Applied Materials (NASDAQ:AMAT) Price Target Raised to $695.00

Applied Materials (NASDAQ:AMAT) had its price target boosted by UBS Group from $675.00 to $695.00 in a research note released on Tuesday, Marketbeat Ratings reports. UBS Group currently has a buy rating on the manufacturing equipment provider’s stock.

A number of other equities research analysts also recently commented on AMAT. Jefferies Financial Group lifted their price target on shares of Applied Materials from $510.00 to $770.00 and gave the stock a “buy” rating in a report on Friday, June 26th. Needham & Company LLC reaffirmed a “buy” rating and issued a $740.00 target price on shares of Applied Materials in a research note on Friday, August 14th. Raymond James Financial set a $650.00 price target on Applied Materials in a report on Wednesday, June 10th. HC Wainwright set a $850.00 price target on Applied Materials in a research note on Monday, June 29th. Finally, TD Cowen restated a “buy” rating and set a $700.00 price objective on shares of Applied Materials in a report on Friday, August 14th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $658.45.

Applied Materials Stock Down 0.6%

Shares of NASDAQ:AMAT opened at $435.91 on Tuesday. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20. The company has a market capitalization of $345.94 billion, a P/E ratio of 37.58, a P/E/G ratio of 1.22 and a beta of 1.60. Applied Materials has a 52-week low of $155.40 and a 52-week high of $739.67. The stock’s fifty day simple moving average is $536.69 and its 200-day simple moving average is $460.63.

Applied Materials (NASDAQ:AMAT) last posted its quarterly earnings data on Thursday, August 13th. The manufacturing equipment provider reported $3.50 EPS for the quarter, topping analysts’ consensus estimates of $3.40 by $0.10. The firm had revenue of $9.12 billion during the quarter, compared to analysts’ expectations of $8.99 billion. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%.The firm’s quarterly revenue was up 24.8% compared to the same quarter last year. During the same quarter last year, the business posted $2.48 EPS. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. As a group, equities research analysts forecast that Applied Materials will post 12.76 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

The company 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 dividend of $0.53 per share. The ex-dividend date is Thursday, August 20th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.5%. Applied Materials’s payout ratio is presently 18.28%.

Insider Activity

In other Applied Materials news, Director Thomas Iannotti sold 9,250 shares of Applied Materials stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $599.77, for a total transaction of $5,547,872.50. Following the transaction, the director directly owned 40,559 shares of the company’s stock, valued at $24,326,071.43. The trade was a 18.57% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Prabu Raja sold 10,000 shares of the business’s stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $633.53, for a total transaction of $6,335,300.00. Following the sale, the insider owned 346,642 shares of the company’s stock, valued at approximately $219,608,106.26. This represents a 2.80% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 231,692 shares of company stock worth $146,114,059. Insiders own 0.30% of the company’s stock.

Hedge Funds Weigh In On Applied Materials

Hedge funds and other institutional investors have recently made changes to their positions in the business. Brighton Jones LLC raised its holdings in shares of Applied Materials by 28.0% during the 4th quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider’s stock valued at $2,061,000 after buying an additional 2,771 shares during the period. Sivia Capital Partners LLC boosted its holdings in Applied Materials by 26.7% in the 2nd quarter. Sivia Capital Partners LLC now owns 3,225 shares of the manufacturing equipment provider’s stock worth $590,000 after acquiring an additional 679 shares during the period. Forefront Wealth Partners LLC purchased a new position in Applied Materials in the 2nd quarter worth approximately $410,000. Schnieders Capital Management LLC. grew its position in Applied Materials by 30.1% in the second quarter. Schnieders Capital Management LLC. now owns 15,003 shares of the manufacturing equipment provider’s stock valued at $2,747,000 after acquiring an additional 3,469 shares in the last quarter. Finally, Sei Investments Co. grew its position in Applied Materials by 59.3% in the second quarter. Sei Investments Co. now owns 422,694 shares of the manufacturing equipment provider’s stock valued at $77,383,000 after acquiring an additional 157,426 shares in the last quarter. Institutional investors and hedge funds own 80.56% of the company’s stock.

Key Stories Impacting Applied Materials

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

• Positive Sentiment: AI infrastructure spending is supporting demand for Applied Materials’ semiconductor equipment, particularly in advanced packaging, DRAM and high-bandwidth memory (HBM). Accelerating global fab investment could sustain growth in wafer-fabrication equipment. AMAT Rides on AI-Led WFE Demand: Can it Sustain the Momentum?
• Positive Sentiment: Analysts have raised their Applied Materials earnings expectations, including an increase to the fiscal 2027 EPS estimate. UBS also reportedly sees meaningful potential appreciation, reinforcing the bullish outlook for the stock. FY2027 EPS Estimate for Applied Materials Boosted by Analyst
• Positive Sentiment: Management’s forecast was raised twice between February and August. Investors have re-rated AMAT based on improving forward expectations, even though trailing-twelve-month revenue growth was only 7.8%. Why Did Applied Materials Stock Nearly Triple on Single-Digit Trailing Revenue Growth?
• Neutral Sentiment: The semiconductor wafer-inspection market is expected to expand through 2035, driven by AI, electric vehicles, advanced nodes and advanced packaging. This supports Applied Materials’ long-term addressable market but does not necessarily provide an immediate earnings catalyst. Semiconductor Wafer Inspection Equipment Market Outlook 2025-2035
• Negative Sentiment: Valuation remains the main pressure point. After a roughly 237% five-year gain and a major year-to-date advance, investors may be demanding increasingly strong results to justify AMAT’s premium multiple. Can Applied Materials Still Look Cheap After a 237% Run?
• Negative Sentiment: The stock’s recent decline despite record revenue and above-consensus guidance suggests that expectations, profit-taking and concerns about the semiconductor cycle are outweighing the positive operating news. Applied Materials Just Dropped 14% in a Month. Sell Now, or Buy More?

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.