Formuepleje A S Sells 11,285 Shares of Applied Materials, Inc. $AMAT

Key Points

• Formuepleje A S reduced its Applied Materials position by 57.4%, selling 11,285 shares and retaining 8,381 shares valued at approximately $6.1 million. Institutional investors collectively own 80.56% of the company.
• Applied Materials reported quarterly earnings of $3.50 per share on $9.12 billion in revenue, exceeding estimates, while revenue increased 24.8% year over year. AI-related semiconductor equipment demand, including advanced packaging and HBM, is supporting the growth outlook.
• Analysts maintain a generally positive view, with a consensus “Moderate Buy” rating and a $658.45 price target, though valuation and semiconductor-cycle risks remain concerns. Company insiders sold 231,692 shares worth about $146.1 million over the past 90 days.

Formuepleje A S trimmed its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 57.4% in the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 8,381 shares of the manufacturing equipment provider's stock after selling 11,285 shares during the period. Formuepleje A S's holdings in Applied Materials were worth $6,059,000 as of its most recent SEC filing.

Other institutional investors have also recently bought and sold shares of the company. Cornerstone Financial Management LLC bought a new stake in shares of Applied Materials during the fourth quarter worth $25,000. Wilkerson Advisory Group LLC acquired a new stake in shares of Applied Materials in the fourth quarter valued at $26,000. Harborfront Financial Group LLC bought a new position in shares of Applied Materials in the second quarter valued at about $27,000. Financial Freedom LLC acquired a new position in Applied Materials during the 1st quarter worth about $28,000. Finally, Dogwood Wealth Management LLC grew its holdings in Applied Materials by 52.4% during the 4th quarter. Dogwood Wealth Management LLC now owns 128 shares of the manufacturing equipment provider's stock worth $33,000 after acquiring an additional 44 shares during the last quarter. Institutional investors own 80.56% of the company's stock.

Key Applied Materials News

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

• Positive Sentiment: AI-driven equipment demand remains the main catalyst. Growth in advanced packaging, DRAM and high-bandwidth memory (HBM), along with accelerating global fab investment, is strengthening the outlook for Applied Materials’ equipment orders. AMAT Rides on AI-Led WFE Demand: Can it Sustain the Momentum?
• Positive Sentiment: Raised forecasts have driven a major valuation re-rating. Although trailing-twelve-month revenue growth was only 7.8%, management reportedly increased its forecast twice between February and August as semiconductor demand expectations improved. That forward-growth story helps explain the stock’s roughly 180% one-year return. Why Did Applied Materials Stock Nearly Triple On Single-Digit Trailing Revenue Growth?
• Positive Sentiment: Analyst expectations are improving. UBS projected strong potential appreciation for AMAT, while another analyst raised the fiscal 2027 EPS estimate, signaling continued confidence in earnings growth and semiconductor capital spending. UBS Group Forecasts Strong Price Appreciation for Applied Materials FY2027 EPS Estimate for Applied Materials Boosted by Analyst
• Neutral Sentiment: Valuation remains a key debate. Despite a recent pullback, AMAT has gained about 237% over five years, leaving investors questioning how much AI and semiconductor-cycle optimism is already reflected in the shares. Can Applied Materials Still Look Cheap After a 237% Run?
• Negative Sentiment: Industry-cycle risks have not disappeared. Optimism about a permanently stronger semiconductor cycle is tempered by potential memory-capacity imbalances, which could pressure chipmakers’ capital spending if supply expands faster than demand. SEMIs CEO Has Watched Four Decades of Chip Cycles

Insiders Place Their Bets

In other news, CFO Brice Hill sold 7,500 shares of Applied Materials 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 sale, the chief financial officer directly owned 128,613 shares in the company, valued at $61,637,780.25. This trade represents a 5.51% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Thomas Iannotti sold 9,250 shares of the business's stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $599.77, for a total transaction of $5,547,872.50. Following the sale, the director directly owned 40,559 shares in the company, valued at $24,326,071.43. This trade represents a 18.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 231,692 shares of company stock worth $146,114,059 in the last ninety days. 0.30% of the stock is owned by insiders.

Wall Street Analyst Weigh In

AMAT has been the subject of a number of research analyst reports. Wall Street Zen raised shares of Applied Materials from a "hold" rating to a "buy" rating in a research note on Saturday, August 15th. Argus set a $600.00 price target on shares of Applied Materials in a research note on Tuesday, August 18th. Truist Financial set a $575.00 price target on shares of Applied Materials in a report on Thursday, May 28th. Royal Bank Of Canada upped their price objective on Applied Materials from $520.00 to $600.00 and gave the stock an "outperform" rating in a report on Friday, August 14th. Finally, Mizuho decreased their price objective on Applied Materials from $650.00 to $590.00 and set an "outperform" rating on the stock in a research report on Tuesday, August 25th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $658.45.

Applied Materials Price Performance

Shares of NASDAQ AMAT opened at $454.71 on Monday. Applied Materials, Inc. has a 52-week low of $158.82 and a 52-week high of $739.67. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.79 and a current ratio of 2.42. The stock has a market cap of $360.86 billion, a P/E ratio of 39.20, a P/E/G ratio of 1.27 and a beta of 1.60. The firm has a 50 day moving average price of $533.24 and a 200 day moving average price of $461.33.

Applied Materials (NASDAQ:AMAT - Get Free Report) last announced its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share for the quarter, topping analysts' consensus estimates of $3.40 by $0.10. The company had revenue of $9.12 billion for the quarter, compared to analysts' expectations of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The business's quarterly revenue was up 24.8% compared to the same quarter last year. During the same period last year, the firm posted $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Analysts expect that Applied Materials, Inc. will post 12.76 EPS for the current year.

Applied Materials Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date is Thursday, August 20th. Applied Materials's dividend payout ratio (DPR) is presently 18.28%.

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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