Applied Materials (NASDAQ:AMAT) Upgraded to “Buy” at Wall Street Zen

Wall Street Zen upgraded shares of Applied Materials (NASDAQ:AMAT) from a hold rating to a buy rating in a research report report published on Saturday,Wall Street Zen reports.

Other analysts also recently issued research reports about the stock. Wells Fargo & Company raised their price objective on shares of Applied Materials from $715.00 to $740.00 and gave the stock an “overweight” rating in a report on Friday, June 26th. Needham & Company LLC reissued a “buy” rating and set a $740.00 target price on shares of Applied Materials in a research report on Friday, August 14th. Royal Bank Of Canada raised their price target on shares of Applied Materials from $520.00 to $600.00 and gave the stock an “outperform” rating in a research note on Friday, August 14th. HC Wainwright set a $850.00 price objective on Applied Materials in a research note on Monday, June 29th. Finally, Cantor Fitzgerald reissued an “overweight” rating on shares of Applied Materials in a research report on Friday, August 14th. One investment analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $658.45.

Applied Materials Price Performance

AMAT stock opened at $485.00 on Friday. The stock has a market capitalization of $384.90 billion, a PE ratio of 41.81, a price-to-earnings-growth ratio of 1.35 and a beta of 1.60. Applied Materials has a 1 year low of $197.39 and a 1 year high of $739.67. The company’s 50-day moving average is $488.75 and its 200-day moving average is $469.85. 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 posted its earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 EPS for the quarter, topping the consensus estimate of $3.40 by $0.10. The company had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The firm’s revenue for the quarter was up 24.8% on a year-over-year basis. During the same period in the previous year, the firm posted $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Equities research analysts expect that Applied Materials will post 12.79 EPS for the current fiscal year.

Applied Materials Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be paid a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date is Thursday, November 19th. Applied Materials’s payout ratio is presently 18.28%.

Insiders Place Their Bets

In other Applied Materials news, CEO Gary E. Dickerson sold 58,321 shares of the firm’s stock in a transaction dated Monday, June 29th. The stock was sold at an average price of $700.36, for a total value of $40,845,695.56. Following the completion of the transaction, the chief executive officer owned 1,619,843 shares in the company, valued at $1,134,473,243.48. This trade represents a 3.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Judy Bruner sold 1,000 shares of the company’s stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $465.00, for a total value of $465,000.00. Following the sale, the director owned 25,544 shares in the company, valued at approximately $11,877,960. This represents a 3.77% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 86,821 shares of company stock worth $59,609,471 in the last quarter. 0.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in AMAT. State Street Corp increased its stake in Applied Materials by 85.4% in the 2nd quarter. State Street Corp now owns 69,525,842 shares of the manufacturing equipment provider’s stock worth $50,267,184,000 after acquiring an additional 32,018,892 shares during the last quarter. Capital Research Global Investors grew its holdings in shares of Applied Materials by 119.8% during the fourth quarter. Capital Research Global Investors now owns 32,707,049 shares of the manufacturing equipment provider’s stock worth $8,405,458,000 after purchasing an additional 17,829,377 shares in the last quarter. Norges Bank bought a new position in shares of Applied Materials in the fourth quarter worth approximately $2,858,543,000. Bank of America Corp DE purchased a new stake in Applied Materials in the second quarter valued at approximately $5,252,863,000. Finally, Auto Owners Insurance Co raised its stake in Applied Materials by 25,824.4% in the fourth quarter. Auto Owners Insurance Co now owns 3,370,167 shares of the manufacturing equipment provider’s stock valued at $86,610,000 after purchasing an additional 3,357,167 shares in the last quarter. Institutional investors own 80.56% of the company’s stock.

Applied Materials News Roundup

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

• Positive Sentiment: Applied Materials is committing approximately $5 billion to India over the next decade, including a 140-acre semiconductor research park. The investment could expand the company’s regional footprint, strengthen customer relationships and position it to benefit from India’s developing chip ecosystem. Applied Materials AMAT What Is Behind The Fresh Attention Today?
• Positive Sentiment: Applied Materials, KLA and GlobalFoundries are expanding their semiconductor ties in Singapore. The initiative signals continued investment in regional manufacturing and research capacity, potentially supporting future equipment demand for Applied Materials. Applied Materials, KLA, GlobalFoundries expand Singapore semiconductor ties
• Positive Sentiment: Investor commentary continues to highlight Applied Materials’ exposure to surging AI-related semiconductor demand. The company’s latest reported quarter showed revenue growth of 24.8% year over year, with earnings and sales exceeding consensus estimates, reinforcing the growth narrative. ASML vs. Applied Materials: Which AI Chip-Equipment Stock Is the Better Buy?
• Neutral Sentiment: Comparisons with ASML frame AMAT as a diversified AI chip-equipment investment trading at a lower forward earnings multiple, but the discussion is valuation-focused rather than a new company-specific catalyst. ASML vs. Applied Materials: Which AI Chip-Equipment Stock Is the Better Buy?
• Neutral Sentiment: Recent research is examining whether the latest 25% growth rate represents a sustainable new run rate or merely a recovery quarter, leaving some uncertainty about the durability of the expansion.
• Negative Sentiment: Despite strong long-term performance, the stock has experienced a notable 90-day decline and trades at a premium valuation. That combination may encourage profit-taking and makes the shares more sensitive to any slowdown in AI or semiconductor capital spending.

Applied Materials Company Profile

Applied Materials, Inc is a global provider of materials engineering solutions used to manufacture semiconductors, displays and other advanced electronic products. The company develops and supplies equipment, services and software that help customers build and improve the performance of chips and display panels.

Its semiconductor products support processes including deposition, etch, patterning, inspection, metrology and materials modification. Applied Materials also provides equipment and services for display manufacturing, including technologies used in producing liquid-crystal and organic light-emitting diode displays, as well as solutions for adjacent markets such as solar and other specialty applications.

Founded in 1967 and headquartered in Santa Clara, California, Applied Materials serves semiconductor and display manufacturers worldwide through operations, customer-support centers and research and development activities across major technology-producing regions.