Applied Materials (NASDAQ:AMAT) Shares Up 3.1% on Analyst Upgrade

Applied Materials, Inc. (NASDAQ:AMAT)’s share price shot up 3.1% on Thursday after Susquehanna raised their price target on the stock from $435.00 to $500.00. Susquehanna currently has a positive rating on the stock. Applied Materials traded as high as $398.74 and last traded at $397.81. 5,326,047 shares traded hands during mid-day trading, a decline of 30% from the average session volume of 7,560,362 shares. The stock had previously closed at $385.72.

Other research analysts also recently issued reports about the stock. Sanford C. Bernstein reissued an “outperform” rating and issued a $425.00 target price on shares of Applied Materials in a research report on Friday, February 13th. Erste Group Bank raised shares of Applied Materials to a “hold” rating in a research report on Tuesday, March 24th. Mizuho lifted their target price on shares of Applied Materials from $370.00 to $410.00 and gave the stock an “outperform” rating in a research report on Friday, February 13th. Jefferies Financial Group lifted their target price on shares of Applied Materials from $260.00 to $360.00 and gave the stock a “buy” rating in a research report on Monday, December 15th. Finally, Needham & Company LLC increased their price objective on Applied Materials from $390.00 to $440.00 and gave the stock a “buy” rating in a research note on Friday, February 13th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $367.04.

Insider Buying and Selling

In related news, CAO Adam Sanders sold 534 shares of the stock in a transaction dated 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 directly owned 4,625 shares of the company’s stock, valued at approximately $1,753,615. This represents a 10.35% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Brice Hill sold 5,000 shares of the stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $361.21, for a total value of $1,806,050.00. Following the completion of the sale, the chief financial officer directly owned 138,565 shares of the company’s stock, valued at approximately $50,051,063.65. This represents a 3.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 12,003 shares of company stock valued at $4,484,189. Corporate insiders own 0.30% of the company’s stock.

Applied Materials News Summary

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

• Positive Sentiment: Applied unveiled new deposition systems aimed at the “angstrom era” (2nm/GAA) that are already being used by leading foundry/logic customers — a direct revenue catalyst because these tools address demand for advanced AI chips and node transitions. Applied Materials Introduces Deposition Systems for Angstrom‑Era Logic Chips
• Positive Sentiment: Coverage and headlines across financial sites report the new tools as a major product win, helping the stock rally as investors anticipate larger orders and aftermarket revenue. Applied Materials (AMAT) Is Up 9.0% After Launching 2nm GAA Deposition Tools For AI Chips
• Positive Sentiment: Analyst bullishness: Susquehanna raised its price target to $500 and kept a “positive” rating, providing a large upside signal that supports momentum buying. Benzinga
• Positive Sentiment: Goldman Sachs included AMAT among top semiconductor picks, adding institutional credibility to the buy case amid improving valuations in the sector. Goldman Sachs Names Teradyne (TER), Applied Materials (AMAT), AMD (AMD) as Top Semiconductor Picks
• Positive Sentiment: Independent commentary frames recent memory/semiconductor selloffs (Micron, WDC, AMAT) as a buying opportunity driven by strong AI demand — a sentiment that can attract value/momentum buyers. Memory Wipe: The Great TurboQuant Miscalculation (AMAT)
• Neutral Sentiment: Macro and market context: easing geopolitical tensions and positive market breadth are supporting semiconductor names broadly, which helps AMAT alongside company‑specific news. Dow Jones Futures Fall, Oil Prices Rise After Iran Ceasefire Rally…
• Neutral Sentiment: Valuation/watchers: some writeups question whether the recent run (strong YTD and 1‑year performance) leaves less margin for error — keep an eye on execution and order flow to validate the rally. Is It Too Late To Consider Applied Materials (AMAT) After 177% One Year Surge?

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Cornerstone Financial Management LLC acquired a new position in Applied Materials in the 4th quarter worth about $25,000. Wilkerson Advisory Group LLC acquired a new position in Applied Materials in the 4th quarter worth about $26,000. Highline Wealth Partners LLC increased its position in 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 last quarter. Joseph Group Capital Management acquired a new position in Applied Materials in the 4th quarter worth about $31,000. Finally, Marquette Asset Management LLC increased its position in Applied Materials by 150.0% in the 3rd quarter. Marquette Asset Management LLC now owns 125 shares of the manufacturing equipment provider’s stock worth $26,000 after purchasing an additional 75 shares during the last quarter. 80.56% of the stock is owned by institutional investors and hedge funds.

Applied Materials Stock Performance

The company has a current ratio of 2.71, a quick ratio of 1.94 and a debt-to-equity ratio of 0.30. The firm has a 50-day simple moving average of $350.32 and a two-hundred day simple moving average of $286.59. The company has a market capitalization of $315.71 billion, a price-to-earnings ratio of 40.72, a price-to-earnings-growth ratio of 1.72 and a beta of 1.64.

Applied Materials (NASDAQ:AMAT) last issued its earnings results on Thursday, February 12th. The manufacturing equipment provider reported $2.38 earnings per share for the quarter, topping the consensus estimate 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 analyst estimates of $6.88 billion. During the same period in the prior year, the firm posted $2.38 EPS. The business’s revenue 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. As a group, sell-side analysts forecast that Applied Materials, Inc. will post 9.38 earnings per share for the current fiscal year.

Applied Materials Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 11th. Shareholders of record on Thursday, May 21st will be given a $0.53 dividend. This represents a $2.12 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend is Thursday, May 21st. This is an increase from Applied Materials’s previous quarterly dividend of $0.46. Applied Materials’s payout ratio is currently 18.83%.

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.