $85.98 and leads the group lower. Meanwhile, AMD (NASDAQ:AMD) stock is down 4% to $454.36, while Taiwan Semiconductor (NYSE:TSM) stock is down 3% to $406.40. No company-specific headline is driving Intel today, and positioning is being trimmed across the group two sessions before NVIDIA (NASDAQ:NVDA) reports its most consequential quarter of the year.

De-Risking Into a Sector Catalyst NVIDIA reports its second-quarter fiscal 2027 results on August 26 after the close, a company-confirmed date. Given NVIDIA’s dominant weight in semiconductor benchmarks, the company’s guidance sets the tone for the entire complex, and traders are trimming exposure ahead of the release. Options flow points the same way: NVIDIA’s full-chain put-call ratio sits at 0.61, with the earnings-week expiration running a heavier 0.82. Intel stock is the most extended large-cap name in the group after an enormous year, and traders holding large gains often trim aggressively into high-variance catalysts. Intel stock was up 144% year to date through Friday’s close, which makes it the natural source of funds when investors reduce chip exposure.

NVIDIA’s own pattern reinforces the caution: the company has beaten Wall Street EPS estimates in four consecutive quarters, yet the average day-of price change across the last five reports was down 2%. The most recent quarter closed down 2% on release despite a 5.4% EPS surprise, and guidance nuance around China Data Center compute and Blackwell cadence has driven the reaction function more than headline numbers (the power, cooling, and networking suppliers behind that Blackwell buildout are the focus of a free report you can grab here). That history suggests a beat alone is unlikely to lift the entire complex.

Sector Concentration Magnifies the Move NVIDIA dominates chip-heavy portfolios, and that concentration is doing much of the work today. In IYW, NVIDIA represents 16.2% of net assets as of April 30, ranking as the largest disclosed position, with Broadcom (NASDAQ:AVGO) at 3.8%, AMD at 3.5%, Micron Technology (NASDAQ:MU) at 3% and Intel at 2.6%. Chip-focused funds like the iShares Semiconductor ETF carry even higher effective NVIDIA exposure, which magnifies pre-earnings positioning shifts.

Reddit chatter reflects the caution as well. The iShares Semiconductor ETF sits in bearish sentiment territory at an average score of 32.5, while NVIDIA discussion is neutral with 68 qualified mentions and 665 comments, and Invesco QQQ Trust (NASDAQ:QQQ) sentiment reads neutral at an average score of 48. Investors are stepping back from chip beta rather than adding into a binary event.

Ownership Shifts and Foundry Funding Separately, Stanley Druckenmiller’s Duquesne Family Office disclosed in a Form 13F that positions in Intel, Micron and Broadcom, all opened in the first quarter, were gone as of June 30, and that it opened a position in AMD representing 0.8% of reported assets. Duquesne reported $5.2 billion in U.S. equity holdings at quarter end, disclosed on the standard 45-day lag. These are point-in-time snapshots that don’t describe current positioning.

On the competitive backdrop, Japan’s Ministry of Economy, Trade and Industry intends to request an additional 150 billion yen ($941 million) for Rapidus in its fiscal 2027 budget, per Bloomberg. Rapidus is a state-backed venture founded in 2022 targeting 2-nanometer production by 2027, competing with Taiwan Semiconductor, Samsung and Intel on the leading edge of the foundry roadmap. It’s a pending budget request awaiting appropriation.

What Investors Can Watch This Week NVIDIA’s conference call Wednesday after the close is the sector’s next major catalyst. Investors can watch for guidance on China Data Center compute revenue, which NVIDIA excluded from its prior Q2 FY2027 outlook of $91 billion, plus or minus 2%, and any update on total supply-related commitments last disclosed at $119 billion. A language change on China exposure could reprice the entire chip complex within minutes of the release.

Given how much of the sector’s fate hinges on one report, position sizing matters more than direction here. Shareholders with concentrated chip exposure may want to check for whether their portfolios can absorb an outsized post-earnings gap in either direction, and trimming into strength ahead of a binary catalyst remains a reasonable risk-management stance.

Contact [email protected] for any questions or corrections.

Ceredex Value Advisors LLC lessened its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 52.1% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 32,907 shares of the manufacturing equipment provider’s stock after selling 35,864 shares during the period. Ceredex Value Advisors LLC’s holdings in Applied Materials were worth $23,792,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also bought and sold shares of the company. BlackRock Inc. grew its position in shares of Applied Materials by 1.6% in the 2nd quarter. BlackRock Inc. now owns 80,212,518 shares of the manufacturing equipment provider’s stock worth $57,993,650,000 after buying an additional 1,237,685 shares during the last quarter. Vanguard Group Inc. raised its holdings in shares of Applied Materials by 0.4% during the fourth quarter. Vanguard Group Inc. now owns 76,779,340 shares of the manufacturing equipment provider’s stock valued at $19,731,523,000 after acquiring an additional 330,197 shares in the last quarter. Capital Research Global Investors raised its holdings in shares of Applied Materials by 119.8% during the fourth quarter. Capital Research Global Investors now owns 32,707,049 shares of the manufacturing equipment provider’s stock valued at $8,405,458,000 after acquiring an additional 17,829,377 shares in the last quarter. Morgan Stanley lifted its stake in Applied Materials by 3.4% in the fourth quarter. Morgan Stanley now owns 11,470,835 shares of the manufacturing equipment provider’s stock worth $2,947,891,000 after acquiring an additional 373,012 shares during the period. Finally, Norges Bank purchased a new stake in Applied Materials in the fourth quarter worth $2,858,543,000. Institutional investors own 80.56% of the company’s stock.

