Applied Materials, Inc. (NASDAQ:AMAT) Given Average Rating of “Moderate Buy” by Brokerages

Shares of Applied Materials, Inc. (NASDAQ:AMAT) have been assigned an average rating of “Moderate Buy” from the thirty-three research firms that are covering the company, MarketBeat Ratings reports. Five analysts have rated the stock with a hold rating, twenty-seven have issued a buy rating and one has assigned a strong buy rating to the company. The average twelve-month price target among analysts that have issued ratings on the stock in the last year is $659.8276.

Several brokerages have recently issued reports on AMAT. UBS Group set a $675.00 price objective on Applied Materials and gave the company a “buy” rating in a research note on Friday, August 14th. Zacks Research raised shares of Applied Materials from a “hold” rating to a “strong-buy” rating in a report on Wednesday, July 1st. Wells Fargo & Company lifted their price target on shares of Applied Materials from $715.00 to $740.00 and gave the stock an “overweight” rating in a research note on Friday, June 26th. The Goldman Sachs Group reiterated a “buy” rating and set a $645.00 price target on shares of Applied Materials in a report on Monday, August 3rd. Finally, Morgan Stanley dropped their price objective on shares of Applied Materials from $646.00 to $642.00 and set an “equal weight” rating on the stock in a research report on Friday, August 14th.

Insider Buying and Selling at Applied Materials

In other Applied Materials news, SVP Omkaram Nalamasu sold 24,263 shares of the stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $593.43, for a total value of $14,398,392.09. Following the transaction, the senior vice president directly owned 146,916 shares in the company, valued at $87,184,361.88. This represents a 14.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Thomas J. Iannotti sold 9,250 shares of the firm’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $599.77, for a total transaction of $5,547,872.50. Following the sale, the director directly owned 40,559 shares in the company, valued at approximately $24,326,071.43. The trade was a 18.57% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 278,088 shares of company stock worth $169,654,805. Corporate insiders own 0.30% of the company’s stock.

Institutional Investors Weigh In On Applied Materials

Several hedge funds and other institutional investors have recently bought and sold shares of AMAT. Evolve Private Wealth LLC boosted its stake in shares of Applied Materials by 59.0% during the first quarter. Evolve Private Wealth LLC now owns 2,875 shares of the manufacturing equipment provider’s stock worth $983,000 after buying an additional 1,067 shares during the period. WealthPlan Investment Management LLC acquired a new position in Applied Materials in the 4th quarter valued at about $1,082,000. Ameritas Advisory Services LLC increased its position in Applied Materials by 183.7% in the 4th quarter. Ameritas Advisory Services LLC now owns 3,073 shares of the manufacturing equipment provider’s stock valued at $790,000 after acquiring an additional 1,990 shares during the period. Handelsbanken Fonder AB raised its stake in Applied Materials by 29.6% during the 2nd quarter. Handelsbanken Fonder AB now owns 462,685 shares of the manufacturing equipment provider’s stock valued at $334,521,000 after acquiring an additional 105,776 shares during the last quarter. Finally, CloudAlpha Capital Management Limited Hong Kong raised its stake in Applied Materials by 204.8% during the 4th quarter. CloudAlpha Capital Management Limited Hong Kong now owns 140,773 shares of the manufacturing equipment provider’s stock valued at $36,177,000 after acquiring an additional 94,587 shares during the last quarter. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Applied Materials Stock Performance

NASDAQ:AMAT opened at $496.17 on Thursday. The company has a market cap of $393.94 billion, a price-to-earnings ratio of 42.77, a price-to-earnings-growth ratio of 1.11 and a beta of 1.61. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20. Applied Materials has a 52 week low of $154.46 and a 52 week high of $739.67. The company has a fifty day simple moving average of $565.29 and a two-hundred day simple moving average of $449.54.

Applied Materials (NASDAQ:AMAT) last released its earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 EPS for the quarter, topping the consensus estimate of $3.40 by $0.10. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%.The firm had revenue of $9.12 billion during the quarter, compared to analysts’ expectations of $8.99 billion. During the same period in the previous year, the firm posted $2.48 EPS. Applied Materials’s revenue for the quarter was up 24.8% on a year-over-year basis. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. As a group, equities analysts anticipate that Applied Materials will post 12.65 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

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

Applied Materials News Summary

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

• Positive Sentiment: Applied Materials was included in Zacks’ Rank #1 (Strong Buy) momentum list, reflecting continued favorable technical and fundamental sentiment after its substantial 2026 rally. Best Momentum Stock to Buy for August 19th
• Positive Sentiment: An analyst upgrade recently supported AMAT, while longer-term bullish arguments point to AI-driven semiconductor demand, a broad equipment portfolio and strong international revenue opportunities. Applied Materials Trading Higher Following Analyst Upgrade
• Neutral Sentiment: Applied Materials had surged about 98% in 2026 and 31% over three months, making it a major beneficiary of the AI-capital-spending trade but also leaving the stock vulnerable to profit-taking and shifts in expectations. Applied Materials Rockets 98% in 2026
• Neutral Sentiment: Analysts remain constructive on AI-related growth and semiconductor demand, but AMAT’s premium valuation requires continued execution and strong forecasts to justify further gains. Should You Buy, Sell or Hold AMAT Stock
• Negative Sentiment: The immediate pressure is concentrated across chip-equipment names, including Applied Materials, Lam Research and Teradyne. Because the broader market is rising while the group sells off, investors appear concerned about the durability or timing of AI-related capital expenditures rather than interest rates alone. What Is Prompting the Selloff in Chip Equipment Stocks?
• Negative Sentiment: Investors are also questioning whether AMAT is “priced for perfection,” with its elevated earnings multiple increasing the risk of a sharper reaction to any slowdown in AI spending or semiconductor demand. Applied Materials Is Priced For Perfection

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.