Applied Materials (NASDAQ:AMAT) Stock Price Target Lowered at Needham & Company LLC

Applied Materials (NASDAQ:AMAT) had its price target lowered by Needham & Company LLC from $580.00 to $470.00 in a report released on Friday, Marketbeat reports. The brokerage currently has a buy rating on the manufacturing equipment provider’s stock.

A number of other equities research analysts have also issued reports on AMAT. Zacks Research lowered Applied Materials from a “strong-buy” rating to a “hold” rating in a research note on Thursday, October 15th. Erste Group Bank downgraded Applied Materials from a “buy” rating to a “hold” rating in a research report on Wednesday, August 5th. Argus set a $600.00 price objective on Applied Materials and gave the company a “buy” rating in a research report on Tuesday, August 18th. New Street Research reduced their target price on Applied Materials from $580.00 to $525.00 and set a “neutral” rating on the stock in a research note on Friday, August 14th. Finally, B. Riley Financial decreased their target price on Applied Materials from $700.00 to $475.00 and set a “buy” rating for the company in a research report on Monday, November 9th. Twenty-nine equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $589.23.

Applied Materials Stock Down 2.7%

Shares of NASDAQ AMAT opened at $370.50 on Friday. Applied Materials has a 1 year low of $203.40 and a 1 year high of $739.67. The firm has a 50-day simple moving average of $437.91 and a two-hundred day simple moving average of $446.02. The company has a market cap of $294.03 billion, a P/E ratio of 29.36, a PEG ratio of 0.74 and a beta of 1.67. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.42 and a quick ratio of 1.79.

Applied Materials (NASDAQ:AMAT) last released its earnings results on Thursday, November 12th. The manufacturing equipment provider reported $4.16 EPS for the quarter, beating analysts’ consensus estimates of $4.06 by $0.10. The firm had revenue of $10.41 billion for the quarter, compared to analysts’ expectations of $10.30 billion. Applied Materials had a return on equity of 43.37% and a net margin of 29.29%. During the same quarter in the prior year, the firm posted $2.17 earnings per share. Applied Materials has set its Q1 2027 guidance at 4.150-4.550 EPS. Research analysts anticipate that Applied Materials will post 18.28 earnings per share for the current year.

Applied Materials Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Thursday, November 19th will be given a dividend of $0.53 per share. The ex-dividend date of this dividend is Thursday, November 19th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.6%. Applied Materials’s dividend payout ratio (DPR) is 18.28%.

Insider Activity

In other news, CFO Brice Hill sold 7,500 shares of Applied Materials stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $479.25, for a total transaction of $3,594,375.00. Following the completion of the sale, the chief financial officer owned 128,613 shares of the company’s stock, valued at approximately $61,637,780.25. The trade was a 5.51% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Judy Bruner sold 1,000 shares of the business’s stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $465.00, for a total value of $465,000.00. Following the completion of the sale, the director owned 25,544 shares of the company’s stock, valued at $11,877,960. The trade was a 3.77% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 9,225 shares of company stock valued at $4,454,181. Corporate insiders own 0.30% of the company’s stock.

Institutional Investors Weigh In On Applied Materials

Institutional investors and hedge funds have recently bought and sold shares of the company. JFS Wealth Advisors LLC lifted its position in shares of Applied Materials by 4.3% during the 2nd quarter. JFS Wealth Advisors LLC now owns 409 shares of the manufacturing equipment provider’s stock worth $296,000 after purchasing an additional 17 shares during the last quarter. Innovative Asset Advisors Group LLC increased its holdings in Applied Materials by 2.1% in the second quarter. Innovative Asset Advisors Group LLC now owns 961 shares of the manufacturing equipment provider’s stock valued at $695,000 after buying an additional 20 shares during the last quarter. Stonebridge Financial Group LLC increased its holdings in Applied Materials by 2.1% in the second quarter. Stonebridge Financial Group LLC now owns 1,003 shares of the manufacturing equipment provider’s stock valued at $725,000 after buying an additional 21 shares during the last quarter. N.E.W. Advisory Services LLC increased its holdings in Applied Materials by 5.9% in the second quarter. N.E.W. Advisory Services LLC now owns 377 shares of the manufacturing equipment provider’s stock valued at $273,000 after buying an additional 21 shares during the last quarter. Finally, IMG Wealth Management Inc. raised its stake in Applied Materials by 13.0% in the second quarter. IMG Wealth Management Inc. now owns 183 shares of the manufacturing equipment provider’s stock valued at $132,000 after buying an additional 21 shares in the last quarter. 80.56% of the stock is owned by institutional investors.

Recent Applied Materials Headlines

Here are a few of the latest headlines about AMAT:

• Positive Sentiment: Fiscal Q4 revenue reached a record $10.41 billion, up 53% year over year, while non-GAAP EPS rose 92% to $4.16; both topped analysts’ estimates. The company also reported higher margins and returned $2.42 billion to shareholders through dividends and buybacks. Applied Materials Announces Fourth Quarter and Fiscal Year 2026 Results
• Neutral Sentiment: Management said demand is running ahead of supply, but component shortages and customers’ limited clean-room capacity may constrain how quickly equipment deliveries can scale. China is expected to account for less than a quarter of business in 2027, reducing reliance on that market even as export restrictions remain a risk. Applied Materials Says Chip Demand Remains Much Higher Than Supply
• Negative Sentiment: The strong quarter has not overcome weak sector sentiment: multiple analysts lowered price targets, citing valuation or semiconductor-equipment multiple compression, although most maintained Buy or Overweight ratings. A broader chip-stock sell-off and lingering concerns around AI-related trades have also weighed on the reaction. Analysts cut targets despite strong results

About Applied Materials

Applied Materials, Inc. develops and supplies equipment, software and services used to manufacture semiconductors and advanced displays. Its technologies help customers build and process materials at the microscopic scale required for chips and other electronic products. The company’s offerings include systems for depositing, removing and modifying materials, as well as inspection, measurement and process-control tools. It also provides equipment and services for advanced semiconductor packaging and supports customers with maintenance, upgrades and manufacturing software.