Prabu Raja Sells 10,000 Shares of Applied Materials (NASDAQ:AMAT) Stock

Applied Materials, Inc. (NASDAQ:AMAT) insider Prabu Raja sold 10,000 shares of Applied Materials stock in a transaction on Thursday, June 18th. The shares were sold at an average price of $633.53, for a total transaction of $6,335,300.00. Following the transaction, the insider owned 346,642 shares in the company, valued at $219,608,106.26. The trade was a 2.80% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link.

Applied Materials Stock Up 3.7%

NASDAQ AMAT traded up $23.07 during trading hours on Monday, hitting $640.18. The company had a trading volume of 10,447,202 shares, compared to its average volume of 7,747,989. The firm’s 50 day moving average is $451.05 and its 200 day moving average is $365.67. The company has a market capitalization of $508.28 billion, a price-to-earnings ratio of 60.11, a P/E/G ratio of 1.72 and a beta of 1.67. Applied Materials, Inc. has a fifty-two week low of $154.46 and a fifty-two week high of $641.18. The company has a debt-to-equity ratio of 0.22, a current ratio of 2.51 and a quick ratio of 1.80.

Applied Materials (NASDAQ:AMAT) last posted its quarterly earnings data on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share for the quarter, beating analysts’ consensus estimates of $2.68 by $0.18. The company had revenue of $7.91 billion during the quarter, compared to analysts’ expectations of $7.68 billion. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The firm’s revenue for the quarter was up 11.4% on a year-over-year basis. During the same period in the prior year, the company posted $2.39 EPS. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. Sell-side analysts anticipate that Applied Materials, Inc. will post 12.1 earnings per share for the current fiscal year.

Applied Materials Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date is Thursday, August 20th. Applied Materials’s dividend payout ratio (DPR) is 19.91%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Financial Freedom LLC purchased a new position in Applied Materials in the 1st quarter worth about $28,000. Cornerstone Financial Management LLC purchased a new position in shares of Applied Materials in the fourth quarter worth approximately $25,000. Whipplewood Advisors LLC raised its holdings in shares of Applied Materials by 218.8% during the first quarter. Whipplewood Advisors LLC now owns 102 shares of the manufacturing equipment provider’s stock valued at $35,000 after acquiring an additional 70 shares during the period. Wilkerson Advisory Group LLC acquired a new stake in shares of Applied Materials during the fourth quarter valued at approximately $26,000. Finally, MBM Wealth Consultants LLC purchased a new stake in shares of Applied Materials in the 1st quarter valued at approximately $38,000. Institutional investors own 80.56% of the company’s stock.

Applied Materials News Roundup

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

• Positive Sentiment: Citi raised its price target on Applied Materials to $710 from $550 and kept a Buy rating, signaling stronger confidence in the company’s semiconductor equipment business and supporting the stock’s premium valuation. A Growing Supply Gap Has Analysts Eyeing Applied Materials (AMAT)
• Positive Sentiment: Applied Materials announced a long-term deal with EssilorLuxottica to develop augmented reality display technology and AI glasses, expanding its exposure to a new growth market beyond traditional chip tools. Applied Materials (AMAT) and EssilorLuxottica Sign Long-Term Deal, Reuters Reports
• Positive Sentiment: Recent coverage notes that AI demand is helping justify AMAT’s elevated valuation, with investors still willing to bid up shares despite concerns that the stock looks expensive on traditional metrics. Applied Materials Is Now More Expensive Than Its Dot-Com Era Peak. AI Demand Justifies the AMAT Stock Valuation.
• Neutral Sentiment: Commentary highlighting that AMAT is among the more overvalued quantum-computing-related stocks and trades at a forward P/E of 37.54 may temper enthusiasm, but it has not yet outweighed the bullish news flow. A Growing Supply Gap Has Analysts Eyeing Applied Materials (AMAT)

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the company. The Goldman Sachs Group boosted their price target on Applied Materials from $390.00 to $520.00 and gave the company a “buy” rating in a report on Friday, May 15th. Raymond James Financial set a $650.00 price objective on Applied Materials in a research note on Wednesday, June 10th. KeyCorp lifted their price objective on shares of Applied Materials from $450.00 to $550.00 and gave the stock an “overweight” rating in a report on Friday, May 15th. HSBC began coverage on shares of Applied Materials in a research note on Friday, May 8th. They set a “buy” rating and a $517.00 target price for the company. Finally, Cantor Fitzgerald increased their price objective on shares of Applied Materials from $575.00 to $650.00 and gave the stock an “overweight” rating in a research note on Wednesday, June 10th. Twenty-seven research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, Applied Materials currently has an average rating of “Moderate Buy” and an average target price of $495.45.

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.