Applied Materials (NASDAQ:AMAT) Releases Q4 2026 Earnings Guidance

Applied Materials (NASDAQ:AMAT) updated its fourth quarter 2026 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 3.820-4.220 for the period, compared to the consensus EPS estimate of 3.650. The company issued revenue guidance of $9.8 billion-$10.8 billion, compared to the consensus revenue estimate of $9.5 billion.

Applied Materials Price Performance

AMAT stock traded down $13.61 on Thursday, hitting $534.54. 10,841,962 shares of the company’s stock traded hands, compared to its average volume of 8,198,248. The stock has a market cap of $424.40 billion, a price-to-earnings ratio of 50.19, a P/E/G ratio of 1.33 and a beta of 1.61. The company has a current ratio of 2.51, a quick ratio of 1.80 and a debt-to-equity ratio of 0.22. The stock has a fifty day moving average of $562.41 and a 200-day moving average of $442.96. Applied Materials has a 1-year low of $154.46 and a 1-year high of $739.67.

Applied Materials (NASDAQ:AMAT) last issued its earnings results 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 for the quarter, compared to analysts’ expectations of $8.99 billion. Applied Materials had a return on equity of 36.97% and a net margin of 29.31%.Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. On average, analysts forecast that Applied Materials will post 12.22 EPS for the current fiscal year.

Applied Materials Dividend Announcement

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 issued a $0.53 dividend. The ex-dividend date 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 presently 19.91%.

Wall Street Analysts Forecast Growth

AMAT has been the topic of several research analyst reports. Deutsche Bank Aktiengesellschaft lifted their target price on Applied Materials from $450.00 to $550.00 and gave the company a “buy” rating in a research note on Friday, May 15th. UBS Group raised their target price on shares of Applied Materials from $570.00 to $705.00 and gave the company a “buy” rating in a research note on Wednesday, July 15th. JPMorgan Chase & Co. upped their price target on Applied Materials from $400.00 to $515.00 and gave the stock an “overweight” rating in a report on Friday, May 15th. Sanford C. Bernstein reiterated an “outperform” rating and issued a $525.00 target price on shares of Applied Materials in a research note on Friday, May 15th. Finally, Royal Bank Of Canada boosted their price target on shares of Applied Materials from $500.00 to $520.00 and gave the company an “outperform” rating in a report on Friday, May 15th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating and eight have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $603.23.

Insider Activity at Applied Materials

In related news, insider Prabu G. Raja sold 10,000 shares of Applied Materials stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $633.53, for a total transaction of $6,335,300.00. Following the transaction, the insider owned 346,642 shares of the company’s stock, valued at $219,608,106.26. This trade represents a 2.80% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Gary E. Dickerson sold 20,000 shares of Applied Materials stock in a transaction dated Tuesday, June 30th. The stock was sold at an average price of $735.22, for a total value of $14,704,400.00. Following the transaction, the chief executive officer owned 1,599,843 shares in the company, valued at approximately $1,176,236,570.46. This represents a 1.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 278,088 shares of company stock valued at $169,654,805 over the last quarter. 0.30% of the stock is currently owned by corporate insiders.

Key Stories Impacting Applied Materials

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

• Positive Sentiment: Optimism is being driven by expectations for strong AI-related semiconductor-equipment demand. Analysts anticipate approximately $9 billion in revenue and $3.39 in EPS, while Applied Materials expects semiconductor-equipment growth of more than 30% in 2026. Applied Materials earnings estimates
• Positive Sentiment: Zacks upgraded AMAT to Rank #1, or Strong Buy, citing improving earnings prospects. Zacks’ earnings model also signals another potential earnings beat, supporting near-term investor confidence. Zacks rating upgrade
• Positive Sentiment: Semiconductor-equipment shares received a lift after SanDisk issued bullish financial targets, reinforcing the view that AI infrastructure and memory demand could benefit Applied Materials. The company is also expanding AI-chip research through a collaboration with UC Berkeley. Semiconductor equipment shares rise after SanDisk targets
• Neutral Sentiment: Investors are focused on management’s outlook for AI-driven equipment demand, margins, China exposure and the sustainability of the recent rally. Technical analysts identify roughly $555 as a key resistance level, making the earnings reaction particularly important. Applied Materials Q3 earnings risks
• Negative Sentiment: Options positioning is cautious, with reports citing an elevated put-to-call ratio and expectations for a sizable post-earnings move. Concerns about margin pressure, China-related uncertainty and the stock’s elevated valuation could weigh on AMAT if results merely meet expectations. Applied Materials options market signals

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the business. Brighton Jones LLC raised its holdings in Applied Materials by 28.0% during the fourth quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider’s stock worth $2,061,000 after acquiring an additional 2,771 shares in the last quarter. Sivia Capital Partners LLC lifted its holdings 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 worth $590,000 after buying an additional 679 shares in the last quarter. 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. increased 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 period. Finally, Sei Investments Co. lifted its stake in Applied Materials by 59.3% during the second quarter. Sei Investments Co. now owns 422,694 shares of the manufacturing equipment provider’s stock worth $77,383,000 after purchasing an additional 157,426 shares during 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.