Applied Materials, Inc. (NASDAQ:AMAT) Sees Large Drop in Short Interest

Applied Materials, Inc. (NASDAQ:AMAT) saw a large decline in short interest during the month of December. As of December 31st, there was short interest totaling 13,964,508 shares, a decline of 21.3% from the December 15th total of 17,743,721 shares. Approximately 1.8% of the shares of the company are short sold. Based on an average daily volume of 6,064,652 shares, the short-interest ratio is presently 2.3 days. Based on an average daily volume of 6,064,652 shares, the short-interest ratio is presently 2.3 days. Approximately 1.8% of the shares of the company are short sold.

Insider Activity at Applied Materials

In other Applied Materials news, CAO Adam Sanders sold 609 shares of the company’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $255.53, for a total transaction of $155,617.77. Following the transaction, the chief accounting officer owned 4,413 shares in the company, valued at approximately $1,127,653.89. This represents a 12.13% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, SVP Teri A. Little sold 4,000 shares of the business’s stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $238.24, for a total transaction of $952,960.00. Following the sale, the senior vice president directly owned 84,351 shares in the company, valued at $20,095,782.24. This trade represents a 4.53% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 8,609 shares of company stock worth $2,044,898. 0.24% of the stock is owned by insiders.

Hedge Funds Weigh In On Applied Materials

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Traveka Wealth LLC raised its position in shares of Applied Materials by 2.6% during the 4th quarter. Traveka Wealth LLC now owns 1,404 shares of the manufacturing equipment provider’s stock worth $361,000 after purchasing an additional 36 shares during the last quarter. Highline Wealth Partners LLC increased its stake in Applied Materials by 48.7% during the 4th quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider’s stock worth $30,000 after buying an additional 38 shares in the last quarter. EdgeRock Capital LLC increased its stake in Applied Materials by 2.5% during the 4th quarter. EdgeRock Capital LLC now owns 1,686 shares of the manufacturing equipment provider’s stock worth $433,000 after buying an additional 41 shares in the last quarter. Sagespring Wealth Partners LLC raised its holdings in shares of Applied Materials by 0.5% during the third quarter. Sagespring Wealth Partners LLC now owns 8,340 shares of the manufacturing equipment provider’s stock valued at $1,707,000 after acquiring an additional 43 shares during the last quarter. Finally, REAP Financial Group LLC lifted its position in shares of Applied Materials by 7.0% in the third quarter. REAP Financial Group LLC now owns 657 shares of the manufacturing equipment provider’s stock valued at $135,000 after acquiring an additional 43 shares in the last quarter. 80.56% of the stock is owned by hedge funds and other institutional investors.

Applied Materials News Roundup

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

• Positive Sentiment: TSMC’s $52–$56B 2026 capex guidance creates near‑term, high‑certainty demand for equipment suppliers like Applied Materials — MarketBeat explains that TSMC must buy new, specialized deposition and other tools (benefitting AMAT) to move to 2nm production. The $56 Billion Draft: Follow TSMC’s CapEx Stream
• Positive Sentiment: Applied topped out at a new all‑time high as investors front‑run TSMC-driven equipment demand; KeyBanc says AMAT can push higher in 2026. Applied Materials Stock Just Hit a New All-Time High. Should You Buy AMAT Here?
• Positive Sentiment: Several sell‑side upgrades (Barclays, RBC, Stifel and others) have raised ratings/targets and highlighted AMAT’s exposure to AI capex and HBM growth, supporting upward price momentum. Applied Materials, AEI Industries, MKS in focus as KeyBanc ups targets
• Positive Sentiment: Barclays upgrade specifically cited AI‑driven fab spending as a catalyst, which helped spur intraday gains. Barclays upgrades Applied Materials (AMAT)
• Positive Sentiment: AMAT’s HBM (hybrid bonding) business hit $1.5B in FY25 and is positioned to double as memory/AI packaging ramps — a structural growth driver cited by analysts. Applied Materials FY25 HBM Revenues Hit $1.5B: A New Growth Driver?
• Neutral Sentiment: Market commentary offers trade ideas and allocation strategies (e.g., “drafting the titan”) that favor equipment vendors instead of chip designers — useful context but not a direct company update. Here Is A Smart Way To Invest In AMAT Stock
• Neutral Sentiment: AMAT is due to report its next quarter soon; analysts expect a single‑digit EPS decrease, so near‑term guidance and orders will be watched closely for confirmation of the TSMC-driven rebound. Here’s What to Expect From Applied Materials’ Next Earnings Report
• Negative Sentiment: Valuation and positioning risk: AMAT is trading near its 52‑week high with elevated multiples (PE/PEG), so any hiccup in order timing, customer pushouts or margin guidance could trigger a pullback. Here is What to Know Beyond Why Applied Materials, Inc. (AMAT) is a Trending Stock

Wall Street Analyst Weigh In

Several research analysts recently issued reports on AMAT shares. Evercore ISI reissued an “outperform” rating and set a $290.00 target price on shares of Applied Materials in a report on Friday, November 14th. Barclays raised Applied Materials from an “equal weight” rating to an “overweight” rating and increased their price target for the stock from $250.00 to $360.00 in a research report on Thursday. UBS Group upgraded Applied Materials from a “neutral” rating to a “buy” rating and lifted their price objective for the company from $250.00 to $285.00 in a research note on Tuesday, November 25th. DZ Bank raised Applied Materials from a “strong sell” rating to a “hold” rating in a report on Friday, November 14th. Finally, JPMorgan Chase & Co. raised their target price on Applied Materials from $220.00 to $260.00 and gave the stock an “overweight” rating in a report on Friday, November 14th. Twenty-three analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Applied Materials currently has an average rating of “Moderate Buy” and an average target price of $282.25.

Applied Materials Price Performance

Shares of Applied Materials stock opened at $327.01 on Friday. The firm has a market cap of $259.30 billion, a PE ratio of 37.67, a P/E/G ratio of 3.38 and a beta of 1.67. Applied Materials has a twelve month low of $123.74 and a twelve month high of $331.00. The company has a quick ratio of 1.87, a current ratio of 2.61 and a debt-to-equity ratio of 0.32. The business has a 50-day moving average price of $261.40 and a 200 day moving average price of $218.00.

Applied Materials (NASDAQ:AMAT) last issued its quarterly earnings results on Thursday, November 13th. The manufacturing equipment provider reported $2.17 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.11 by $0.06. The company had revenue of $6.80 billion for the quarter, compared to the consensus estimate of $6.68 billion. Applied Materials had a return on equity of 39.26% and a net margin of 24.67%.Applied Materials’s revenue for the quarter was down 3.5% on a year-over-year basis. During the same quarter in the prior year, the business posted $2.32 earnings per share. Applied Materials has set its Q1 2026 guidance at 1.980-2.380 EPS. Sell-side analysts predict that Applied Materials will post 9.38 earnings per share for the current fiscal year.

Applied Materials Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, March 12th. Investors of record on Thursday, February 19th will be issued a $0.46 dividend. This represents a $1.84 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Thursday, February 19th. Applied Materials’s payout ratio is presently 21.20%.

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.