Applied Materials, Inc. $AMAT Stake Lowered by Stenger Family Office LLC

Key Points

• Stenger Family Office LLC cut its Applied Materials stake by 44.1% in the fourth quarter, ending with 5,638 shares worth about $1.45 million after selling 4,455 shares.
• Insider selling has also been notable: SVP Omkaram Nalamasu and insider Prabu G. Raja both sold large blocks of shares, and insiders have sold 189,767 shares worth about $107.8 million over the past 90 days.
• Despite the selling, analyst sentiment remains bullish overall, with 27 Buy ratings, 8 Hold ratings, and a consensus Moderate Buy rating; the average price target is $489.16 while several firms have recently raised targets or upgraded the stock.

Stenger Family Office LLC trimmed its stake in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 44.1% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 5,638 shares of the manufacturing equipment provider's stock after selling 4,455 shares during the quarter. Stenger Family Office LLC's holdings in Applied Materials were worth $1,449,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds have also made changes to their positions in the stock. Cornerstone Financial Management LLC bought a new position in Applied Materials during the 4th quarter worth $25,000. Redmont Wealth Advisors LLC acquired a new stake in Applied Materials in the third quarter worth $26,000. Wilkerson Advisory Group LLC bought a new stake in Applied Materials in the fourth quarter valued at $26,000. Highline Wealth Partners LLC lifted its stake in Applied Materials by 48.7% in the fourth quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider's stock valued at $30,000 after buying an additional 38 shares during the last quarter. Finally, Joseph Group Capital Management acquired a new position in shares of Applied Materials during the fourth quarter valued at $31,000. Institutional investors own 80.56% of the company's stock.

Insiders Place Their Bets

In related news, SVP Omkaram Nalamasu sold 24,263 shares of the firm's stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $593.43, for a total transaction of $14,398,392.09. Following the completion of the transaction, the senior vice president owned 146,916 shares of the company's stock, valued at $87,184,361.88. This trade represents a 14.17% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Prabu G. Raja sold 50,000 shares of Applied Materials stock in a transaction dated Thursday, June 4th. The stock was sold at an average price of $505.28, for a total value of $25,264,000.00. Following the transaction, the insider directly owned 356,642 shares in the company, valued at approximately $180,204,069.76. The trade was a 12.30% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 189,767 shares of company stock valued at $107,769,409. 0.30% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on AMAT shares. Erste Group Bank upgraded shares of Applied Materials from a "hold" rating to a "buy" rating in a research report on Monday, April 27th. Susquehanna lifted their price objective on shares of Applied Materials from $435.00 to $500.00 and gave the company a "positive" rating in a research report on Thursday, April 9th. Wolfe Research boosted their target price on shares of Applied Materials from $500.00 to $550.00 and gave the company an "outperform" rating in a research note on Friday, May 15th. Raymond James Financial set a $650.00 target price on shares of Applied Materials in a research report on Wednesday, June 10th. Finally, Wall Street Zen upgraded shares of Applied Materials from a "hold" rating to a "buy" rating in a research note on Saturday, May 23rd. Twenty-seven research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Applied Materials has a consensus rating of "Moderate Buy" and an average price target of $489.16.

Key Applied Materials News

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

• Positive Sentiment: Applied Materials’ AGS services business is being highlighted as a long-term growth engine, with AI-enabled services and expanding margins potentially creating more recurring revenue. Can AMAT's AGS Business Become a Long-Term Growth Driver?
• Positive Sentiment: Shares are benefiting from renewed enthusiasm around AI demand and strong earnings momentum, with articles noting the stock has been hitting new highs after solid results and upbeat guidance. AI Demand, Earnings Send Applied Materials to New Highs
• Positive Sentiment: Applied Materials launched SENZ with Qualcomm and EssilorLuxottica for AI eyewear, reinforcing investor hopes that the company can expand beyond core chipmaking tools into adjacent growth markets. Applied Materials (AMAT) Launches SENZ With Qualcomm And EssilorLuxottica For AI Eyewear
• Positive Sentiment: Analyst sentiment remains constructive, with higher price targets such as Citi’s $710 view helping fuel the rally by suggesting AI demand can justify the premium valuation. Applied Materials (AMAT) Stock Rallies 8.75% on Citi’s Bullish $710 Price Target
• Neutral Sentiment: Several insiders, including CEO Gary Dickerson and SVP Omkaram Nalamasu, sold shares this week; while the sales were small relative to their remaining holdings, they can weigh on sentiment. Why Applied Materials Insiders Sold $65 Million Worth of Stock
• Neutral Sentiment: Some commentary warns the stock looks expensive after a sharp year-to-date surge, with valuation comparisons to the dot-com era potentially prompting caution despite the strong fundamental backdrop. Applied Materials stock valuation and performance

Applied Materials Price Performance

NASDAQ AMAT opened at $617.11 on Friday. Applied Materials, Inc. has a 12 month low of $154.46 and a 12 month high of $638.90. The company has a debt-to-equity ratio of 0.22, a current ratio of 2.51 and a quick ratio of 1.80. The firm has a market capitalization of $489.96 billion, a PE ratio of 57.94, a P/E/G ratio of 1.72 and a beta of 1.67. The company's 50 day simple moving average is $451.05 and its 200 day simple moving average is $364.90.

Applied Materials (NASDAQ:AMAT - Get Free Report) last released its earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share for the quarter, topping analysts' consensus estimates of $2.68 by $0.18. The firm had revenue of $7.91 billion during the quarter, compared to the consensus estimate of $7.68 billion. Applied Materials had a return on equity of 36.97% and a net margin of 29.31%.The firm's revenue for the quarter was up 11.4% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.39 earnings per share. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. As a group, equities research analysts forecast that Applied Materials, Inc. will post 12.1 EPS for the current fiscal year.

Applied Materials Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Thursday, August 20th will be issued a $0.53 dividend. The ex-dividend date is Thursday, August 20th. This represents a $2.12 annualized dividend and a dividend yield of 0.3%. Applied Materials's dividend payout ratio is 19.91%.

Applied Materials Profile

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.

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