Applied Materials, Inc. (NASDAQ:AMAT – Get Free Report) was down 5.6% during trading on Friday . The stock traded as low as $513.22 and last traded at $529.66. Approximately 10,265,738 shares traded hands during trading, an increase of 23% from the average daily volume of 8,343,197 shares. The stock had previously closed at $560.93.
Key Stories Impacting Applied Materials
Here are the key news stories impacting Applied Materials this week:
- Positive Sentiment: Erste Group Bank raised its FY2026 and FY2027 earnings estimates for Applied Materials and reiterated a Buy rating, signaling confidence in the company’s growth outlook and AI-driven demand. Article link
- Positive Sentiment: Applied Materials CEO comments reinforcing the AI investment thesis may help support longer-term sentiment around the stock. Article link
- Neutral Sentiment: Zacks noted that AMAT has been drawing increased attention from investors, but the piece was mainly a stock-screening update rather than a new fundamental catalyst. Article link
- Neutral Sentiment: Recent commentary suggested Applied Materials may be trading above fair value after a strong multi-year run, which could limit upside even if earnings remain solid. Article link
- Negative Sentiment: A broad semiconductor selloff is pressuring AMAT along with peers like AMD and Intel, as the market rotates out of chip stocks and into other areas. Article link
Wall Street Analyst Weigh In
AMAT has been the topic of several recent analyst reports. Cantor Fitzgerald increased their target price on shares of Applied Materials from $650.00 to $850.00 and gave the company an “overweight” rating in a research note on Monday, June 29th. TD Cowen upped their price target on shares of Applied Materials from $525.00 to $700.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Citigroup increased their price objective on shares of Applied Materials from $550.00 to $710.00 and gave the stock a “buy” rating in a research report on Wednesday, June 17th. Royal Bank Of Canada raised their price objective on shares of Applied Materials from $500.00 to $520.00 and gave the stock an “outperform” rating in a research note on Friday, May 15th. Finally, Sanford C. Bernstein restated an “outperform” rating and set a $525.00 target price on shares of Applied Materials in a research report on Friday, May 15th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $593.84.
Applied Materials Stock Performance
The firm has a market capitalization of $420.53 billion, a P/E ratio of 49.73, a P/E/G ratio of 1.35 and a beta of 1.57. The firm has a 50-day moving average price of $533.12 and a two-hundred day moving average price of $413.05. The company has a debt-to-equity ratio of 0.22, a current ratio of 2.51 and a quick ratio of 1.80.
Applied Materials (NASDAQ:AMAT – Get Free Report) last posted its quarterly earnings results 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 for the quarter, compared to analysts’ expectations of $7.68 billion. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The business’s revenue for the quarter was up 11.4% on a year-over-year basis. During the same period in the prior year, the business posted $2.39 earnings per share. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, analysts forecast that Applied Materials, Inc. will post 12.14 EPS for the current fiscal year.
Applied Materials Announces Dividend
The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be given a $0.53 dividend. This represents a $2.12 annualized dividend and a yield of 0.4%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials’s payout ratio is 19.91%.
Insiders Place Their Bets
In other Applied Materials news, insider Prabu G. Raja sold 50,000 shares of the company’s stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $505.28, for a total value of $25,264,000.00. Following the transaction, the insider directly owned 356,642 shares in the company, valued at $180,204,069.76. This represents a 12.30% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Timothy M. Deane sold 8,621 shares of the firm’s stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $590.76, for a total transaction of $5,092,941.96. Following the transaction, the senior vice president directly owned 134,631 shares in the company, valued at approximately $79,534,609.56. This trade represents a 6.02% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 278,088 shares of company stock worth $169,654,805. 0.30% of the stock is owned by company insiders.
Institutional Investors Weigh In On Applied Materials
A number of institutional investors and hedge funds have recently bought and sold shares of the company. Financial Freedom LLC bought a new position in shares of Applied Materials during the 1st quarter worth $28,000. Elevation Wealth Partners LLC increased its stake in shares of Applied Materials by 34.8% during the second quarter. Elevation Wealth Partners LLC now owns 93 shares of the manufacturing equipment provider’s stock valued at $67,000 after buying an additional 24 shares during the period. Cornerstone Financial Management LLC bought a new stake in shares of Applied Materials in the fourth quarter valued at about $25,000. Whipplewood Advisors LLC raised its holdings in shares of Applied Materials by 218.8% in the first quarter. Whipplewood Advisors LLC now owns 102 shares of the manufacturing equipment provider’s stock valued at $35,000 after acquiring an additional 70 shares in the last quarter. Finally, Wilkerson Advisory Group LLC purchased a new stake in Applied Materials in the fourth quarter worth about $26,000. 80.56% of the stock is owned by institutional investors.
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.
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