Applied Materials, Inc. (NASDAQ:AMAT) Receives Average Recommendation of “Moderate Buy” from Brokerages

Shares of Applied Materials, Inc. (NASDAQ:AMAT) have earned a consensus recommendation of “Moderate Buy” from the thirty-three ratings firms that are covering the company, MarketBeat reports. Six research analysts have rated the stock with a hold recommendation and twenty-seven have issued a buy recommendation on the company. The average 1-year price target among analysts that have issued a report on the stock in the last year is $363.0357.

Several research analysts recently weighed in on AMAT shares. KGI Securities raised Applied Materials to an “outperform” rating and set a $425.00 target price on the stock in a research report on Friday, February 13th. Mizuho upped their price target on Applied Materials from $370.00 to $410.00 and gave the stock an “outperform” rating in a research note on Friday, February 13th. DZ Bank raised Applied Materials to a “hold” rating in a research note on Monday. KeyCorp boosted their target price on Applied Materials from $380.00 to $450.00 and gave the stock an “overweight” rating in a report on Friday, February 13th. Finally, Citigroup raised their price target on shares of Applied Materials from $400.00 to $420.00 and gave the company a “buy” rating in a report on Friday, February 13th.

Insider Activity at Applied Materials

In related news, SVP Teri A. Little sold 4,000 shares of the company’s stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $238.24, for a total transaction of $952,960.00. Following the completion of the sale, the senior vice president directly owned 84,351 shares of the company’s stock, valued at approximately $20,095,782.24. This represents a 4.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. 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 value of $155,617.77. Following the completion of the transaction, the chief accounting officer directly owned 4,413 shares in the company, valued at $1,127,653.89. This trade represents a 12.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 9,609 shares of company stock worth $2,914,628. 0.30% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Applied Materials

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Cornerstone Financial Management LLC acquired a new position in shares of Applied Materials during the fourth quarter worth $25,000. Wilkerson Advisory Group LLC acquired a new stake in Applied Materials during the 4th quarter valued at $26,000. Highline Wealth Partners LLC increased its stake in Applied Materials by 48.7% during the 4th 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 Applied Materials during the 4th quarter worth $31,000. Finally, Marquette Asset Management LLC lifted its holdings 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 buying an additional 75 shares in the last quarter. 80.56% of the stock is owned by institutional investors and hedge funds.

Applied Materials Trading Up 2.8%

Shares of AMAT stock opened at $369.30 on Thursday. The firm’s 50-day simple moving average is $300.66 and its 200-day simple moving average is $240.45. The company has a debt-to-equity ratio of 0.30, a current ratio of 2.71 and a quick ratio of 1.94. Applied Materials has a 1-year low of $123.74 and a 1-year high of $376.32. The firm has a market cap of $293.12 billion, a P/E ratio of 37.80, a PEG ratio of 1.67 and a beta of 1.70.

Applied Materials (NASDAQ:AMAT) last released its earnings results on Thursday, February 12th. The manufacturing equipment provider reported $2.38 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.21 by $0.17. The firm 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 37.52%. Applied Materials’s revenue was down 2.1% compared to the same quarter last year. During the same period in the previous year, the firm earned $2.38 earnings per share. Applied Materials has set its Q2 2026 guidance at 2.440-2.840 EPS. As a group, equities analysts forecast that Applied Materials will post 9.38 EPS for the current year.

Applied Materials Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be paid a $0.46 dividend. This represents a $1.84 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Thursday, February 19th. Applied Materials’s dividend payout ratio (DPR) is currently 18.83%.

Key Applied Materials News

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

• Positive Sentiment: Company fundamentals and guidance — AMAT beat Q1 estimates and management gave aggressive growth guidance (CEO projected ~20% calendar‑2026 sales and strong Q2 revenue outlook), which has driven analyst target‑price increases and renewed optimism among investors. 3 Under-the-Radar Earnings Surprises Could Signal a New Trend (AMAT)
• Positive Sentiment: Analyst upgrades and estimate revisions — Zacks bumped AMAT to a Strong Buy and published commentary noting upward earnings‑estimate revisions, supporting near‑term upside expectations. Applied Materials (AMAT) Upgraded to Strong Buy: Here’s Why
• Positive Sentiment: Large bullish options activity — unusually big call buying (≈97,138 calls, ~+231% vs. typical daily volume) suggests traders are positioning for further upside or protecting long exposure.
• Neutral Sentiment: Investor events — Applied Materials confirmed management will appear at upcoming investor conferences (opportunity for further detail/Q&A but not an immediate earnings surprise). Applied Materials to Participate in Upcoming Investor Conferences
• Neutral Sentiment: Mixed analyst commentary — some publications note conflicting analyst views on AMAT amid sector rotation and valuation debates; this creates variable near‑term sentiment even as fundamentals look strong. Analysts Have Conflicting Sentiments on These Technology Companies
• Neutral Sentiment: Short‑interest data appears unreliable — reports show zero/NaN short interest and a 0.0 days‑to‑cover metric, which is likely a reporting anomaly and not meaningful for positioning today.
• Negative Sentiment: Insider sale — CFO Brice Hill sold 5,000 shares for ~$1.8M, trimming his stake by ~3.5%; while routine insider sales often fund personal liquidity, some investors view insider selling as a mild negative signal. SEC Form 4

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.