Applied Materials, Inc. (NASDAQ:AMAT – Get Free Report) shares were up 2.6% on Friday . The company traded as high as $569.95 and last traded at $567.25. Approximately 8,026,869 shares changed hands during mid-day trading, an increase of 6% from the average daily volume of 7,547,985 shares. The stock had previously closed at $552.64.
Applied Materials News Summary
Here are the key news stories impacting Applied Materials this week:
- Positive Sentiment: Barclays reiterated an Overweight rating on Applied Materials, saying investment in new chip supply remains strong and supporting the stock’s bullish momentum. Applied Materials and KLA Are Surging. Why You Should Buy the Stocks, Says This Analyst.
- Positive Sentiment: Erste Group Bank raised its earnings estimates for Applied Materials, lifting FY2026 EPS forecast to $12.20 and FY2027 to $16.29, while keeping a Buy rating. Applied Materials estimate revision
- Positive Sentiment: Several recent articles highlighted Applied Materials as a top momentum and AI-beneficiary stock, with commentary pointing to strong May performance, heavy hedge fund ownership, and broad analyst support. Is Applied Materials (AMAT) A Good Stock to Buy Now?
- Positive Sentiment: Investor attention is also being fueled by a recent 52-week-high move and reports of continued rotation into chip equipment stocks, reinforcing the view that AMAT remains a favored AI infrastructure name. Why Did AMAT, AMPG, OSCR Stocks Surge To 52-Week Highs Today?
- Neutral Sentiment: Other coverage today was largely repeated “great momentum stock” and “attracting investor attention” pieces, reflecting strong market interest rather than a new company-specific catalyst. Applied Materials (AMAT) is a Great Momentum Stock: Should You Buy?
Wall Street Analysts Forecast Growth
A number of brokerages have recently commented on AMAT. The Goldman Sachs Group increased their price objective on Applied Materials from $390.00 to $520.00 and gave the company a “buy” rating in a research report on Friday, May 15th. Seaport Research Partners started coverage on shares of Applied Materials in a research note on Monday, May 4th. They issued a “buy” rating and a $500.00 price target on the stock. Morgan Stanley reaffirmed an “equal weight” rating and issued a $502.00 price target (up from $454.00) on shares of Applied Materials in a research note on Friday, May 15th. Bank of America increased their target price on shares of Applied Materials from $465.00 to $540.00 and gave the stock a “buy” rating in a research report on Friday, May 15th. Finally, Jefferies Financial Group increased their target price on shares of Applied Materials from $415.00 to $510.00 and gave the stock a “buy” rating in a research report on Friday, May 15th. Twenty-seven research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $483.03.
Applied Materials Trading Up 2.6%
The company has a debt-to-equity ratio of 0.22, a current ratio of 2.51 and a quick ratio of 1.80. The company’s 50 day moving average is $427.22 and its two-hundred day moving average is $352.62. The firm has a market cap of $450.37 billion, a P/E ratio of 53.26, a PEG ratio of 1.58 and a beta of 1.67.
Applied Materials (NASDAQ:AMAT – Get Free Report) last released its earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share for the quarter, beating the consensus estimate of $2.68 by $0.18. The business had revenue of $7.91 billion during the quarter, compared to analysts’ expectations of $7.68 billion. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The firm’s revenue was up 11.4% on a year-over-year basis. During the same quarter last year, the company earned $2.39 earnings per share. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, sell-side analysts predict that Applied Materials, Inc. will post 12.1 earnings per share for the current year.
Applied Materials Announces Dividend
The firm also recently declared 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. 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 dividend payout ratio (DPR) is currently 19.91%.
Insider Buying and Selling at Applied Materials
In other Applied Materials news, CFO Brice Hill sold 2,500 shares of the firm’s stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $498.86, for a total transaction of $1,247,150.00. Following the completion of the transaction, the chief financial officer owned 136,113 shares in the company, valued at $67,901,331.18. This trade represents a 1.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CAO Adam Sanders sold 268 shares of the firm’s stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $434.22, for a total transaction of $116,370.96. Following the transaction, the chief accounting officer owned 4,280 shares of the company’s stock, valued at approximately $1,858,461.60. This represents a 5.89% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 53,896 shares of company stock worth $27,135,121 in the last three months. 0.30% of the stock is currently owned by company insiders.
Institutional Inflows and Outflows
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in AMAT. Cornerstone Financial Management LLC acquired a new stake in shares of Applied Materials during the fourth quarter worth approximately $25,000. Redmont Wealth Advisors LLC acquired a new stake in shares of Applied Materials during the third quarter worth approximately $26,000. Wilkerson Advisory Group LLC acquired a new stake in shares of Applied Materials during the fourth quarter worth approximately $26,000. Financial Freedom LLC acquired a new stake in shares of Applied Materials during the first quarter worth approximately $28,000. Finally, Highline Wealth Partners LLC increased its holdings in shares of Applied Materials by 48.7% during the fourth quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider’s stock worth $30,000 after buying an additional 38 shares in the last quarter. Institutional investors own 80.56% of the company’s stock.
About Applied Materials
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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