Morgan Stanley Raises Applied Materials (NASDAQ:AMAT) Price Target to $432.00

Applied Materials (NASDAQ:AMAT) had its price target hoisted by stock analysts at Morgan Stanley from $420.00 to $432.00 in a research report issued on Wednesday,Benzinga reports. The brokerage presently has an “overweight” rating on the manufacturing equipment provider’s stock. Morgan Stanley’s target price would indicate a potential upside of 10.24% from the company’s previous close.

A number of other equities research analysts have also issued reports on AMAT. Needham & Company LLC raised their price target on Applied Materials from $390.00 to $440.00 and gave the stock a “buy” rating in a research note on Friday, February 13th. KeyCorp raised their price target on Applied Materials from $380.00 to $450.00 and gave the company an “overweight” rating in a research note on Friday, February 13th. Zacks Research upgraded Applied Materials from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 17th. JPMorgan Chase & Co. upped their target price on Applied Materials from $220.00 to $260.00 and gave the company an “overweight” rating in a research report on Friday, November 14th. Finally, Stifel Nicolaus raised their price objective on Applied Materials from $340.00 to $450.00 and gave the stock a “buy” rating in a research note on Friday, February 13th. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $363.46.

Applied Materials Price Performance

NASDAQ:AMAT traded up $13.96 during trading hours on Wednesday, reaching $391.89. The stock had a trading volume of 2,068,733 shares, compared to its average volume of 8,101,293. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.94 and a current ratio of 2.71. The stock has a market capitalization of $311.01 billion, a PE ratio of 40.12, a PEG ratio of 1.69 and a beta of 1.70. Applied Materials has a 52 week low of $123.74 and a 52 week high of $394.40. The company has a 50 day moving average price of $309.60 and a two-hundred day moving average price of $246.29.

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, beating analysts’ consensus estimates of $2.21 by $0.17. Applied Materials had a net margin of 27.78% and a return on equity of 37.52%. The company had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.88 billion. During the same quarter in the prior year, the firm earned $2.38 earnings per share. Applied Materials’s revenue was down 2.1% on a year-over-year basis. Applied Materials has set its Q2 2026 guidance at 2.440-2.840 EPS. As a group, sell-side analysts anticipate that Applied Materials will post 9.38 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, Director Judy Bruner sold 3,969 shares of the stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $377.02, for a total transaction of $1,496,392.38. Following the completion of the sale, the director owned 28,589 shares in the company, valued at approximately $10,778,624.78. This trade represents a 12.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CAO Adam Sanders sold 534 shares of Applied Materials stock in a transaction that occurred on Tuesday, February 24th. The shares were sold at an average price of $379.16, for a total value of $202,471.44. Following the sale, the chief accounting officer directly owned 4,625 shares in the company, valued at $1,753,615. This trade represents a 10.35% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 10,112 shares of company stock worth $3,660,532. Corporate insiders own 0.30% of the company’s stock.

Institutional Investors Weigh In On Applied Materials

A number of institutional investors have recently added to or reduced their stakes in AMAT. Brighton Jones LLC boosted its holdings in shares of Applied Materials by 28.0% during the 4th quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider’s stock valued at $2,061,000 after purchasing an additional 2,771 shares during the last quarter. Sivia Capital Partners LLC boosted its stake in Applied Materials by 26.7% during the second quarter. Sivia Capital Partners LLC now owns 3,225 shares of the manufacturing equipment provider’s stock valued at $590,000 after buying an additional 679 shares during the last quarter. Forefront Wealth Partners LLC bought a new position in Applied Materials during the second quarter valued at approximately $410,000. Schnieders Capital Management LLC. grew its holdings in Applied Materials by 30.1% during the 2nd quarter. Schnieders Capital Management LLC. now owns 15,003 shares of the manufacturing equipment provider’s stock valued at $2,747,000 after buying an additional 3,469 shares in the last quarter. Finally, Ashton Thomas Private Wealth LLC grew its holdings in shares of Applied Materials by 38.5% in the second quarter. Ashton Thomas Private Wealth LLC now owns 11,046 shares of the manufacturing equipment provider’s stock valued at $2,022,000 after purchasing an additional 3,071 shares in the last quarter. 80.56% of the stock is owned by hedge funds and other institutional investors.

Applied Materials News Summary

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

• Positive Sentiment: Q1 results and 2nm product push — Applied reported revenue and EPS above expectations, raised Q2 outlook and highlighted new transistor/materials engineering systems for 2nm-and-beyond, plus a US$252.5M export deal that supports near-term revenue and bookings. Applied Materials (AMAT) Is Up 5.3% After Strong Q1, Export Deal And 2nm Push – Has The Bull Case Changed?
• Positive Sentiment: Structural AI/HBM demand & supply-chain positioning — Coverage highlights AMAT’s central role in deposition/film tools and why rising HBM/AI chip demand should sustain equipment bookings and margins over the medium term. This bolsters the bull case beyond a single earnings print. The Supply Chain Quietly Powering the AI Boom—And 4 Ways to Play It
• Positive Sentiment: Analyst upgrades and higher targets — Multiple brokerages have raised price targets and ratings after stronger results and AI exposure, supporting upward re-rating and institutional interest. Is Applied Materials Stock Outperforming the S&P 500?
• Neutral Sentiment: Market tailwind — A broad risk-on session (S&P and Nasdaq gains) and easing AI disruption fears lifted semiconductor equipment names, amplifying AMAT’s earnings-driven rally. Stocks Settle Higher as AI Disruption Fears Ease
• Neutral Sentiment: Supplier awards — Applied recognized top suppliers for quality, delivery and sustainability; positive for operations and PR but unlikely to move near-term revenue materially. Applied Materials Awards Suppliers for Outstanding Performance
• Negative Sentiment: Insider selling by senior executives/directors — Recent Form 4 filings show CAO Adam Sanders and Director Judy Bruner sold meaningful blocks (~534 and 3,969 shares respectively), which can weigh on near-term sentiment even if sales are routine diversification. CAO Adam Sanders Form 4 Director Judy Bruner Form 4

About Applied Materials

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.