Polar Asset Management Partners Inc. Makes New Investment in Applied Materials, Inc. (NASDAQ:AMAT)

Polar Asset Management Partners Inc. bought a new position in shares of Applied Materials, Inc. (NASDAQ:AMAT) during the 4th quarter, Holdings Channel.com reports. The firm bought 461,000 shares of the manufacturing equipment provider’s stock, valued at approximately $74,972,000. Applied Materials makes up about 0.8% of Polar Asset Management Partners Inc.’s holdings, making the stock its 18th largest position.

Several other hedge funds have also recently bought and sold shares of AMAT. Norges Bank acquired a new stake in shares of Applied Materials in the fourth quarter valued at about $1,588,422,000. Northern Trust Corp grew its position in shares of Applied Materials by 18.6% in the fourth quarter. Northern Trust Corp now owns 10,230,464 shares of the manufacturing equipment provider’s stock valued at $1,663,780,000 after purchasing an additional 1,602,645 shares during the last quarter. Kovitz Investment Group Partners LLC grew its position in shares of Applied Materials by 301.6% in the fourth quarter. Kovitz Investment Group Partners LLC now owns 1,959,997 shares of the manufacturing equipment provider’s stock valued at $318,754,000 after purchasing an additional 1,471,953 shares during the last quarter. Two Sigma Investments LP grew its position in shares of Applied Materials by 10,767.6% in the fourth quarter. Two Sigma Investments LP now owns 1,347,580 shares of the manufacturing equipment provider’s stock valued at $219,157,000 after purchasing an additional 1,335,180 shares during the last quarter. Finally, Raymond James Financial Inc. acquired a new stake in shares of Applied Materials in the fourth quarter valued at about $182,962,000. 80.56% of the stock is owned by institutional investors and hedge funds.

Applied Materials Stock Performance

NASDAQ:AMAT opened at $157.51 on Friday. Applied Materials, Inc. has a 1 year low of $123.74 and a 1 year high of $255.89. The firm has a 50 day moving average of $150.15 and a 200-day moving average of $164.60. The company has a current ratio of 2.67, a quick ratio of 1.96 and a debt-to-equity ratio of 0.29. The stock has a market capitalization of $127.97 billion, a P/E ratio of 20.59, a price-to-earnings-growth ratio of 1.81 and a beta of 1.71.

Applied Materials (NASDAQ:AMAT) last posted its earnings results on Thursday, May 15th. The manufacturing equipment provider reported $2.39 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.31 by $0.08. Applied Materials had a net margin of 22.95% and a return on equity of 39.50%. The company had revenue of $7.10 billion during the quarter, compared to analysts’ expectations of $7.12 billion. During the same quarter in the previous year, the company posted $2.09 earnings per share. Applied Materials’s quarterly revenue was up 6.8% compared to the same quarter last year. As a group, sell-side analysts anticipate that Applied Materials, Inc. will post 9.38 EPS for the current fiscal year.

Applied Materials declared that its board has authorized a stock repurchase program on Monday, March 10th that authorizes the company to repurchase $10.00 billion in shares. This repurchase authorization authorizes the manufacturing equipment provider to buy up to 8.2% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Applied Materials Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 12th. Stockholders of record on Thursday, May 22nd will be paid a $0.46 dividend. The ex-dividend date is Thursday, May 22nd. This represents a $1.84 dividend on an annualized basis and a dividend yield of 1.17%. This is a boost from Applied Materials’s previous quarterly dividend of $0.40. Applied Materials’s payout ratio is 22.38%.

Insider Activity

In related news, CEO Gary E. Dickerson acquired 50,000 shares of the company’s stock in a transaction that occurred on Thursday, April 3rd. The stock was purchased at an average price of $137.30 per share, for a total transaction of $6,865,000.00. Following the transaction, the chief executive officer now directly owns 1,716,058 shares of the company’s stock, valued at approximately $235,614,763.40. This trade represents a 3.00% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CAO Adam Sanders sold 271 shares of the business’s stock in a transaction that occurred on Monday, February 24th. The stock was sold at an average price of $172.72, for a total transaction of $46,807.12. Following the completion of the transaction, the chief accounting officer now owns 6,479 shares of the company’s stock, valued at $1,119,052.88. This trade represents a 4.01% decrease in their position. The disclosure for this sale can be found here. 0.24% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on AMAT. Edward Jones raised Applied Materials from a “hold” rating to a “buy” rating in a research report on Wednesday, March 12th. Mizuho decreased their target price on Applied Materials from $205.00 to $195.00 and set an “outperform” rating on the stock in a research report on Friday, May 16th. Cantor Fitzgerald decreased their target price on Applied Materials from $220.00 to $200.00 and set an “overweight” rating on the stock in a research report on Monday, May 12th. Stifel Nicolaus decreased their target price on Applied Materials from $235.00 to $195.00 and set a “buy” rating on the stock in a research report on Tuesday, April 15th. Finally, Citigroup lifted their target price on Applied Materials from $170.00 to $190.00 and gave the stock a “buy” rating in a research report on Friday, May 16th. One investment analyst has rated the stock with a sell rating, six have issued a hold rating and sixteen have assigned a buy rating to the company. According to MarketBeat.com, Applied Materials currently has a consensus rating of “Moderate Buy” and a consensus target price of $199.48.

Applied Materials Company Profile

Applied Materials, Inc engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. The Semiconductor Systems segment develops, manufactures, and sells various manufacturing equipment that is used to fabricate semiconductor chips or integrated circuits.