Cobalt Capital Management Inc. Buys New Shares in Applied Materials, Inc. $AMAT

Key Points

• Cobalt Capital Management initiated a new position in Applied Materials during the fourth quarter, buying 41,000 shares valued at about $10.5 million. The stake now represents 4.7% of the fund’s portfolio and is its 7th-largest holding.
• Wall Street sentiment remains upbeat: several analysts raised price targets, and the stock has a Moderate Buy consensus with an average target of $489.16. Barclays, UBS, Needham, Argus and Erste Group all recently issued more positive views.
• Applied Materials reported strong quarterly results, beating EPS and revenue expectations, while also announcing a quarterly dividend of $0.53 per share. However, recent insider sales by the CEO and a director totaled more than $107 million over the last 90 days.

Cobalt Capital Management Inc. bought a new stake in Applied Materials, Inc. (NASDAQ:AMAT - Free Report) during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund bought 41,000 shares of the manufacturing equipment provider's stock, valued at approximately $10,537,000. Applied Materials comprises 4.7% of Cobalt Capital Management Inc.'s portfolio, making the stock its 7th biggest position.

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

Analyst Ratings Changes

Several research firms have issued reports on AMAT. Barclays upped their price objective on Applied Materials from $500.00 to $590.00 and gave the company an "overweight" rating in a research note on Thursday, June 11th. Erste Group Bank upgraded Applied Materials from a "hold" rating to a "buy" rating in a research note on Monday, April 27th. Argus upped their price objective on Applied Materials from $420.00 to $500.00 and gave the company a "buy" rating in a research note on Tuesday, May 19th. Needham & Company LLC upped their price objective on Applied Materials from $440.00 to $530.00 and gave the company a "buy" rating in a research note on Friday, May 15th. Finally, UBS Group upped their price objective on Applied Materials from $515.00 to $570.00 and gave the company a "buy" rating in a research note on Wednesday, June 10th. Twenty-seven investment analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $489.16.

Insider Buying and Selling

In other news, Director Thomas J. Iannotti sold 9,250 shares of the business's stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $599.77, for a total value of $5,547,872.50. Following the completion of the sale, the director owned 40,559 shares of the company's stock, valued at approximately $24,326,071.43. The trade was a 18.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Gary E. Dickerson sold 71,727 shares of the business's stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.75, for a total transaction of $42,587,906.25. Following the completion of the sale, the chief executive officer directly owned 1,695,164 shares of the company's stock, valued at approximately $1,006,503,625. The trade was a 4.06% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 189,767 shares of company stock valued at $107,769,409 in the last 90 days. 0.30% of the stock is currently owned by corporate insiders.

Applied Materials Price Performance

Applied Materials stock opened at $592.92 on Thursday. Applied Materials, Inc. has a 12 month low of $154.46 and a 12 month high of $623.35. The stock's 50 day moving average is $441.16 and its 200-day moving average is $360.55. The company has a current ratio of 2.51, a quick ratio of 1.80 and a debt-to-equity ratio of 0.22. The company has a market capitalization of $470.75 billion, a price-to-earnings ratio of 55.67, a PEG ratio of 1.58 and a beta of 1.67.

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

Applied Materials Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Thursday, August 20th will be given a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials's payout ratio is presently 19.91%.

Trending Headlines about Applied Materials

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

• Positive Sentiment: Citi raised its price target on Applied Materials, boosting confidence that AI infrastructure spending and demand for memory-chip manufacturing tools will keep growth strong. Applied Materials surges as Citi lifts target on AI demand boom
• Positive Sentiment: The company unveiled SENZ, an integrated AI/AR smart-glasses visual platform, expanding its story beyond semiconductor equipment into next-generation optics and wearable tech. EssilorLuxottica and Applied Materials Join Forces to Advance Augmented Reality Optics Platforms for Next-Generation Smart Glasses
• Positive Sentiment: Applied Materials and EssilorLuxottica announced a long-term partnership to develop AR and AI smart-eyewear optics, suggesting an additional growth avenue and validating AMAT’s materials expertise. EssilorLuxottica, Applied Materials strike deal to develop smart glasses, AR technology
• Positive Sentiment: Multiple reports highlighted record highs and strong momentum for chip-equipment stocks, with AMAT benefiting from the broader AI-driven rally in semiconductor capital equipment. Applied Materials Stock Is One Of the S&P 500 Leaders Today. It's AI.

Applied Materials Company 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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