Applied Materials, Inc. (NASDAQ:AMAT) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Applied Materials, Inc. (NASDAQ:AMAT) has been given a consensus recommendation of “Moderate Buy” by the thirty-four research firms that are presently covering the company, MarketBeat Ratings reports. Seven analysts have rated the stock with a hold rating, twenty-six have given a buy rating and one has assigned a strong buy rating to the company. The average 12-month target price among brokers that have issued a report on the stock in the last year is $363.4643.

A number of equities analysts have commented on AMAT shares. Stifel Nicolaus boosted their price target on shares of Applied Materials from $340.00 to $450.00 and gave the company a “buy” rating in a research report on Friday, February 13th. Morgan Stanley raised their price objective on shares of Applied Materials from $420.00 to $432.00 and gave the stock an “overweight” rating in a report on Wednesday, February 25th. TD Cowen boosted their target price on Applied Materials from $315.00 to $450.00 and gave the stock a “buy” rating in a report on Friday, February 13th. UBS Group set a $430.00 price target on Applied Materials in a research report on Friday, February 13th. Finally, Weiss Ratings raised Applied Materials from a “hold (c+)” rating to a “buy (b-)” rating in a report on Monday, December 29th.

Key Headlines Impacting Applied Materials

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

• Positive Sentiment: Applied announced a 15% increase to its quarterly dividend (to $0.53/share), with the next payment in June — a shareholder-friendly move that supports the stock after its strong run and signals confidence in cash flow. Applied Materials Raises Its Dividend 15%
• Positive Sentiment: Applied is listed in actively managed dividend and thematic ETFs that have seen large inflows, which can provide steady buying demand from fund flows. Active ETFs Surge Past Passive, and These Are in the Lead
• Neutral Sentiment: Quarterly review pieces position AMAT among semiconductor-equipment winners for the quarter — earnings beat and revenue roughly in line — but note mixed revenue trends across peers; these analyses help frame valuation expectations but don’t change near-term fundamentals. Winners And Losers Of Q4: Applied Materials (NASDAQ:AMAT) Vs The Rest Of The Semiconductor Manufacturing Stocks
• Neutral Sentiment: Industry coverage of peers (e.g., Lam Research) highlights strong AI-driven capex but raises questions about sustainability — this is a sector-level readthrough that could influence investor sentiment for AMAT over 2026. Can Lam Research’s Systems Business Sustain Growth Amid AI Capex Boom?
• Neutral Sentiment: Recent short-interest notices for AMAT contain implausible/zero values (0 shares, NaN increases), indicating data reporting issues rather than a clear short-squeeze signal; treat short-interest readings with caution until corrected.
• Negative Sentiment: Macroeconomic volatility is weighing on market breadth: oil prices and U.S. Treasury yields spiking have helped push major indices below technical support, which typically pressures cyclicals and capex-exposed names like AMAT. Dow Jones Breaks As Oil Prices, Yields Soar, But Then Trump Mulls ‘Winding Down’ Iran War
• Negative Sentiment: Sector volatility shown by peers (e.g., Micron moving lower despite strong results) reflects investor caution in semiconductors — good company-specific news for AMAT may still be offset by risk-off flows. Dow Jones Futures: Oil Backs Off $100; Micron Skids Despite Blowout Earnings

Insider Activity

In other news, Director Judy Bruner sold 2,500 shares of the firm’s stock in a transaction on Wednesday, February 25th. The stock was sold at an average price of $391.71, for a total value of $979,275.00. Following the completion of the sale, the director directly owned 26,089 shares in the company, valued at approximately $10,219,322.19. This trade represents a 8.74% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CAO Adam Sanders sold 534 shares of Applied Materials stock in a transaction dated Tuesday, February 24th. The shares were sold at an average price of $379.16, for a total value of $202,471.44. Following the completion of the transaction, the chief accounting officer directly owned 4,625 shares of the company’s stock, valued at $1,753,615. This represents a 10.35% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 12,003 shares of company stock worth $4,484,189. 0.30% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Applied Materials

A number of large investors have recently modified their holdings of the stock. Brighton Jones LLC increased its holdings 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 valued at $2,061,000 after purchasing an additional 2,771 shares in the last quarter. Sivia Capital Partners LLC lifted its holdings 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 worth $590,000 after buying an additional 679 shares in the last quarter. Forefront Wealth Partners LLC bought a new position in Applied Materials in the 2nd quarter valued at $410,000. Schnieders Capital Management LLC. increased its stake in shares of 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, CFO4Life Group LLC acquired a new stake in shares of Applied Materials in the 2nd quarter valued at $265,000. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Applied Materials Stock Down 0.0%

Shares of NASDAQ AMAT opened at $357.06 on Monday. Applied Materials has a 52-week low of $123.74 and a 52-week high of $395.95. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.94 and a current ratio of 2.71. The business has a fifty day moving average of $340.63 and a two-hundred day moving average of $269.95. The stock has a market cap of $283.37 billion, a PE ratio of 36.55, a PEG ratio of 1.59 and a beta of 1.65.

Applied Materials (NASDAQ:AMAT) last posted its earnings results on Thursday, February 12th. The manufacturing equipment provider reported $2.38 earnings per share for the quarter, topping the consensus estimate of $2.21 by $0.17. The business had revenue of $7.01 billion for the quarter, compared to analyst estimates of $6.88 billion. Applied Materials had a net margin of 27.78% and a return on equity of 37.52%. The firm’s quarterly revenue was down 2.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.38 EPS. Applied Materials has set its Q2 2026 guidance at 2.440-2.840 EPS. As a group, equities research analysts expect that Applied Materials will post 9.38 earnings per share for the current fiscal year.

Applied Materials Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, June 11th. Stockholders of record on Thursday, May 21st will be issued a dividend of $0.53 per share. The ex-dividend date is Thursday, May 21st. This is a boost from Applied Materials’s previous quarterly dividend of $0.46. This represents a $2.12 annualized dividend and a dividend yield of 0.6%. Applied Materials’s dividend payout ratio (DPR) is currently 18.83%.

Applied Materials Company Profile

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.