Applied Materials Stock Performance NASDAQ AMAT opened at $492.32 on Monday. The firm has a market capitalization of $390.71 billion, a PE ratio of 42.44, a P/E/G ratio of 1.06 and a beta of 1.61. The stock’s 50 day moving average is $562.67 and its 200 day moving average is $451.92. Applied Materials, Inc. has a twelve month low of $154.46 and a twelve month high of $739.67. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20.

Applied Materials (NASDAQ:AMAT – Get Free Report) last posted its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.40 by $0.10. The business had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%.The firm’s quarterly revenue was up 24.8% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Research analysts forecast that Applied Materials, Inc. will post 12.73 earnings per share for the current fiscal year. Applied Materials Announces Dividend The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Thursday, August 20th will be given a $0.53 dividend. The ex-dividend date of this dividend is Thursday, August 20th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.4%. Applied Materials’s dividend payout ratio is currently 18.28%.

Trending Headlines about Applied Materials Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: AI demand supports the long-term outlook. JPMorgan reiterated an Overweight rating and estimates semiconductor-systems revenue could grow about 40% this year, with AI-related investment accounting for roughly 80% of chip-equipment demand. Applied Materials Sees Years Of AI-Fueled Growth Ahead Positive Sentiment: Advanced packaging and memory opportunities remain catalysts. New equipment launches are strengthening Applied Materials’ position in advanced packaging as demand for high-bandwidth memory (HBM) and semiconductor manufacturing capacity expands. Can Applied Materials Sustain Its Growth Amid AI-Driven Demand? Positive Sentiment: Brokerage coverage remains favorable. Berenberg issued a Buy rating, while broader analyst recommendations continue to point toward adding AMAT to portfolios. However, investors should note that consensus ratings can be overly optimistic because they are based on sell-side opinions. Applied Materials Receives a Buy from Berenberg Bank Neutral Sentiment: Fundamentals were stronger than expected, but the market response was weak. Applied Materials reported record fiscal third-quarter revenue of $9.12 billion, up 25% year over year, and exceeded consensus EPS and revenue estimates. Its above-consensus outlook was apparently insufficient to overcome high expectations and valuation concerns. Applied Materials Delivered a Record Quarter. The Stock Fell Anyway Negative Sentiment: High-profile bearish positioning is weighing on sentiment. Paul Tudor Jones reportedly liquidated his AMAT common-stock position and increased his put exposure, while Dr. Michael Burry is also betting against the shares. These trades raise concerns about semiconductor-cycle risks and whether future foundry capital spending will meet already elevated expectations. Paul Tudor Jones Liquidated His Applied Materials Stake Insider Buying and Selling In related news, Director Thomas J. Iannotti sold 9,250 shares of Applied Materials stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $599.77, for a total transaction of $5,547,872.50. Following the completion of the transaction, the director directly owned 40,559 shares of the company’s stock, valued at $24,326,071.43. This trade represents a 18.57% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Prabu G. Raja sold 50,000 shares of Applied Materials stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $505.28, for a total transaction of $25,264,000.00. Following the transaction, the insider directly owned 356,642 shares of the company’s stock, valued at approximately $180,204,069.76. This trade represents a 12.30% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 277,820 shares of company stock worth $169,538,434 over the last 90 days. Corporate insiders own 0.30% of the company’s stock.

Wall Street Analysts Forecast Growth A number of research analysts have issued reports on the stock. KeyCorp boosted their price objective on shares of Applied Materials from $550.00 to $750.00 and gave the company an “overweight” rating in a research report on Monday, June 29th. JPMorgan Chase & Co. raised their target price on shares of Applied Materials from $515.00 to $660.00 and gave the stock an “overweight” rating in a research report on Friday, August 14th. Wolfe Research lifted their target price on shares of Applied Materials from $500.00 to $550.00 and gave the company an “outperform” rating in a research note on Friday, May 15th. Jefferies Financial Group lifted their target price on shares of Applied Materials from $510.00 to $770.00 and gave the company a “buy” rating in a research note on Friday, June 26th. Finally, Seaport Research Partners reiterated a “buy” rating and set a $575.00 price target on shares of Applied Materials in a research report on Friday, August 14th. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $659.83.

View Our Latest Stock Analysis on AMAT

(Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

Recommended Stories Five stocks we like better than Applied Materials VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You? 3 Closed-End Funds to Maximize Dividend Payments Rocket Lab’s Sell-Off Is Fading—Is It Finally Safe to Buy? $27 Billion in Buybacks: 3 Stocks Betting Their Strong Runs Aren’t Over Want to see what other hedge funds are holding AMAT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Applied Materials, Inc. (NASDAQ:AMAT – Free Report).

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Fischer Financial Services Inc. bought a new stake in shares of Applied Materials, Inc. (NASDAQ:AMAT – Free Report) in the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm bought 5,985 shares of the manufacturing equipment provider’s stock, valued at approximately $4,327,000. Applied Materials makes up about 1.1% of Fischer Financial Services Inc.’s portfolio, making the stock its 20th largest position.

