Applied Materials (NASDAQ:AMAT) Reaches New 12-Month High – Should You Buy?

Applied Materials, Inc. (NASDAQ:AMAT) shares hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $276.10 and last traded at $275.15, with a volume of 6006865 shares traded. The stock had previously closed at $267.14.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on AMAT shares. Weiss Ratings reiterated a “hold (c+)” rating on shares of Applied Materials in a research report on Monday. Craig Hallum reaffirmed a “hold” rating and set a $190.00 target price on shares of Applied Materials in a report on Friday, November 14th. Mizuho decreased their target price on shares of Applied Materials from $215.00 to $205.00 and set a “neutral” rating on the stock in a research report on Friday, November 14th. Morgan Stanley restated an “overweight” rating and set a $273.00 price target on shares of Applied Materials in a research report on Tuesday, December 2nd. Finally, Citigroup raised their price objective on Applied Materials from $205.00 to $250.00 and gave the company a “buy” rating in a research note on Friday, November 14th. Twenty equities research analysts have rated the stock with a Buy rating and fourteen have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $234.74.

Applied Materials Trading Up 3.0%

The company has a quick ratio of 1.87, a current ratio of 2.61 and a debt-to-equity ratio of 0.32. The firm’s fifty day moving average is $233.77 and its two-hundred day moving average is $197.69. The firm has a market cap of $219.20 billion, a P/E ratio of 31.70, a PEG ratio of 2.79 and a beta of 1.67.

Applied Materials (NASDAQ:AMAT) last issued its quarterly earnings data on Thursday, November 13th. The manufacturing equipment provider reported $2.17 EPS for the quarter, topping the consensus estimate of $2.11 by $0.06. The business had revenue of $6.80 billion during the quarter, compared to analyst estimates of $6.68 billion. Applied Materials had a net margin of 24.67% and a return on equity of 39.26%. The company’s revenue for the quarter was down 3.5% on a year-over-year basis. During the same period in the prior year, the business earned $2.32 EPS. Applied Materials has set its Q1 2026 guidance at 1.980-2.380 EPS. Analysts predict that Applied Materials, Inc. will post 9.38 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 11th. Shareholders of record on Thursday, November 20th will be given a dividend of $0.46 per share. This represents a $1.84 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Thursday, November 20th. Applied Materials’s payout ratio is presently 21.20%.

Insider Buying and Selling

In other news, SVP Teri A. Little sold 4,000 shares of the stock in a transaction that occurred on Tuesday, November 25th. The stock was sold at an average price of $238.24, for a total value of $952,960.00. Following the completion of the transaction, the senior vice president owned 84,351 shares of the company’s stock, valued at approximately $20,095,782.24. This represents a 4.53% 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, CAO Adam Sanders sold 609 shares of the firm’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $255.53, for a total value of $155,617.77. Following the completion of the transaction, the chief accounting officer owned 4,413 shares of the company’s stock, valued at approximately $1,127,653.89. The trade was a 12.13% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 8,609 shares of company stock worth $2,044,898 in the last quarter. Company insiders own 0.24% of the company’s stock.

Institutional Trading of Applied Materials

A number of hedge funds have recently modified their holdings of AMAT. Sagespring Wealth Partners LLC grew its holdings in Applied Materials by 0.5% in the third quarter. Sagespring Wealth Partners LLC now owns 8,340 shares of the manufacturing equipment provider’s stock worth $1,707,000 after purchasing an additional 43 shares during the period. REAP Financial Group LLC lifted its holdings in shares of Applied Materials by 7.0% during the third quarter. REAP Financial Group LLC now owns 657 shares of the manufacturing equipment provider’s stock valued at $135,000 after purchasing an additional 43 shares during the last quarter. Sunflower Bank N.A. boosted its position in shares of Applied Materials by 1.4% in the 3rd quarter. Sunflower Bank N.A. now owns 3,287 shares of the manufacturing equipment provider’s stock worth $673,000 after purchasing an additional 46 shares in the last quarter. Outlook Wealth Advisors LLC grew its stake in shares of Applied Materials by 4.0% in the 3rd quarter. Outlook Wealth Advisors LLC now owns 1,233 shares of the manufacturing equipment provider’s stock worth $252,000 after buying an additional 47 shares during the last quarter. Finally, Welch Group LLC increased its position in Applied Materials by 3.0% during the 3rd quarter. Welch Group LLC now owns 1,741 shares of the manufacturing equipment provider’s stock valued at $356,000 after buying an additional 50 shares in the last quarter. Institutional investors own 80.56% of the company’s stock.

About Applied Materials

Applied Materials, Inc engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. The Semiconductor Systems segment develops, manufactures, and sells various manufacturing equipment that is used to fabricate semiconductor chips or integrated circuits.