Applied Materials (NASDAQ:AMAT) Shares Up 1.4% After Dividend Announcement

Applied Materials, Inc. (NASDAQ:AMAT) shares rose 1.4% during mid-day trading on Tuesday after the company announced a dividend. The stock traded as high as $525.98 and last traded at $499.21. Approximately 11,053,616 shares were traded during mid-day trading, an increase of 48% from the average daily volume of 7,458,796 shares. The stock had previously closed at $492.17.

The newly announced dividend which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be issued 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 yield of 0.4%. Applied Materials’s dividend payout ratio is currently 19.91%.

Analyst Ratings Changes

AMAT has been the subject of a number of analyst reports. Wells Fargo & Company increased their price target on Applied Materials from $435.00 to $520.00 and gave the company an “overweight” rating in a report on Friday, May 15th. Raymond James Financial set a $650.00 price target on shares of Applied Materials in a research report on Wednesday. Truist Financial set a $575.00 price target on shares of Applied Materials in a research report on Thursday, May 28th. Mizuho raised their price target on shares of Applied Materials from $500.00 to $540.00 and gave the stock an “outperform” rating in a research report on Wednesday, May 27th. Finally, Argus raised their price target on shares of Applied Materials from $420.00 to $500.00 and gave the stock a “buy” rating in a research report on Tuesday, May 19th. Twenty-seven research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to MarketBeat, Applied Materials currently has an average rating of “Moderate Buy” and a consensus price target of $483.03.

Applied Materials Price Performance

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 firm has a market cap of $438.77 billion, a price-to-earnings ratio of 51.89, a P/E/G ratio of 1.40 and a beta of 1.67. The business’s 50-day moving average price is $418.73 and its two-hundred day moving average price is $348.79.

Applied Materials (NASDAQ:AMAT) last released its quarterly earnings data on Thursday, May 14th. The manufacturing equipment provider reported $2.86 EPS for the quarter, topping analysts’ consensus estimates of $2.68 by $0.18. The firm had revenue of $7.91 billion during the quarter, compared to the consensus estimate 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 in the previous year, the company posted $2.39 earnings per share. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, research analysts forecast that Applied Materials, Inc. will post 12.02 EPS for the current fiscal year.

Trending Headlines about Applied Materials

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

• Positive Sentiment: Barclays reiterated an Overweight rating on Applied Materials (AMAT) and raised its outlook, reinforcing the bullish case for semiconductor equipment demand tied to new chip supply and AI infrastructure. Applied Materials and KLA Are Surging. Why You Should Buy the Stocks, Says This Analyst.
• Positive Sentiment: Analysts continue to highlight AMAT as a key beneficiary of high-bandwidth memory and AI-related spending, with Evercore ISI reiterating a Buy rating and other firms maintaining bullish targets. Applied Materials (AMAT) Is One Of the Best High-Bandwidth Memory Stocks To Buy
• Positive Sentiment: Applied Materials’ recent Singapore expansion, including a new $500 million manufacturing campus, is being viewed as support for long-term AI chip demand and higher production capacity. Applied Materials Expands Singapore Manufacturing to Support AI Chip Demand
• Neutral Sentiment: The company also announced a quarterly dividend of $0.53 per share, underscoring capital return discipline, though this is unlikely to be the main driver of the stock’s move. How Record Margins, AI Demand Visibility and Singapore Expansion At Applied Materials (AMAT) Has Changed Its Investment Story

Insider Buying and Selling at Applied Materials

In other Applied Materials news, Director Judy Bruner sold 1,128 shares of Applied Materials stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $450.00, for a total value of $507,600.00. Following the completion of the transaction, the director owned 26,544 shares of the company’s stock, valued at $11,944,800. The trade was a 4.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, CAO Adam Sanders sold 268 shares of Applied Materials stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $434.22, for a total transaction of $116,370.96. Following the completion of the transaction, the chief accounting officer directly 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. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 53,896 shares of company stock worth $27,135,121. Company insiders own 0.30% of the company’s stock.

Hedge Funds Weigh In On Applied Materials

A number of hedge funds have recently added to or reduced their stakes in AMAT. Private Wealth Management Group LLC raised its position in Applied Materials by 4.9% in the 1st quarter. Private Wealth Management Group LLC now owns 531 shares of the manufacturing equipment provider’s stock valued at $181,000 after buying an additional 25 shares during the last quarter. One Day In July LLC raised its position in Applied Materials by 2.4% in the 1st quarter. One Day In July LLC now owns 1,089 shares of the manufacturing equipment provider’s stock valued at $372,000 after buying an additional 26 shares during the last quarter. Pinnacle Bancorp Inc. raised its position in Applied Materials by 1.3% in the 1st quarter. Pinnacle Bancorp Inc. now owns 2,082 shares of the manufacturing equipment provider’s stock valued at $712,000 after buying an additional 27 shares during the last quarter. Horst & Graben Wealth Management LLC raised its position in Applied Materials by 2.1% in the 1st quarter. Horst & Graben Wealth Management LLC now owns 1,304 shares of the manufacturing equipment provider’s stock valued at $446,000 after buying an additional 27 shares during the last quarter. Finally, Warther Private Wealth LLC raised its position in Applied Materials by 1.5% in the 4th quarter. Warther Private Wealth LLC now owns 1,908 shares of the manufacturing equipment provider’s stock valued at $490,000 after buying an additional 28 shares during the last quarter. Institutional investors and hedge funds own 80.56% of the company’s stock.

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.