Applied Materials, Inc. $AMAT Holdings Decreased by Pinnacle Associates Ltd.

Key Points

• Pinnacle Associates reduced its Applied Materials stake by 21% in the third quarter, selling 19,430 shares and retaining 73,249 shares valued at approximately $37.5 million.
• Institutional ownership remains high at 80.56%, with major investors including State Street and BlackRock increasing their positions during the second quarter.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and a $632.70 price target. Applied Materials also exceeded quarterly earnings and revenue expectations, while insiders sold about $4.45 million of stock over the past 90 days.

Pinnacle Associates Ltd. lowered its stake in Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 21.0% in the 3rd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 73,249 shares of the manufacturing equipment provider's stock after selling 19,430 shares during the quarter. Pinnacle Associates Ltd.'s holdings in Applied Materials were worth $37,458,000 at the end of the most recent quarter.

Several other institutional investors have also bought and sold shares of the stock. State Street Corp increased its stake in Applied Materials by 85.4% during the 2nd quarter. State Street Corp now owns 69,525,842 shares of the manufacturing equipment provider's stock valued at $50,267,184,000 after buying an additional 32,018,892 shares during the period. Bank of America Corp DE bought a new stake in shares of Applied Materials during the 2nd quarter worth about $5,252,863,000. Jupiter Topco LLC bought a new stake in shares of Applied Materials during the 2nd quarter worth about $1,512,287,000. Amundi lifted its stake in shares of Applied Materials by 19.0% in the 2nd quarter. Amundi now owns 7,808,207 shares of the manufacturing equipment provider's stock worth $5,645,344,000 after acquiring an additional 1,246,876 shares during the period. Finally, BlackRock Inc. lifted its stake in shares of Applied Materials by 1.6% in the 2nd quarter. BlackRock Inc. now owns 80,212,518 shares of the manufacturing equipment provider's stock worth $57,993,650,000 after acquiring an additional 1,237,685 shares during the period. Institutional investors and hedge funds own 80.56% of the company's stock.

Analyst Ratings Changes

Several research analysts have recently issued reports on AMAT shares. TD Cowen reiterated a "buy" rating and issued a $700.00 price objective on shares of Applied Materials in a report on Friday, August 14th. Erste Group Bank cut Applied Materials from a "buy" rating to a "hold" rating in a report on Wednesday, August 5th. Craig Hallum boosted their target price on Applied Materials from $530.00 to $585.00 and gave the stock a "buy" rating in a report on Friday, August 14th. KeyCorp upped their target price on Applied Materials from $550.00 to $750.00 and gave the stock an "overweight" rating in a research report on Monday, June 29th. Finally, HC Wainwright set a $850.00 price target on Applied Materials in a research note on Monday, June 29th. Thirty equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $632.70.

Insider Buying and Selling

In related news, 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 transaction of $3,594,375.00. Following the completion of the sale, the chief financial officer directly owned 128,613 shares in the company, valued at approximately $61,637,780.25. This trade represents a 5.51% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Judy Bruner sold 1,000 shares of the firm'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 transaction of $465,000.00. Following the sale, the director owned 25,544 shares of the company's stock, valued at $11,877,960. The trade was a 3.77% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 9,225 shares of company stock worth $4,454,181 in the last ninety days. 0.30% of the stock is currently owned by corporate insiders.

Key Stories Impacting Applied Materials

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

• Positive Sentiment: Industry research projects the global e-beam wafer-inspection systems market will expand from $1.3 billion in 2024 to $3.6 billion by 2030. Increasingly complex semiconductor nodes, higher yield requirements and AI-driven data processing could support long-term demand for Applied Materials’ inspection-related equipment. E-Beam Wafer Inspection Systems Market Forecasts Growth
• Positive Sentiment: Applied Materials was recognized as a 2027 Conference Board Innovation Awards honoree, highlighting its technology development efforts, although the award is unlikely to materially affect near-term earnings. The Conference Board Announces Innovation Awards Honorees
• Neutral Sentiment: Analyst commentary remains broadly constructive: some firms continue raising earnings estimates and maintain price targets substantially above the current level. However, other analysis questions whether the company’s AI growth opportunity is already priced in after its strong one-year performance. Applied Materials Cratered 20% Since July
• Negative Sentiment: Applied Materials experienced approximately $58.8 million in net ETF selling on October 15, adding technical pressure and potentially contributing to the latest weakness. Applied Materials Sees Net ETF Selling
• Negative Sentiment: The decline occurred despite broader market gains, indicating investors may be locking in gains and reassessing AMAT’s elevated valuation following its strong advance. Recent results were solid—revenue rose 24.8% year over year and EPS exceeded consensus—but those positives may already be reflected in the share price. Applied Materials Stock Sinks as Market Gains

Applied Materials Price Performance

Shares of Applied Materials stock opened at $404.98 on Wednesday. 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 company's 50-day moving average price is $475.93 and its two-hundred day moving average price is $487.09. Applied Materials, Inc. has a 52 week low of $203.40 and a 52 week high of $739.67. The stock has a market cap of $321.39 billion, a PE ratio of 34.91, a price-to-earnings-growth ratio of 1.15 and a beta of 1.60.

Applied Materials (NASDAQ:AMAT - Get Free Report) last issued its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share for the quarter, beating analysts' consensus estimates of $3.40 by $0.10. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The company had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. During the same period in the prior year, the company earned $2.48 EPS. Applied Materials's revenue was up 24.8% on a year-over-year basis. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. As a group, sell-side analysts anticipate that Applied Materials, Inc. will post 12.79 EPS for the current fiscal year.

Applied Materials Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be issued a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date is Thursday, November 19th. Applied Materials's payout ratio is presently 18.28%.

Applied Materials Profile

Applied Materials, Inc is a technology company that supplies equipment, services and software used to manufacture semiconductors and advanced displays. Its products help customers fabricate the integrated circuits and other components used in computers, mobile devices, data centers, automobiles and a range of connected technologies.

The company's offerings include systems for materials engineering, wafer fabrication, inspection and process control, along with equipment and services designed to improve manufacturing productivity and yield.

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