Mizuho Forecasts Strong Price Appreciation for Applied Materials (NASDAQ:AMAT) Stock

Applied Materials (NASDAQ:AMAT) had its price objective upped by analysts at Mizuho from $370.00 to $410.00 in a report released on Friday, Marketbeat Ratings reports. The firm currently has an “outperform” rating on the manufacturing equipment provider’s stock. Mizuho’s price objective indicates a potential upside of 15.52% from the stock’s current price.

Several other research firms have also weighed in on AMAT. Morgan Stanley lifted their price target on Applied Materials from $273.00 to $364.00 and gave the company an “overweight” rating in a research report on Monday, February 2nd. Stifel Nicolaus boosted their target price on shares of Applied Materials from $250.00 to $340.00 and gave the company a “buy” rating in a report on Wednesday, January 14th. Deutsche Bank Aktiengesellschaft raised shares of Applied Materials from a “hold” rating to a “buy” rating and upped their target price for the stock from $275.00 to $390.00 in a research report on Friday, January 23rd. Sanford C. Bernstein reissued a “market perform” rating and set a $325.00 price target on shares of Applied Materials in a research report on Monday, January 12th. Finally, Susquehanna raised shares of Applied Materials from a “neutral” rating to a “positive” rating and boosted their price objective for the stock from $180.00 to $400.00 in a research note on Sunday, January 11th. Twenty-eight research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $361.03.

Applied Materials Trading Up 8.1%

Shares of AMAT opened at $354.91 on Friday. Applied Materials has a 1-year low of $123.74 and a 1-year high of $376.32. The company has a current ratio of 2.61, a quick ratio of 1.87 and a debt-to-equity ratio of 0.32. The firm’s 50-day moving average price is $295.20 and its 200-day moving average price is $236.72. The firm has a market capitalization of $281.70 billion, a price-to-earnings ratio of 36.33, a PEG ratio of 3.15 and a beta of 1.70.

Applied Materials (NASDAQ:AMAT) last released its quarterly earnings results on Thursday, February 12th. The manufacturing equipment provider reported $2.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.19 by $0.19. The company had revenue of $7.01 billion during the quarter, compared to the consensus estimate of $6.88 billion. Applied Materials had a net margin of 27.78% and a return on equity of 38.52%. Applied Materials’s revenue was down 2.1% on a year-over-year basis. During the same period in the prior year, the firm earned $2.38 earnings per share. Applied Materials has set its Q2 2026 guidance at 2.440-2.840 EPS. Sell-side analysts anticipate that Applied Materials will post 9.38 EPS for the current year.

Insiders Place Their Bets

In other Applied Materials news, SVP Teri A. Little sold 4,000 shares of the company’s stock in a transaction dated Tuesday, November 25th. The shares were sold at an average price of $238.24, for a total transaction of $952,960.00. Following the transaction, the senior vice president owned 84,351 shares in the company, valued at approximately $20,095,782.24. This represents a 4.53% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Adam Sanders sold 609 shares of the firm’s stock in a transaction dated Monday, December 1st. The shares were sold at an average price of $255.53, for a total transaction of $155,617.77. Following the sale, the chief accounting officer directly owned 4,413 shares in the company, valued at approximately $1,127,653.89. The trade was a 12.13% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 8,609 shares of company stock worth $2,044,898. Corporate insiders own 0.30% of the company’s stock.

Institutional Investors Weigh In On Applied Materials

A number of large investors have recently added to or reduced their stakes in AMAT. Wilkerson Advisory Group LLC purchased a new position in Applied Materials in the fourth quarter worth about $26,000. Highline Wealth Partners LLC lifted its stake in shares of Applied Materials by 48.7% in the 4th quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider’s stock worth $30,000 after purchasing an additional 38 shares during the period. Joseph Group Capital Management bought a new position in shares of Applied Materials in the 4th quarter worth approximately $31,000. Marquette Asset Management LLC boosted its holdings in shares of Applied Materials by 150.0% in the third quarter. Marquette Asset Management LLC now owns 125 shares of the manufacturing equipment provider’s stock worth $26,000 after buying an additional 75 shares during the last quarter. Finally, Redmont Wealth Advisors LLC bought a new stake in Applied Materials during the third quarter valued at approximately $26,000. Institutional investors own 80.56% of the company’s stock.

Key Stories Impacting Applied Materials

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

• Positive Sentiment: Q1 results beat consensus — EPS of $2.38 topped estimates and revenue of $7.01B beat expectations, evidence that services and AI-related demand are offsetting cyclical headwinds. This beat is the primary catalyst for the rally. Applied Materials Q1 Earnings Beat Estimates, Revenues Fall Y/Y
• Positive Sentiment: Strong guidance and AI-driven order cadence — management set Q2 EPS and revenue guidance above Street consensus and highlighted surging orders tied to AI processors and tightening memory demand, supporting a view of sustained equipment spending. Applied Materials jumps as AI demand drives chipmaking tool orders
• Positive Sentiment: Analyst upgrades and price-target increases — multiple firms raised ratings/targets (examples cited include Needham, Mizuho, Citigroup, B. Riley), which amplifies buying momentum and reduces near-term downside from sell-side skepticism.
• Neutral Sentiment: Regulatory settlement resolved — Applied reached a $252.5M civil settlement with the U.S. Department of Commerce over prior export issues; DOJ and SEC closed related probes without action. The payment is a one-time cost but it removes regulatory overhang going forward. Applied Materials Reaches Resolution with the U.S. Department of Commerce
• Negative Sentiment: Valuation concerns and bear case commentary — some analysts and op-eds argue the stock’s run has left limited upside and warn of pricey multiples; this creates the risk of profit-taking if future execution or guidance lags. Applied Materials: Little Opportunity Left After A Monstrous Run

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.