Applied Materials (NASDAQ:AMAT) Stock Price Down 6.3% – Here’s Why

Applied Materials, Inc. (NASDAQ:AMAT)’s share price was down 6.3% on Friday . The company traded as low as $321.74 and last traded at $324.74. Approximately 8,637,190 shares traded hands during trading, an increase of 6% from the average daily volume of 8,153,797 shares. The stock had previously closed at $346.53.

Applied Materials News Roundup

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

• Positive Sentiment: Analysts and market pieces highlight a renewed semiconductor opportunity in 2026, which benefits AMAT as a leading chip-equipment supplier; this underpins investor confidence in the company’s medium‑to‑long‑term demand. Semiconductor Opportunity Is Here
• Positive Sentiment: A recent feature argues AMAT is balancing near-term sector turbulence while maintaining a long‑term chip demand story — reinforcing buy‑and‑hold narratives for chip-capex exposure. Applied Materials Balances Sector Turbulence With Long Term Chip Demand Story
• Positive Sentiment: Technical commentary notes AMAT broke above its 20‑day moving average, signaling short‑term bullish momentum that can attract momentum traders. Applied Materials (AMAT) Recently Broke Out Above the 20-Day Moving Average
• Positive Sentiment: Context pieces point out AMAT has gained strongly over recent months (≈+33% over three months), showing momentum that can support share prices when markets stabilize. AMAT Climbs 33.4% in 3 Months: Time to Buy, Sell or Hold the Stock?
• Neutral Sentiment: Erste Group initiated coverage with a “hold” rating — neither bullish nor bearish but may limit upside from fresh upbeat upgrades. Tickerreport: Erste Group Starts Coverage
• Neutral Sentiment: Recent short‑interest data reported as zeros/NaN appear erroneous; no clear signal from short sellers right now (data should be treated cautiously).
• Negative Sentiment: Broader market pressure: Nasdaq weakness and falling futures are dragging high‑beta tech and semicap names lower, pressuring AMAT despite company strengths. Live Nasdaq Composite: Markets Buckle Under Pressure With No Relief in Sight
• Negative Sentiment: Geopolitical risk and rising oil amid Middle East conflict are lifting energy prices and weighing on risk assets ahead of a key jobs report — a near‑term headwind for AMAT. Stock Futures Fall, Oil Jumps as Middle East War Continues; Key Jobs Report on Deck

Analyst Ratings Changes

A number of equities analysts have recently commented on AMAT shares. Stifel Nicolaus lifted their price objective on Applied Materials from $340.00 to $450.00 and gave the stock a “buy” rating in a research note on Friday, February 13th. TD Cowen lifted their price target on Applied Materials from $315.00 to $450.00 and gave the stock a “buy” rating in a research report on Friday, February 13th. Zacks Research upgraded Applied Materials from a “hold” rating to a “strong-buy” rating in a report on Tuesday, February 17th. Royal Bank Of Canada set a $430.00 price objective on shares of Applied Materials in a research note on Friday, February 13th. Finally, Wells Fargo & Company upped their target price on shares of Applied Materials from $350.00 to $435.00 and gave the company an “overweight” rating in a research note on Friday, February 13th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and seven have assigned a Hold rating to the stock. According to MarketBeat, Applied Materials presently has a consensus rating of “Moderate Buy” and a consensus target price of $363.46.

Applied Materials Price Performance

The company has a debt-to-equity ratio of 0.30, a current ratio of 2.71 and a quick ratio of 1.94. The stock’s 50 day simple moving average is $325.05 and its two-hundred day simple moving average is $254.38. The stock has a market cap of $257.72 billion, a price-to-earnings ratio of 33.24, a P/E/G ratio of 1.62 and a beta of 1.65.

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

Applied Materials Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be paid a $0.46 dividend. This represents a $1.84 annualized dividend and a dividend yield of 0.6%. The ex-dividend date is Thursday, February 19th. Applied Materials’s dividend payout ratio is currently 18.83%.

Insider Transactions at Applied Materials

In related news, CFO Brice Hill sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $361.21, for a total transaction of $1,806,050.00. Following the completion of the transaction, the chief financial officer owned 138,565 shares in the company, valued at $50,051,063.65. This trade represents a 3.48% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Judy Bruner sold 3,969 shares of the business’s stock in a transaction on Monday, February 23rd. The shares were sold at an average price of $377.02, for a total value of $1,496,392.38. Following the completion of the sale, the director directly owned 28,589 shares in the company, valued at approximately $10,778,624.78. This represents a 12.19% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 12,003 shares of company stock valued at $4,484,189. Corporate insiders own 0.30% of the company’s stock.

Institutional Investors Weigh In On Applied Materials

Large investors have recently made changes to their positions in the company. Cornerstone Financial Management LLC bought a new stake in Applied Materials during the fourth quarter worth about $25,000. Marquette Asset Management LLC boosted its holdings in shares of Applied Materials by 150.0% in the 3rd quarter. Marquette Asset Management LLC now owns 125 shares of the manufacturing equipment provider’s stock worth $26,000 after acquiring an additional 75 shares in the last quarter. Redmont Wealth Advisors LLC acquired a new position in shares of Applied Materials in the 3rd quarter worth approximately $26,000. Wilkerson Advisory Group LLC bought a new stake in Applied Materials during the 4th quarter worth approximately $26,000. Finally, Highline Wealth Partners LLC increased its holdings in Applied Materials by 48.7% during the 4th quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider’s stock valued at $30,000 after purchasing an additional 38 shares in the last quarter. Institutional investors 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.