Applied Materials (NASDAQ:AMAT) Trading Up 1.6% – Time to Buy?

Applied Materials, Inc. (NASDAQ:AMAT)’s stock price traded up 1.6% on Thursday . The company traded as high as $576.49 and last traded at $562.80. Approximately 5,647,829 shares changed hands during trading, a decline of 32% from the average session volume of 8,281,805 shares. The stock had previously closed at $553.92.

Trending Headlines about Applied Materials

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

• Positive Sentiment: Applied Materials rose after TSMC’s planned price increases and a major Arizona expansion reinforced expectations for sustained demand for semiconductor equipment used in AI and data-center chip production. Applied Materials (AMAT) Jumps On TSMC Expansion As Fair Value Debate Stays Open
• Positive Sentiment: Investors are also looking ahead to Applied Materials’ Aug. 13 fiscal third-quarter results, with analysts expecting another double-digit earnings increase, which supports the bullish narrative around the stock. What to Expect From Applied Materials’ Next Quarterly Earnings Report
• Positive Sentiment: Applied Materials was highlighted in multiple sector screens as a wide-moat semiconductor stock and a beneficiary of AI enthusiasm, adding to sentiment that the company remains a core pick in the chip equipment rally. Buy These 5 Semiconductor Stocks Charged Up by AI Enthusiasm
• Neutral Sentiment: The company formally announced that it will report fiscal third-quarter 2026 results on Aug. 13, giving investors a near-term catalyst but no new operating update yet. Applied Materials to Report Fiscal Third Quarter 2026 Results on Aug-13-2026
• Neutral Sentiment: Technical commentary suggested the shares may be due for a rebound after a recent pullback, but this was framed more as a trading setup than a fundamental change. History Says Applied Materials Stock Looks Ripe for Rebound

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on AMAT shares. UBS Group lifted their price objective on shares of Applied Materials from $570.00 to $705.00 and gave the company a “buy” rating in a report on Wednesday, July 15th. KeyCorp increased their target price on shares of Applied Materials from $550.00 to $750.00 and gave the stock an “overweight” rating in a report on Monday, June 29th. JPMorgan Chase & Co. raised their target price on shares of Applied Materials from $400.00 to $515.00 and gave the company an “overweight” rating in a research report on Friday, May 15th. Wolfe Research lifted their price target on shares of Applied Materials from $500.00 to $550.00 and gave the company an “outperform” rating in a research note on Friday, May 15th. Finally, Truist Financial set a $575.00 price target on shares of Applied Materials in a research report on Thursday, May 28th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $593.84.

Applied Materials Stock Up 1.6%

The company has a market cap of $446.84 billion, a price-to-earnings ratio of 52.85, a P/E/G ratio of 1.43 and a beta of 1.57. The firm has a 50-day moving average price of $539.78 and a 200 day moving average price of $420.23. The company has a debt-to-equity ratio of 0.22, a current ratio of 2.51 and a quick ratio of 1.80.

Applied Materials (NASDAQ:AMAT) last released its quarterly earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.68 by $0.18. Applied Materials had a return on equity of 36.97% and a net margin of 29.31%.The business had revenue of $7.91 billion during the quarter, compared to the consensus estimate of $7.68 billion. During the same period in the previous year, the company posted $2.39 EPS. The firm’s quarterly revenue was up 11.4% on a year-over-year basis. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. Sell-side analysts predict that Applied Materials, Inc. will post 12.14 EPS for the current year.

Applied Materials Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be paid a $0.53 dividend. The ex-dividend date is Thursday, August 20th. This represents a $2.12 annualized dividend and a dividend yield of 0.4%. Applied Materials’s dividend payout ratio is 19.91%.

Insider Buying and Selling at Applied Materials

In related news, CEO Gary E. Dickerson sold 71,727 shares of the firm’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.75, for a total transaction of $42,587,906.25. Following the transaction, the chief executive officer directly owned 1,695,164 shares of the company’s stock, valued at approximately $1,006,503,625. This trade represents a 4.06% 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. Also, SVP Omkaram Nalamasu sold 24,263 shares of the business’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.43, for a total transaction of $14,398,392.09. Following the completion of the sale, the senior vice president directly owned 146,916 shares of the company’s stock, valued at $87,184,361.88. This represents a 14.17% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 278,088 shares of company stock valued at $169,654,805 in the last quarter. Company 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. JFS Wealth Advisors LLC grew its holdings in Applied Materials by 4.3% during the second quarter. JFS Wealth Advisors LLC now owns 409 shares of the manufacturing equipment provider’s stock worth $296,000 after buying an additional 17 shares in the last quarter. Stonebridge Financial Group LLC lifted its stake in Applied Materials by 2.1% during the 2nd quarter. Stonebridge Financial Group LLC now owns 1,003 shares of the manufacturing equipment provider’s stock valued at $725,000 after acquiring an additional 21 shares in the last quarter. Basecamp Wealth Advisors LLC lifted its stake in Applied Materials by 0.7% during the 1st quarter. Basecamp Wealth Advisors LLC now owns 3,288 shares of the manufacturing equipment provider’s stock valued at $1,124,000 after acquiring an additional 22 shares in the last quarter. Financial Management Professionals Inc. boosted its holdings in Applied Materials by 2.2% during the 2nd quarter. Financial Management Professionals Inc. now owns 1,040 shares of the manufacturing equipment provider’s stock worth $752,000 after acquiring an additional 22 shares during the last quarter. Finally, Elevation Wealth Partners LLC boosted its holdings in Applied Materials by 34.8% during the 2nd quarter. Elevation Wealth Partners LLC now owns 93 shares of the manufacturing equipment provider’s stock worth $67,000 after acquiring an additional 24 shares during the last quarter. Institutional investors and hedge funds own 80.56% of the company’s stock.

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.