Applied Materials (NASDAQ:AMAT) Shares Up 1.8% – What’s Next?

Applied Materials, Inc. (NASDAQ:AMAT)’s stock price shot up 1.8% on Wednesday . The stock traded as high as $362.34 and last traded at $357.76. 5,840,694 shares traded hands during trading, a decline of 29% from the average session volume of 8,192,366 shares. The stock had previously closed at $351.32.

Key Applied Materials News

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

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on AMAT shares. Weiss Ratings upgraded shares of Applied Materials from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Monday, December 29th. Morgan Stanley lifted their price target on shares of Applied Materials from $420.00 to $432.00 and gave the company an “overweight” rating in a report on Wednesday, February 25th. DZ Bank raised shares of Applied Materials to a “hold” rating in a report on Monday, February 16th. The Goldman Sachs Group lifted their target price on Applied Materials from $310.00 to $390.00 and gave the stock a “buy” rating in a report on Friday, February 13th. Finally, TD Cowen boosted their target price on Applied Materials from $315.00 to $450.00 and gave the stock a “buy” rating in a research report on Friday, February 13th. One investment analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $363.46.

Applied Materials Price Performance

The firm has a market capitalization of $257.72 billion, a PE ratio of 33.24, a P/E/G ratio of 1.62 and a beta of 1.65. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.94 and a current ratio of 2.71. The stock has a fifty day moving average price of $325.05 and a 200-day moving average price of $254.38.

Applied Materials (NASDAQ:AMAT) last issued its quarterly earnings data on Thursday, February 12th. The manufacturing equipment provider reported $2.38 earnings per share for the quarter, beating analysts’ consensus estimates of $2.21 by $0.17. Applied Materials had a return on equity of 37.52% and a net margin of 27.78%.The company had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.88 billion. During the same quarter last year, the company earned $2.38 earnings per share. 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. Sell-side analysts forecast that Applied Materials, Inc. will post 9.38 EPS for the current fiscal year.

Applied Materials Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 12th. Investors of record on Thursday, February 19th will be paid a dividend of $0.46 per share. 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 payout ratio is 18.83%.

Insider Buying and Selling at Applied Materials

In other news, CAO Adam Sanders sold 534 shares of the firm’s stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $379.16, for a total value of $202,471.44. Following the completion of the sale, the chief accounting officer owned 4,625 shares of the company’s stock, valued at $1,753,615. This trade represents a 10.35% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Judy Bruner sold 2,500 shares of the company’s stock in a transaction dated Wednesday, February 25th. The shares were sold at an average price of $391.71, for a total value of $979,275.00. Following the transaction, the director directly owned 26,089 shares in the company, valued at $10,219,322.19. This represents a 8.74% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 12,003 shares of company stock worth $4,484,189 over the last three months. Corporate insiders own 0.30% of the company’s stock.

Institutional Investors Weigh In On Applied Materials

Large investors have recently modified their holdings of the business. Cornerstone Financial Management LLC acquired a new stake in Applied Materials in the 4th quarter worth approximately $25,000. Wilkerson Advisory Group LLC purchased a new position in shares of Applied Materials in the fourth quarter worth $26,000. Highline Wealth Partners LLC lifted its stake in shares of Applied Materials by 48.7% during the fourth quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider’s stock worth $30,000 after buying an additional 38 shares during the period. Joseph Group Capital Management purchased a new stake in shares of Applied Materials during the fourth quarter valued at $31,000. Finally, Marquette Asset Management LLC increased its position 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 valued at $26,000 after acquiring an additional 75 shares during the period. Hedge funds and other institutional investors own 80.56% of the company’s stock.

About Applied Materials

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.