A number of other hedge funds and other institutional investors have also modified their holdings of the business. Harborfront Financial Group LLC acquired a new stake in Applied Materials during the 2nd quarter valued at approximately $27,000. BOK Financial Private Wealth Inc. acquired a new position in shares of Applied Materials in the 2nd quarter valued at approximately $41,000. Financial Freedom LLC acquired a new position in shares of Applied Materials in the 1st quarter valued at approximately $28,000. Elevation Wealth Partners LLC boosted its stake in shares of Applied Materials by 34.8% during the 2nd quarter. Elevation Wealth Partners LLC now owns 93 shares of the manufacturing equipment provider’s stock valued at $67,000 after buying an additional 24 shares during the last quarter. Finally, Cornerstone Financial Management LLC purchased a new position in shares of Applied Materials during the 4th quarter valued at approximately $25,000. 80.56% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Applied Materials In related news, SVP Omkaram Nalamasu sold 24,263 shares of the business’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $593.43, for a total transaction of $14,398,392.09. Following the completion of the transaction, the senior vice president owned 146,916 shares in the company, valued at $87,184,361.88. The trade was a 14.17% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Thomas J. Iannotti sold 9,250 shares of the company’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $599.77, for a total value of $5,547,872.50. Following the transaction, the director owned 40,559 shares of the company’s stock, valued at approximately $24,326,071.43. The trade was a 18.57% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 277,820 shares of company stock valued at $169,538,434. 0.30% of the stock is owned by insiders.

Wall Street Analyst Weigh In A number of research firms have recently weighed in on AMAT. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and set a $605.00 price target on shares of Applied Materials in a research report on Friday, August 14th. Sanford C. Bernstein increased their price objective on shares of Applied Materials from $675.00 to $700.00 and gave the company an “outperform” rating in a research note on Friday, August 14th. JPMorgan Chase & Co. increased their price objective on shares of Applied Materials from $515.00 to $660.00 and gave the company an “overweight” rating in a research note on Friday, August 14th. Wells Fargo & Company raised their price objective on shares of Applied Materials from $715.00 to $740.00 and gave the stock an “overweight” rating in a report on Friday, June 26th. Finally, Raymond James Financial set a $650.00 target price on shares of Applied Materials in a research report on Wednesday, June 10th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, Applied Materials has a consensus rating of “Moderate Buy” and a consensus target price of $659.83. Check Out Our Latest Analysis on Applied Materials

Applied Materials Stock Performance Shares of AMAT opened at $492.32 on Monday. Applied Materials, Inc. has a 12-month low of $154.46 and a 12-month high of $739.67. The business’s fifty day moving average price is $562.67 and its 200 day moving average price is $451.92. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.42 and a quick ratio of 1.79. The stock has a market capitalization of $390.71 billion, a PE ratio of 42.44, a price-to-earnings-growth ratio of 1.06 and a beta of 1.61.

Applied Materials (NASDAQ:AMAT – Get Free Report) last announced its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share for the quarter, beating analysts’ consensus estimates of $3.40 by $0.10. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The business had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. During the same quarter in the prior year, the firm earned $2.48 EPS. The company’s revenue for the quarter was up 24.8% compared to the same quarter last year. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Equities research analysts forecast that Applied Materials, Inc. will post 12.73 EPS for the current year.

Applied Materials Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Thursday, August 20th will be issued a dividend of $0.53 per share. The ex-dividend date of this dividend is Thursday, August 20th. This represents a $2.12 annualized dividend and a dividend yield of 0.4%. Applied Materials’s dividend payout ratio is 18.28%.

Applied Materials News Summary Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: AI demand supports the long-term outlook. JPMorgan reiterated an Overweight rating and estimates semiconductor-systems revenue could grow about 40% this year, with AI-related investment accounting for roughly 80% of chip-equipment demand. Applied Materials Sees Years Of AI-Fueled Growth Ahead Positive Sentiment: Advanced packaging and memory opportunities remain catalysts. New equipment launches are strengthening Applied Materials’ position in advanced packaging as demand for high-bandwidth memory (HBM) and semiconductor manufacturing capacity expands. Can Applied Materials Sustain Its Growth Amid AI-Driven Demand? Positive Sentiment: Brokerage coverage remains favorable. Berenberg issued a Buy rating, while broader analyst recommendations continue to point toward adding AMAT to portfolios. However, investors should note that consensus ratings can be overly optimistic because they are based on sell-side opinions. Applied Materials Receives a Buy from Berenberg Bank Neutral Sentiment: Fundamentals were stronger than expected, but the market response was weak. Applied Materials reported record fiscal third-quarter revenue of $9.12 billion, up 25% year over year, and exceeded consensus EPS and revenue estimates. Its above-consensus outlook was apparently insufficient to overcome high expectations and valuation concerns. Applied Materials Delivered a Record Quarter. The Stock Fell Anyway Negative Sentiment: High-profile bearish positioning is weighing on sentiment. Paul Tudor Jones reportedly liquidated his AMAT common-stock position and increased his put exposure, while Dr. Michael Burry is also betting against the shares. These trades raise concerns about semiconductor-cycle risks and whether future foundry capital spending will meet already elevated expectations. Paul Tudor Jones Liquidated His Applied Materials Stake Applied Materials Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

Further Reading Five stocks we like better than Applied Materials VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You? 3 Closed-End Funds to Maximize Dividend Payments Rocket Lab’s Sell-Off Is Fading—Is It Finally Safe to Buy? $27 Billion in Buybacks: 3 Stocks Betting Their Strong Runs Aren’t Over Want to see what other hedge funds are holding AMAT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Applied Materials, Inc. (NASDAQ:AMAT – Free Report).

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in AMAT over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?

Let's take a look at what these Wall Street heavyweights have to say about Applied Materials (AMAT - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.

Applied Materials currently has an average brokerage recommendation (ABR) of 1.50, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 38 brokerage firms. An ABR of 1.50 approximates between Strong Buy and Buy.

Of the 38 recommendations that derive the current ABR, 27 are Strong Buy and three are Buy. Strong Buy and Buy respectively account for 71.1% and 7.9% of all recommendations.

Brokerage Recommendation Trends for AMAT

Check price target & stock forecast for Applied Materials here>>>

While the ABR calls for buying Applied Materials, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.

Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.

This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.

Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.

ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.

Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.

Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.

On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.

There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.

