New Paradigm Capital Management LLC Makes New Investment in Applied Materials, Inc. $AMAT

New Paradigm Capital Management LLC bought a new stake in shares of Applied Materials, Inc. (NASDAQ:AMAT) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 3,400 shares of the manufacturing equipment provider’s stock, valued at approximately $2,458,000. Applied Materials comprises about 5.3% of New Paradigm Capital Management LLC’s portfolio, making the stock its 7th biggest holding.

Several other hedge funds and other institutional investors have also made changes to their positions in AMAT. Cornerstone Financial Management LLC purchased a new stake in shares of Applied Materials during the fourth quarter worth approximately $25,000. Wilkerson Advisory Group LLC purchased a new position in Applied Materials in the 4th quarter valued at $26,000. Financial Freedom LLC acquired a new stake in Applied Materials during the 1st quarter worth $28,000. Joseph Group Capital Management acquired a new stake in Applied Materials during the 4th quarter worth $31,000. Finally, Dogwood Wealth Management LLC grew its holdings in shares of Applied Materials by 52.4% during the fourth quarter. Dogwood Wealth Management LLC now owns 128 shares of the manufacturing equipment provider’s stock worth $33,000 after buying an additional 44 shares in the last quarter. Hedge funds and other institutional investors own 80.56% of the company’s stock.

Applied Materials Stock Performance

Shares of AMAT stock opened at $507.18 on Monday. The company has a current ratio of 2.42, a quick ratio of 1.79 and a debt-to-equity ratio of 0.20. Applied Materials, Inc. has a twelve month low of $154.46 and a twelve month high of $739.67. The company’s 50-day moving average price is $564.15 and its 200-day moving average price is $445.77. The stock has a market cap of $402.68 billion, a price-to-earnings ratio of 43.72, a PEG ratio of 1.25 and a beta of 1.61.

Applied Materials (NASDAQ:AMAT) last issued its earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 EPS for the quarter, topping analysts’ consensus estimates of $3.40 by $0.10. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The company had revenue of $9.12 billion for the quarter, compared to the consensus estimate of $8.99 billion. During the same period in the previous year, the firm earned $2.48 earnings per share. Applied Materials’s quarterly revenue was up 24.8% compared to the same quarter last year. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. As a group, equities analysts predict that Applied Materials, Inc. will post 12.48 earnings per share for the current year.

Applied Materials Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be issued a $0.53 dividend. The ex-dividend date is Thursday, August 20th. This represents a $2.12 dividend on an annualized basis and a yield of 0.4%. Applied Materials’s dividend payout ratio is currently 18.28%.

Key Applied Materials News

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

• Positive Sentiment: Record quarterly performance: Fiscal Q3 revenue rose 24.8% year over year to $9.12 billion, ahead of the $8.99 billion consensus estimate, while adjusted EPS of $3.50 exceeded expectations. AI infrastructure demand, advanced packaging and memory spending supported growth. Applied Materials Q3 Earnings Beat Estimates, Revenues Rise Y/Y
• Positive Sentiment: Above-consensus outlook: Management projected fiscal Q4 revenue of approximately $9.8 billion to $10.8 billion and EPS of $3.82 to $4.22, both above analyst expectations. The company also pointed to stronger systems growth and unusually long customer visibility into fiscal 2027 and beyond. Applied Materials Forecasts Quarterly Revenue Above Estimates
• Positive Sentiment: Analyst and institutional support: JPMorgan, RBC, TD Cowen, B. Riley, Needham and other firms maintained positive ratings or raised price targets. Soros Capital also reportedly added AMAT among several semiconductor positions, reinforcing the longer-term AI and chip-cycle investment case. Soros Capital Loads Up on Semiconductor Stocks
• Neutral Sentiment: Options imply a possible rebound: Derivatives-market data indicates traders expect the pullback could be temporary, although elevated volatility reflects uncertainty over the stock’s near-term direction. Applied Materials Options Data
• Negative Sentiment: Expectations were exceptionally high: Despite the earnings beat and upbeat guidance, investors wanted faster growth and clearer evidence that AMAT is outpacing rivals in semiconductor manufacturing equipment. Concerns about competition, margins and the pace of systems growth overshadowed the headline results. Applied Materials Slips as Investors Seek Faster Growth
• Negative Sentiment: Broader market pressure added to selling: Weaker July retail-sales data, profit-taking after record highs and a semiconductor-sector selloff weighed on AMAT and other AI-related stocks.

Insider Buying and Selling

In other news, insider Prabu G. Raja sold 50,000 shares of the business’s stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $505.28, for a total value of $25,264,000.00. Following the sale, the insider directly owned 356,642 shares of the company’s stock, valued at approximately $180,204,069.76. The trade was a 12.30% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Gary E. Dickerson sold 71,727 shares of the stock in a transaction that occurred on Tuesday, June 16th. The stock was 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 $1,006,503,625. The trade was a 4.06% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 278,088 shares of company stock valued at $169,654,805 in the last ninety days. Company insiders own 0.30% of the company’s stock.

Wall Street Analyst Weigh In

AMAT has been the subject of a number of recent research reports. The Goldman Sachs Group reiterated a “buy” rating and issued a $645.00 target price on shares of Applied Materials in a research report on Monday, August 3rd. Needham & Company LLC reaffirmed a “buy” rating and set a $740.00 price objective on shares of Applied Materials in a research note on Friday. Cantor Fitzgerald reiterated an “overweight” rating on shares of Applied Materials in a report on Friday. HC Wainwright set a $850.00 target price on shares of Applied Materials in a research note on Monday, June 29th. Finally, Wall Street Zen upgraded Applied Materials from a “hold” rating to a “buy” rating in a report on Saturday. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Applied Materials currently has an average rating of “Moderate Buy” and a consensus price target of $640.17.

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.