Applied Materials (NASDAQ:AMAT) Shares Up 1.2% Following Analyst Upgrade

Applied Materials, Inc. (NASDAQ:AMAT)’s stock price was up 1.2% during mid-day trading on Wednesday after Mizuho upgraded the stock from a hold rating to an outperform rating. Mizuho now has a $370.00 price target on the stock, up from their previous price target of $275.00. Applied Materials traded as high as $344.04 and last traded at $336.75. Approximately 8,408,072 shares traded hands during mid-day trading, an increase of 10% from the average daily volume of 7,635,635 shares. The stock had previously closed at $332.71.

Other equities research analysts also recently issued research reports about the stock. Craig Hallum reaffirmed a “hold” rating and set a $190.00 price target on shares of Applied Materials in a research note on Friday, November 14th. Sanford C. Bernstein reaffirmed a “market perform” rating and set a $325.00 target price on shares of Applied Materials in a research report on Monday, January 12th. Bank of America increased their price target on Applied Materials from $300.00 to $350.00 and gave the company a “buy” rating in a report on Tuesday, January 13th. The Goldman Sachs Group restated a “buy” rating and set a $310.00 price objective on shares of Applied Materials in a research note on Friday, January 9th. Finally, Stifel Nicolaus upped their target price on Applied Materials from $250.00 to $340.00 and gave the company a “buy” rating in a research report on Wednesday, January 14th. Twenty-four investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $298.14.

Insider Activity at Applied Materials

In related news, SVP Teri A. Little sold 4,000 shares of the firm’s stock in a transaction on Tuesday, November 25th. The stock was sold at an average price of $238.24, for a total transaction of $952,960.00. Following the transaction, 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 sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Adam Sanders sold 609 shares of the business’s stock in a transaction 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 sale, the chief accounting officer owned 4,413 shares of the company’s stock, valued at approximately $1,127,653.89. The trade was a 12.13% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 8,609 shares of company stock worth $2,044,898. Corporate insiders own 0.24% of the company’s stock.

Applied Materials News Summary

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

• Positive Sentiment: Mizuho upgraded AMAT to Outperform and raised its price target to $370, citing accelerating WFE (wafer fab equipment) spending as a multi‑year tailwind. Mizuho Upgrades Applied Materials (AMAT) to Outperform on Global WFE Tailwinds
• Positive Sentiment: Key analysts (including KeyBanc and others cited across outlets) have raised price targets (KeyBanc to $380) and highlighted AMAT’s diversified position in deposition/etch and benefits from increased chip manufacturing intensity. Mizuho upgrades Applied Materials to Outperform as WFE spending accelerates
• Positive Sentiment: Several buy‑side pieces (Seeking Alpha, analyst blogs) call AMAT an attractive buy into the upcoming Q1 report, pointing to semiconductor momentum and durable multi‑year tailwinds. Applied Materials: Attractive Buy Ahead Of The Q1 2026 Report
• Neutral Sentiment: Options activity shows large institutional/speculative positioning (“whales”), which can amplify moves in either direction but doesn’t guarantee fundamental change. Traders should watch open interest and expiries. This Is What Whales Are Betting On Applied Materials
• Neutral Sentiment: Industry discussion is underway about AMAT’s ability to challenge ASML at the high end — a long‑term strategic theme that could support upside but is uncertain and execution‑dependent. Can AMAT Break ASML’s Monopoly?
• Negative Sentiment: Zacks highlights rising trade and cost pressures that could offset semiconductor momentum — a nearer‑term risk to margins and guidance that may be pressuring the stock today. Applied Materials leads Zacks’ latest Analyst Blog
• Negative Sentiment: Technical/valuation factors: AMAT has run sharply higher over the past year and now trades at an elevated multiple (PE and PEG above historical norms). Higher trading volume on the pullback suggests profit‑taking and short‑term selling pressure. (Background market data.)

Hedge Funds Weigh In On Applied Materials

Institutional investors have recently made changes to their positions in the stock. Godsey & Gibb Inc. grew its holdings in Applied Materials by 2.6% during the fourth quarter. Godsey & Gibb Inc. now owns 1,298 shares of the manufacturing equipment provider’s stock worth $334,000 after purchasing an additional 33 shares during the period. Family Capital Management Inc. lifted its position in shares of Applied Materials by 0.8% in the fourth quarter. Family Capital Management Inc. now owns 4,227 shares of the manufacturing equipment provider’s stock valued at $1,086,000 after buying an additional 33 shares during the last quarter. Traveka Wealth LLC boosted its stake 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 acquiring an additional 36 shares during the period. Highline Wealth Partners LLC increased its holdings in shares of 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 acquiring an additional 38 shares during the last quarter. Finally, Bartlett & CO. Wealth Management LLC raised its stake in Applied Materials by 0.9% in the 4th quarter. Bartlett & CO. Wealth Management LLC now owns 4,096 shares of the manufacturing equipment provider’s stock valued at $1,053,000 after acquiring an additional 38 shares during the period. 80.56% of the stock is owned by institutional investors.

Applied Materials Stock Down 5.6%

The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.87 and a current ratio of 2.61. The firm has a fifty day simple moving average of $281.15 and a 200-day simple moving average of $227.03. The firm has a market cap of $255.83 billion, a price-to-earnings ratio of 37.13, a P/E/G ratio of 3.06 and a beta of 1.67.

Applied Materials (NASDAQ:AMAT) last released its quarterly earnings data on Thursday, November 13th. The manufacturing equipment provider reported $2.17 EPS for the quarter, beating the consensus estimate of $2.11 by $0.06. The firm had revenue of $6.80 billion for the quarter, compared to the consensus estimate of $6.68 billion. Applied Materials had a net margin of 24.67% and a return on equity of 39.26%. The company’s quarterly revenue was down 3.5% on a year-over-year basis. During the same period in the previous year, the company earned $2.32 earnings per share. Applied Materials has set its Q1 2026 guidance at 1.980-2.380 EPS. As a group, sell-side analysts expect that Applied Materials, Inc. will post 9.38 EPS for the current year.

Applied Materials Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be issued a dividend of $0.46 per share. This represents a $1.84 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date is Thursday, February 19th. Applied Materials’s payout ratio is currently 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.