Is AMAT Worth Investing In?In terms of earnings estimate revisions for Applied Materials, the Zacks Consensus Estimate for the current year has increased 4.9% over the past month to $12.73.

Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.

The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Applied Materials. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Therefore, the Buy-equivalent ABR for Applied Materials may serve as a useful guide for investors.

Bank of New York Mellon Corp decreased its position in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 18.4% during the 2nd quarter, according to its most recent filing with the SEC. The institutional investor owned 7,021,201 shares of the manufacturing equipment provider’s stock after selling 1,578,438 shares during the period. Applied Materials comprises 0.8% of Bank of New York Mellon Corp’s portfolio, making the stock its 18th biggest position. Bank of New York Mellon Corp owned about 0.88% of Applied Materials worth $5,076,329,000 at the end of the most recent reporting period.

Other hedge funds have also recently bought and sold shares of the company. Financial Freedom LLC acquired a new stake in shares of Applied Materials in the 1st quarter valued at approximately $28,000. Elevation Wealth Partners LLC raised its position in shares of Applied Materials by 34.8% in the second quarter. Elevation Wealth Partners LLC now owns 93 shares of the manufacturing equipment provider’s stock valued at $67,000 after purchasing an additional 24 shares during the period. Cornerstone Financial Management LLC bought a new position in Applied Materials in the 4th quarter valued at about $25,000. Whipplewood Advisors LLC increased its stake in shares of Applied Materials by 218.8% during the first quarter. Whipplewood Advisors LLC now owns 102 shares of the manufacturing equipment provider’s stock worth $35,000 after purchasing an additional 70 shares during the period. Finally, Wilkerson Advisory Group LLC bought a new stake in Applied Materials in the 4th quarter valued at about $26,000. 80.56% of the stock is currently owned by institutional investors.

Applied Materials News Roundup Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: Applied Materials was included in Zacks’ Rank #1 (Strong Buy) momentum list, reflecting continued favorable technical and fundamental sentiment after its substantial 2026 rally. Best Momentum Stock to Buy for August 19th Positive Sentiment: An analyst upgrade recently supported AMAT, while longer-term bullish arguments point to AI-driven semiconductor demand, a broad equipment portfolio and strong international revenue opportunities. Applied Materials Trading Higher Following Analyst Upgrade Neutral Sentiment: Applied Materials had surged about 98% in 2026 and 31% over three months, making it a major beneficiary of the AI-capital-spending trade but also leaving the stock vulnerable to profit-taking and shifts in expectations. Applied Materials Rockets 98% in 2026 Neutral Sentiment: Analysts remain constructive on AI-related growth and semiconductor demand, but AMAT’s premium valuation requires continued execution and strong forecasts to justify further gains. Should You Buy, Sell or Hold AMAT Stock Negative Sentiment: The immediate pressure is concentrated across chip-equipment names, including Applied Materials, Lam Research and Teradyne. Because the broader market is rising while the group sells off, investors appear concerned about the durability or timing of AI-related capital expenditures rather than interest rates alone. What Is Prompting the Selloff in Chip Equipment Stocks? Negative Sentiment: Investors are also questioning whether AMAT is “priced for perfection,” with its elevated earnings multiple increasing the risk of a sharper reaction to any slowdown in AI spending or semiconductor demand. Applied Materials Is Priced For Perfection Insider Buying and Selling at Applied Materials In other Applied Materials news, SVP Timothy M. Deane sold 8,621 shares of the business’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $590.76, for a total value of $5,092,941.96. Following the transaction, the senior vice president owned 134,631 shares of the company’s stock, valued at approximately $79,534,609.56. The trade was a 6.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Gary E. Dickerson sold 71,727 shares of the business’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.75, for a total transaction of $42,587,906.25. Following the completion of the transaction, the chief executive officer owned 1,695,164 shares in the company, valued at approximately $1,006,503,625. The trade was a 4.06% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 278,088 shares of company stock valued at $169,654,805 in the last quarter. 0.30% of the stock is owned by company insiders. Applied Materials Price Performance Shares of NASDAQ:AMAT opened at $496.17 on Thursday. Applied Materials, Inc. has a twelve month low of $154.46 and a twelve month high of $739.67. The firm has a market capitalization of $393.94 billion, a price-to-earnings ratio of 42.77, a PEG ratio of 1.11 and a beta of 1.61. The stock’s 50 day moving average is $565.29 and its 200-day moving average is $449.54. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20.

Applied Materials (NASDAQ:AMAT – Get Free Report) last issued its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.40 by $0.10. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The firm had revenue of $9.12 billion during the quarter, compared to analysts’ expectations of $8.99 billion. The business’s revenue was up 24.8% on a year-over-year basis. During the same period last year, the company earned $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Sell-side analysts forecast that Applied Materials, Inc. will post 12.65 EPS for the current fiscal year.

Applied Materials Announces Dividend The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 0.4%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s payout ratio is currently 18.28%.

Wall Street Analysts Forecast Growth A number of research firms have recently weighed in on AMAT. Citigroup reiterated a “buy” rating on shares of Applied Materials in a research report on Monday, August 3rd. Raymond James Financial set a $650.00 target price on shares of Applied Materials in a research note on Wednesday, June 10th. Craig Hallum upped their price objective on Applied Materials from $530.00 to $585.00 and gave the company a “buy” rating in a research note on Friday, August 14th. Barclays increased their price objective on Applied Materials from $500.00 to $590.00 and gave the company an “overweight” rating in a report on Thursday, June 11th. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Applied Materials in a research report on Wednesday, June 24th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $659.83.

