Applied Materials (NASDAQ:AMAT) Releases Q1 2027 Earnings Guidance

Applied Materials (NASDAQ:AMAT) issued an update on its first quarter 2027 earnings guidance on Thursday. The company provided EPS guidance of 4.150-4.550 for the period, compared to the consensus earnings per share estimate of 4.200. The company issued revenue guidance of $10.6 billion-$11.6 billion, compared to the consensus revenue estimate of $10.7 billion.

Analysts Set New Price Targets

Several equities analysts recently issued reports on the stock. Craig Hallum upped their price objective on shares of Applied Materials from $530.00 to $585.00 and gave the company a “buy” rating in a research note on Friday, August 14th. Evercore set a $590.00 target price on shares of Applied Materials in a research note on Thursday, October 15th. Weiss Ratings downgraded Applied Materials from a “buy (b)” rating to a “buy (b-)” rating in a report on Wednesday, September 9th. Summit Insights lowered Applied Materials from a “buy” rating to a “hold” rating in a research note on Friday. Finally, Citigroup restated a “buy” rating and set a $710.00 price objective (up from $550.00) on shares of Applied Materials in a report on Monday, August 3rd. Twenty-nine investment analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $618.53.

Applied Materials Trading Down 3.6%

NASDAQ:AMAT opened at $380.95 on Friday. The stock has a market cap of $302.32 billion, a price-to-earnings ratio of 32.84, a PEG ratio of 0.77 and a beta of 1.67. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.79 and a current ratio of 2.42. Applied Materials has a 1 year low of $203.40 and a 1 year high of $739.67. The business has a fifty day moving average of $439.22 and a 200-day moving average of $445.83.

Applied Materials (NASDAQ:AMAT) last posted its quarterly earnings data on Thursday, November 12th. The manufacturing equipment provider reported $4.16 earnings per share for the quarter, topping the consensus estimate of $4.06 by $0.10. The business had revenue of $10.41 billion during the quarter, compared to the consensus estimate of $10.30 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. During the same quarter in the prior year, the company posted $2.17 earnings per share. Applied Materials has set its Q1 2027 guidance at 4.150-4.550 EPS. Equities analysts predict that Applied Materials will post 12.79 earnings per share for the current year.

Applied Materials Announces Dividend

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

Insider Transactions at Applied Materials

In related news, CAO Adam Sanders sold 725 shares of the firm’s stock in a transaction that occurred on Friday, October 2nd. The shares were sold at an average price of $544.56, for a total transaction of $394,806.00. Following the transaction, the chief accounting officer owned 3,181 shares in the company, valued at $1,732,245.36. This trade represents a 18.56% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Brice Hill sold 7,500 shares of the business’s stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $479.25, for a total value of $3,594,375.00. Following the sale, the chief financial officer directly owned 128,613 shares in the company, valued at approximately $61,637,780.25. The trade was a 5.51% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 9,225 shares of company stock valued at $4,454,181. Company insiders own 0.30% of the company’s stock.

More Applied Materials News

These are some of the AMAT news items that stood out recently:

• Positive Sentiment: Q1 fiscal 2027 guidance was strong: revenue of $10.6 billion–$11.6 billion and EPS of $4.15–$4.55, with the revenue range above analysts’ expectations. Management expects AI-chip demand to support further growth and says Applied Materials could outgrow the wafer-fab equipment market again in 2027. Applied Materials forecasts quarterly revenue above estimates
• Neutral Sentiment: Management said customer demand is strong, with some customers seeking earlier deliveries, but component sourcing and clean-room capacity limit how quickly the company can ship. China is expected to represent less than a quarter of shipments in 2027, reducing exposure but leaving export restrictions a consideration. Applied Materials earnings and outlook coverage
• Negative Sentiment: Despite the results, the market’s response has been muted. Broader technology weakness and lingering Nvidia-related concerns may be tempering investor enthusiasm, while recent steep declines in chip-equipment shares have left investors looking for stronger confirmation that the recovery will continue. Applied Materials’ Beat Gets a Lukewarm Reception

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.