Applied Materials (NASDAQ:AMAT) Stock Price Target Lowered at Jefferies Financial Group

Key Points

• Jefferies cut its Applied Materials price target from $770 to $580 but maintained a Buy rating; the new target implies 53.26% upside from the prior close.
• Analyst sentiment remains broadly positive: MarketBeat reports a “Moderate Buy” consensus and a $609.64 average target, despite several firms also lowering targets.
• Applied Materials reported quarterly EPS of $4.16 and revenue of $10.41 billion, both above estimates. Management’s outlook is supported by strong chip demand, particularly for AI, memory and advanced packaging.

Applied Materials (NASDAQ:AMAT - Get Free Report) had its target price decreased by stock analysts at Jefferies Financial Group from $770.00 to $580.00 in a research report issued on Friday, Benzinga reports. The firm currently has a "buy" rating on the manufacturing equipment provider's stock. Jefferies Financial Group's target price suggests a potential upside of 53.26% from the stock's previous close.

Other research analysts have also issued research reports about the company. The Goldman Sachs Group upped their price objective on Applied Materials from $645.00 to $670.00 and gave the stock a "buy" rating in a report on Friday, August 14th. Citigroup reiterated a "buy" rating and issued a $710.00 price objective (up from $550.00) on shares of Applied Materials in a research report on Monday, August 3rd. Stifel Nicolaus reduced their target price on Applied Materials from $650.00 to $600.00 and set a "buy" rating for the company in a report on Friday. Bank of America decreased their target price on shares of Applied Materials from $650.00 to $520.00 and set a "buy" rating on the stock in a research report on Friday. Finally, Seaport Research Partners reaffirmed a "buy" rating and set a $575.00 price target (up from $500.00) on shares of Applied Materials in a research note on Friday, August 14th. Twenty-nine equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $609.64.

Applied Materials Price Performance

Shares of AMAT opened at $378.44 on Friday. The company has a current ratio of 2.42, a quick ratio of 1.79 and a debt-to-equity ratio of 0.20. The stock's 50 day moving average is $439.22 and its two-hundred day moving average is $445.83. Applied Materials has a twelve month low of $203.40 and a twelve month high of $739.67. The firm has a market capitalization of $300.33 billion, a PE ratio of 32.63, a P/E/G ratio of 0.77 and a beta of 1.67.

Applied Materials (NASDAQ:AMAT - Get Free Report) last issued its earnings results on Thursday, November 12th. The manufacturing equipment provider reported $4.16 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.06 by $0.10. The business had revenue of $10.41 billion during the quarter, compared to the consensus estimate of $10.30 billion. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%. During the same period in the prior year, the business posted $2.17 EPS. Applied Materials has set its Q1 2027 guidance at 4.150-4.550 EPS. Research analysts anticipate that Applied Materials will post 12.79 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Judy Bruner sold 1,000 shares of the company's stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $465.00, for a total value of $465,000.00. Following the sale, the director owned 25,544 shares in the company, valued at $11,877,960. This represents a 3.77% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CFO Brice Hill sold 7,500 shares of the firm's stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $479.25, for a total value of $3,594,375.00. Following the completion of the transaction, the chief financial officer directly owned 128,613 shares of the company's stock, valued at $61,637,780.25. The trade was a 5.51% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 9,225 shares of company stock worth $4,454,181 in the last quarter. Company insiders own 0.30% of the company's stock.

Institutional Trading of Applied Materials

Large investors have recently bought and sold shares of the company. Harborfront Financial Group LLC acquired a new stake in Applied Materials in the 2nd quarter valued at about $27,000. Curry Webb Wealth Management LLC purchased a new position in Applied Materials during the 3rd quarter valued at about $30,000. Dakota Community Bank & Trust NA acquired a new position in Applied Materials during the third quarter worth about $31,000. Orion Capital Management LLC acquired a new position in Applied Materials during the second quarter worth about $33,000. Finally, Highland Investment Advisors LLC acquired a new position in Applied Materials during the second quarter worth about $33,000. Institutional investors and hedge funds own 80.56% of the company's stock.

Key Stories Impacting Applied Materials

Investors following AMAT have been watching these stories:

• Positive Sentiment: Fiscal Q4 revenue reached a record $10.41 billion, up 53% year over year, while adjusted EPS of $4.16 beat estimates. First-quarter revenue guidance of $10.6 billion–$11.6 billion also topped consensus, and management expects to outgrow the wafer-fab equipment market in 2027. Applied Materials Announces Fourth Quarter and Fiscal Year 2026 Results
• Positive Sentiment: Management said chip demand remains well above supply, with customers seeking earlier equipment deliveries. Strong AI, memory and advanced-packaging demand supports the growth outlook, though component and clean-room capacity limit how quickly Applied can ship. Applied Materials Says Chip Demand Remains Much Higher Than Supply
• Negative Sentiment: Several analysts cut price targets, including Bank of America ($650 to $520) and Needham ($580 to $470), although both maintained Buy ratings. Summit Insights also downgraded AMAT from Buy to Hold. These moves may signal reduced expectations and add pressure after the earnings announcement. Bank of America analyst rating

Applied Materials Company Profile

Applied Materials, Inc. develops and supplies equipment, software and services used to manufacture semiconductors and advanced displays. Its technologies help customers build and process materials at the microscopic scale required for chips and other electronic products. The company's offerings include systems for depositing, removing and modifying materials, as well as inspection, measurement and process-control tools. It also provides equipment and services for advanced semiconductor packaging and supports customers with maintenance, upgrades and manufacturing software.

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