Check Out Our Latest Stock Report on AMAT

Applied Materials Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

Featured Stories Five stocks we like better than Applied Materials Bloom Energy’s AI Surge Meets a Valuation Reality Check Target Is Winning Shoppers Back—Can the Rally Reach $180? IonQ’s Space Contract Points to a New Frontier for Quantum Investors Is Apple’s AI Strategy Smarter Than Skeptics Think? Want to see what other hedge funds are holding AMAT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Applied Materials, Inc. (NASDAQ:AMAT – Free Report).

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Shares of Applied Materials (NASDAQ:AMAT | AMAT Price Prediction) have been wobbling alongside the broad semiconductor scene of late. Even for those who were waiting around for a dip, it feels a bit unnerving to step in as a buyer at a time like this, with the chart looking toppy and bears, like Dr. Michael Burry of The Big Short fame, stepping up to the plate, announcing shorts against the firm.

Of course, for a recent parabolic mover like Applied Materials, an equally steep correction is not only to be expected; it’s a healthy sign that might prevent any sort of AI bubble from getting too, well, bubbly. Any way you look at it, the chart of Applied Materials certainly looks to be one of the scariest in all of the semi scene. And while it seems reckless to try and reach out to catch the falling knife, I do think that a 32% discount to all-time highs is tempting, especially if you were more than willing to buy shares of the semiconductor equipment supplier.

Indeed, the semiconductor designers pay the fabs, which pay the equipment makers, which pay the suppliers, just like Applied Materials. And while there are reasons to go all the way back in the chain, given that firms like Applied Materials tend to boom before firms further down the line do, especially as foundries ramp up production to meet unprecedented demand for AI chips, I do think that the magnitude of cyclicality is to be taken into account.

The risks of betting on the equipment suppliers By going for the equipment makers of the equipment makers, the booms are going to be more vicious (think the parabolic rally that preceded the latest bear market plunge), but so too will the busts once the cycle turns.

Indeed, that’s pretty much the bullwhip effect to watch out for and, in the case of Applied Materials, the fear is that investors who get in at the wrong time or too close to the peak in the cycle might be the ones left with a bad case of whiplash.

While Dr. Burry’s short is something to think about, especially given the high-risk/high-reward nature of equipment vendors that stand to be paid first at the cusp of an industry ramp, I do think that the stock has already crashed.

A 40% cratering from peak to trough isn’t anything mild, even though it seems like it given the parabolic rally going into the steep drop. In my humble opinion, it’s hard to say that the cycle’s peak is in, especially when you consider the potential for foundries to keep on buying equipment, which, in turn, means more supplies needed for the equipment makers themselves. There’s a ton of CapEx being spent on the effort, and it’s finding its way to the equipment suppliers like Applied Materials.

The smart money has already booked profits I guess we’ll need to wait and see who else in the smart money crowd has been buying the dip. With a barrage of hedge funds (more than a dozen) selling the stock in the second quarter (great timing, by the way), I wouldn’t look to rush an entry, especially since the shares have still more than tripled in the past year, even with that latest correction.

With upbeat guidance and the wind at the firm’s back, it feels like Applied Materials is being punished by the market for no good reason.

Perhaps there doesn’t need to be a reason to take some profits, even if you’re in the belief that the peak in the cycle is years away and that the latest dip is nothing more than a healthy correction. At around 30.0 times forward price-to-earnings (P/E), the name looks modestly priced, but I’m not a buyer, at least not while Dr. Burry bets against the firm and investors look beyond the semis.

With a foundry ramp underway, though, it’s hard to tell just how much of the boom is already priced in. While this probably isn’t it for the demand boom, I wouldn’t look to brave extreme negative momentum unless, of course, you’ve got a long-term horizon and a stomach for extra choppiness. For now, I’ll wait for a more vicious semi drawdown before looking to enter. Perhaps pressure on the top AI labs could cap hyperscaler CapEx and reduce the flows going through the semis.

Contact [email protected] for any questions or corrections.

Key Takeaways ASE Technology expects 2026 LEAP revenues to exceed $3.5 billion as demand remains strong.Applied Materials expects packaging revenues to grow more than 70% in 2026 amid AI demand.ASE Technology trades at 21.89X forward P/E, below Applied Materials' 32.16X, supporting its stronger case. ASE Technology Holding (ASX - Free Report) and Applied Materials (AMAT - Free Report) are both important players in the semiconductor industry, but operate in different parts of the supply chain. ASE Technology is a major player in outsourced semiconductor assembly and testing, offering advanced packaging and testing services for AI, high-performance computing and automotive chips, while Applied Materials is one of the world's largest suppliers of semiconductor manufacturing equipment.

Both ASX and AMAT are well-positioned to benefit from the rising demand for AI chips, as hyperscalers continue to increase investments in AI infrastructure. However, from an investment point of view, one stock offers a more favorable outlook than the other right now. Let’s break down their fundamentals, growth prospects, market challenges and valuation to determine which stock offers a more compelling investment case.

The Case for ASE Technology StockASE Technology is seeing strong demand for its leading-edge advanced packaging and testing (LEAP) services, driven by growing AI infrastructure needs. In the first half of 2026, the company’s ATM revenues increased 35% year over year, with leading-edge advanced packaging and testing growing faster than the overall business. ASX expects this momentum to continue in the second half of 2026 and now projects ATM revenues to grow 35% in 2026.

LEAP services are a key driver of this growth. ASX previously expected LEAP revenues of $3.5 billion in 2026. Following strong demand, management now expects LEAP revenues to be a couple of hundred million dollars above this level. The company is also aiming to double LEAP revenues in 2027. Management said customer demand remains strong and it has clear visibility into the capacity needed for 2027. Both assembly and testing are seeing strong demand, while the expansion of full-process packaging is expected to provide another growth opportunity.

The higher contribution from LEAP is also helping ASX improve margins. In the second quarter of 2026, ATM revenues reached a record TWD 126.1 billion, up 36% year over year. The ATM business accounted for 66% of consolidated revenues and 94% of operating profit. ATM gross margin increased to 27.3% from 21.9% a year ago, helped by higher utilization and a greater mix of LEAP services. ASX expects ATM gross margin to improve further and could exceed 30% in the fourth quarter of 2026.

ASX is spending more to add capacity and meet demand. The company raised its 2026 capital expenditure plan by $2 billion to about $10.5 billion. Of the $6.5 billion planned for equipment, about 70% is for leading-edge operations. If ASX can bring new capacity online as planned, strong LEAP demand should continue to support its revenue growth and margin expansion.

The Case for AMAT stockApplied Materials is seeing strong demand for advanced packaging as AI drives the need for faster and more efficient computing systems. The company expects advanced packaging to remain a key growth area as chipmakers increase investments in high-bandwidth memory (HBM), 3D chiplets and other technologies that improve chip performance and power efficiency.

AMAT expects its overall packaging revenues to grow more than 70% in 2026. In the third quarter of fiscal 2026, management said leading-edge foundry-logic, DRAM and advanced packaging could together account for around 80% of wafer fab equipment growth in 2026 and 2027. AMAT has strong positions in HBM packaging and 3D chiplet stacking, which should help it benefit from these trends. The company also launched new products during the third quarter, including Opta Quad CMP and two new e-beam systems for advanced packaging.

AMAT is investing in newer packaging technologies that could support growth beyond 2026. The company is developing solutions for larger panel formats and expects significant growth in panel revenues next year. Hybrid bonding is another opportunity, as chipmakers look to shorten wiring distances and improve performance and power efficiency. AMAT said its hybrid bonding technology and related products could become meaningful growth drivers over time.

However, China remains a key risk due to AMAT's significant exposure to the market. China accounted for 26% of Semiconductor Systems and AGS revenues in the third quarter of fiscal 2026. This concentration increases sensitivity to export license outcomes, rule changes and enforcement actions. Any slowdown in Chinese semiconductor spending or tighter restrictions on semiconductor equipment could weigh on AMAT's overall growth.

How do Earnings Estimates Compare for ASX & AMAT?The Zacks Consensus Estimate for ASX’s 2026 EPS is pegged at $1.21, revised up by 8% over the past 30 days, indicating year-over-year growth of 112.3%.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for AMAT’s fiscal 2026 EPS is pegged at $12.65, revised up by 3.5% over the past seven days, indicating year-over-year growth of 34.3%.

Image Source: Zacks Investment Research

ASX vs. AMAT: Price Performance and ValuationYear to date, shares of ASX and AMAT have surged 126.2% and 99%, respectively.

ASX Vs. AMAT: YTD Price Return Performance
Image Source: Zacks Investment Research

Currently, ASX is trading at a forward 12-month P/E ratio of 21.89X, lower than AMAT’s forward 12-month P/E multiple of 32.16X. ASX’s reasonable valuation makes it more attractive for investors looking for value and stability.

ASX vs. AMAT: Forward 12-Month P/E Ratio
Image Source: Zacks Investment Research

Conclusion: ASX Has an Edge Over AMATBoth ASX and AMAT are benefiting from growing demand for AI chips and advanced packaging. However, risks and uncertainties related to trade restrictions on exporting semiconductor tools to China do not bode well for AMAT. In contrast, ASE Technology continues to benefit from strong demand for AI chip packaging, supported by growing LEAP demand and improving ATM margins. Further, ASX’s reasonable valuation offers some downside protection as well, giving the stock a clear edge over AMAT.

Currently, ASX and AMAT sport a Zacks Rank #1 (Strong Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Short position through short-selling of the stock, or purchase of put options or similar derivatives in AMAT over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Applied Materials, Inc. added $1,205M in revenue in July and guides to $1,135M more for October. Sellers knocked 5.1% off AMAT stock anyway. Applied came in at 50.4% non-GAAP gross margin in July and guides October to about 50.4% on roughly $1,135M more revenue. Hill says slow improvement, and I don't see it. Applied grew revenue $1,813M year over year, and about 48% of that came from foundry-logic, about 33% from DRAM. I like foundry-logic more after TSMC raised its 2026 capital budget.

111 Capital cut its holdings in shares of Applied Materials, Inc. (NASDAQ: AMAT) by 23.2% during the undefined quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 6,948 shares of the manufacturing equipment provider's stock after selling 2,096 shares during the

Carret Asset Management LLC cut its position in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 4.6% during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 31,772 shares of the manufacturing equipment provider’s stock after selling 1,521 shares during the quarter. Applied Materials makes up about 2.0% of Carret Asset Management LLC’s holdings, making the stock its 8th biggest position. Carret Asset Management LLC’s holdings in Applied Materials were worth $22,971,000 at the end of the most recent reporting period.

Several other institutional investors have also recently bought and sold shares of AMAT. Brighton Jones LLC increased its stake in shares of Applied Materials by 28.0% in the fourth quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider’s stock worth $2,061,000 after purchasing an additional 2,771 shares during the period. Sivia Capital Partners LLC boosted its stake in Applied Materials by 26.7% during the 2nd quarter. Sivia Capital Partners LLC now owns 3,225 shares of the manufacturing equipment provider’s stock valued at $590,000 after purchasing an additional 679 shares during the period. Forefront Wealth Partners LLC bought a new stake in Applied Materials during the 2nd quarter valued at approximately $410,000. Schnieders Capital Management LLC. grew its holdings in Applied Materials by 30.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 15,003 shares of the manufacturing equipment provider’s stock valued at $2,747,000 after buying an additional 3,469 shares during the last quarter. Finally, Sei Investments Co. grew its holdings in Applied Materials by 59.3% in the 2nd quarter. Sei Investments Co. now owns 422,694 shares of the manufacturing equipment provider’s stock valued at $77,383,000 after buying an additional 157,426 shares during the last quarter. Institutional investors own 80.56% of the company’s stock.

Key Stories Impacting Applied Materials Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: Record quarterly performance: Fiscal Q3 revenue rose 24.8% year over year to $9.12 billion, ahead of the $8.99 billion consensus estimate, while adjusted EPS of $3.50 exceeded expectations. AI infrastructure demand, advanced packaging and memory spending supported growth. Applied Materials Q3 Earnings Beat Estimates, Revenues Rise Y/Y Positive Sentiment: Above-consensus outlook: Management projected fiscal Q4 revenue of approximately $9.8 billion to $10.8 billion and EPS of $3.82 to $4.22, both above analyst expectations. The company also pointed to stronger systems growth and unusually long customer visibility into fiscal 2027 and beyond. Applied Materials Forecasts Quarterly Revenue Above Estimates Positive Sentiment: Analyst and institutional support: JPMorgan, RBC, TD Cowen, B. Riley, Needham and other firms maintained positive ratings or raised price targets. Soros Capital also reportedly added AMAT among several semiconductor positions, reinforcing the longer-term AI and chip-cycle investment case. Soros Capital Loads Up on Semiconductor Stocks Neutral Sentiment: Options imply a possible rebound: Derivatives-market data indicates traders expect the pullback could be temporary, although elevated volatility reflects uncertainty over the stock’s near-term direction. Applied Materials Options Data Negative Sentiment: Expectations were exceptionally high: Despite the earnings beat and upbeat guidance, investors wanted faster growth and clearer evidence that AMAT is outpacing rivals in semiconductor manufacturing equipment. Concerns about competition, margins and the pace of systems growth overshadowed the headline results. Applied Materials Slips as Investors Seek Faster Growth Negative Sentiment: Broader market pressure added to selling: Weaker July retail-sales data, profit-taking after record highs and a semiconductor-sector selloff weighed on AMAT and other AI-related stocks. Applied Materials Stock Performance NASDAQ AMAT opened at $507.18 on Monday. Applied Materials, Inc. has a twelve month low of $154.46 and a twelve month high of $739.67. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20. The stock has a market cap of $402.68 billion, a P/E ratio of 43.72, a PEG ratio of 1.25 and a beta of 1.61. The company’s 50-day simple moving average is $564.15 and its 200 day simple moving average is $445.77.

Applied Materials (NASDAQ:AMAT – Get Free Report) last announced its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 EPS for the quarter, topping analysts’ consensus estimates of $3.40 by $0.10. The firm had revenue of $9.12 billion during the quarter, compared to analysts’ expectations of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The company’s revenue for the quarter was up 24.8% compared to the same quarter last year. During the same quarter last year, the company earned $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. As a group, research analysts forecast that Applied Materials, Inc. will post 12.48 earnings per share for the current fiscal year.

Applied Materials Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a dividend of $0.53 per share. This represents a $2.12 annualized dividend and a dividend yield of 0.4%. The ex-dividend date is Thursday, August 20th. Applied Materials’s dividend payout ratio (DPR) is 18.28%.

Insider Buying and Selling at Applied Materials In related news, Director Thomas J. Iannotti sold 9,250 shares of the business’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $599.77, for a total value of $5,547,872.50. Following the sale, the director owned 40,559 shares of the company’s stock, valued at $24,326,071.43. The trade was a 18.57% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Prabu G. Raja sold 50,000 shares of the company’s stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $505.28, for a total value of $25,264,000.00. Following the completion of the sale, the insider owned 356,642 shares in the company, valued at $180,204,069.76. This trade represents a 12.30% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 278,088 shares of company stock worth $169,654,805 over the last three months. 0.30% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades Several research analysts have commented on the company. Wells Fargo & Company lifted their price target on Applied Materials from $715.00 to $740.00 and gave the stock an “overweight” rating in a research report on Friday, June 26th. Wolfe Research increased their price objective on Applied Materials from $500.00 to $550.00 and gave the company an “outperform” rating in a research report on Friday, May 15th. Mizuho raised their price objective on shares of Applied Materials from $540.00 to $650.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 8th. Barclays boosted their target price on shares of Applied Materials from $500.00 to $590.00 and gave the stock an “overweight” rating in a research report on Thursday, June 11th. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $645.00 target price on shares of Applied Materials in a research note on Monday, August 3rd. One analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, Applied Materials has a consensus rating of “Moderate Buy” and a consensus price target of $640.17.

Read Our Latest Report on Applied Materials

Applied Materials Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

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Cape ANN Savings Bank lessened its stake in Applied Materials, Inc. (NASDAQ:AMAT – Free Report) by 46.7% in the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 5,730 shares of the manufacturing equipment provider’s stock after selling 5,020 shares during the quarter. Applied Materials comprises about 2.0% of Cape ANN Savings Bank’s holdings, making the stock its 11th largest holding. Cape ANN Savings Bank’s holdings in Applied Materials were worth $4,143,000 as of its most recent filing with the SEC.

A number of other institutional investors have also recently added to or reduced their stakes in AMAT. Investment Partners LTD. acquired a new position in Applied Materials during the second quarter worth $426,000. Transcend Capital Advisors LLC grew its holdings in Applied Materials by 7.3% in the 2nd quarter. Transcend Capital Advisors LLC now owns 3,489 shares of the manufacturing equipment provider’s stock valued at $2,523,000 after buying an additional 238 shares in the last quarter. SYM FINANCIAL Corp increased its stake in shares of Applied Materials by 3.8% in the 2nd quarter. SYM FINANCIAL Corp now owns 3,077 shares of the manufacturing equipment provider’s stock worth $2,224,000 after acquiring an additional 113 shares during the last quarter. Alliance Wealth Management Group acquired a new stake in shares of Applied Materials in the 2nd quarter worth $204,000. Finally, Principal Financial Group Inc. raised its holdings in shares of Applied Materials by 3.0% during the 2nd quarter. Principal Financial Group Inc. now owns 1,008,591 shares of the manufacturing equipment provider’s stock worth $729,211,000 after acquiring an additional 28,982 shares during the period. Hedge funds and other institutional investors own 80.56% of the company’s stock.

Insiders Place Their Bets In related news, CEO Gary E. Dickerson sold 20,000 shares of Applied Materials stock in a transaction that occurred on Tuesday, June 30th. The shares were sold at an average price of $735.22, for a total value of $14,704,400.00. Following the completion of the sale, the chief executive officer owned 1,599,843 shares in the company, valued at approximately $1,176,236,570.46. This trade represents a 1.23% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Thomas J. Iannotti sold 9,250 shares of the business’s stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $599.77, for a total value of $5,547,872.50. Following the completion of the sale, the director directly owned 40,559 shares in the company, valued at approximately $24,326,071.43. The trade was a 18.57% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 278,088 shares of company stock worth $169,654,805. Insiders own 0.30% of the company’s stock.

Trending Headlines about Applied Materials Here are the key news stories impacting Applied Materials this week:

Positive Sentiment: Record quarterly performance: Fiscal Q3 revenue rose 24.8% year over year to $9.12 billion, ahead of the $8.99 billion consensus estimate, while adjusted EPS of $3.50 exceeded expectations. AI infrastructure demand, advanced packaging and memory spending supported growth. Applied Materials Q3 Earnings Beat Estimates, Revenues Rise Y/Y Positive Sentiment: Above-consensus outlook: Management projected fiscal Q4 revenue of approximately $9.8 billion to $10.8 billion and EPS of $3.82 to $4.22, both above analyst expectations. The company also pointed to stronger systems growth and unusually long customer visibility into fiscal 2027 and beyond. Applied Materials Forecasts Quarterly Revenue Above Estimates Positive Sentiment: Analyst and institutional support: JPMorgan, RBC, TD Cowen, B. Riley, Needham and other firms maintained positive ratings or raised price targets. Soros Capital also reportedly added AMAT among several semiconductor positions, reinforcing the longer-term AI and chip-cycle investment case. Soros Capital Loads Up on Semiconductor Stocks Neutral Sentiment: Options imply a possible rebound: Derivatives-market data indicates traders expect the pullback could be temporary, although elevated volatility reflects uncertainty over the stock’s near-term direction. Applied Materials Options Data Negative Sentiment: Expectations were exceptionally high: Despite the earnings beat and upbeat guidance, investors wanted faster growth and clearer evidence that AMAT is outpacing rivals in semiconductor manufacturing equipment. Concerns about competition, margins and the pace of systems growth overshadowed the headline results. Applied Materials Slips as Investors Seek Faster Growth Negative Sentiment: Broader market pressure added to selling: Weaker July retail-sales data, profit-taking after record highs and a semiconductor-sector selloff weighed on AMAT and other AI-related stocks. Analyst Ratings Changes Several research analysts have recently weighed in on AMAT shares. William Blair started coverage on shares of Applied Materials in a research report on Tuesday, August 11th. They set a “market perform” rating on the stock. Mizuho raised their price objective on shares of Applied Materials from $540.00 to $650.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 8th. TD Cowen reaffirmed a “buy” rating and set a $700.00 target price on shares of Applied Materials in a research note on Friday. Susquehanna boosted their target price on shares of Applied Materials from $575.00 to $900.00 and gave the company a “positive” rating in a report on Tuesday, June 30th. Finally, Jefferies Financial Group increased their price target on shares of Applied Materials from $510.00 to $770.00 and gave the company a “buy” rating in a research note on Friday, June 26th. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Applied Materials presently has an average rating of “Moderate Buy” and an average price target of $640.17.

Check Out Our Latest Analysis on AMAT

Applied Materials Stock Performance Shares of Applied Materials stock opened at $507.18 on Monday. The firm has a market cap of $402.68 billion, a PE ratio of 43.72, a price-to-earnings-growth ratio of 1.25 and a beta of 1.61. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20. Applied Materials, Inc. has a 52 week low of $154.46 and a 52 week high of $739.67. The business’s fifty day simple moving average is $564.15 and its 200-day simple moving average is $445.77.

Applied Materials (NASDAQ:AMAT – Get Free Report) last issued its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.40 by $0.10. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%.The firm had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. During the same period last year, the company earned $2.48 EPS. The company’s quarterly revenue was up 24.8% on a year-over-year basis. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Equities analysts forecast that Applied Materials, Inc. will post 12.48 earnings per share for the current year.

Applied Materials Dividend Announcement The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Thursday, August 20th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s payout ratio is 18.28%.

Applied Materials Company Profile (Free Report)

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.

Featured Stories Five stocks we like better than Applied Materials The Metals Company’s Big Bet Now Comes Down to a License OneSpaWorld Keeps Turning Cruise Demand Into Record Earnings Meta and Tesla Are Rebounding From Oversold Levels—Now What? AMG’s Alternatives Boom Powers Record Growth Want to see what other hedge funds are holding AMAT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Applied Materials, Inc. (NASDAQ:AMAT – Free Report).

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