Generate Investment Management Ltd Buys Shares of 36,882 Applied Materials, Inc. $AMAT

Key Points

• Generate Investment Management Ltd opened a new position in Applied Materials in the first quarter, buying 36,882 shares valued at about $12.6 million.
• Institutional interest in AMAT remains strong, with several other hedge funds and investors increasing holdings and institutions now owning 80.56% of the stock.
• Wall Street sentiment is broadly positive: analysts have a consensus rating of Moderate Buy, though concerns remain about Applied Materials' elevated valuation after a sharp run-up in the share price.

Generate Investment Management Ltd bought a new position in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund bought 36,882 shares of the manufacturing equipment provider's stock, valued at approximately $12,606,000.

A number of other institutional investors and hedge funds have also recently made changes to their positions in AMAT. Brighton Jones LLC boosted its position in Applied Materials by 28.0% in the fourth quarter. Brighton Jones LLC now owns 12,674 shares of the manufacturing equipment provider's stock valued at $2,061,000 after buying an additional 2,771 shares in the last quarter. Sivia Capital Partners LLC increased its holdings in shares of Applied Materials by 26.7% during the second quarter. Sivia Capital Partners LLC now owns 3,225 shares of the manufacturing equipment provider's stock worth $590,000 after buying an additional 679 shares in the last quarter. Forefront Wealth Partners LLC acquired a new position in shares of Applied Materials during the second quarter worth $410,000. Schnieders Capital Management LLC. lifted its stake in shares of Applied Materials by 30.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 15,003 shares of the manufacturing equipment provider's stock valued at $2,747,000 after acquiring an additional 3,469 shares during the last quarter. Finally, Sei Investments Co. lifted its stake in shares of Applied Materials by 59.3% in the 2nd quarter. Sei Investments Co. now owns 422,694 shares of the manufacturing equipment provider's stock valued at $77,383,000 after acquiring an additional 157,426 shares during the last quarter. Institutional investors own 80.56% of the company's stock.

Wall Street Analysts Forecast Growth

AMAT has been the topic of a number of research reports. UBS Group boosted their price objective on Applied Materials from $515.00 to $570.00 and gave the stock a "buy" rating in a research report on Wednesday, June 10th. Zacks Research downgraded Applied Materials from a "strong-buy" rating to a "hold" rating in a research report on Monday, April 27th. Seaport Research Partners assumed coverage on Applied Materials in a research note on Monday, May 4th. They set a "buy" rating and a $500.00 price target on the stock. Royal Bank Of Canada boosted their price target on Applied Materials from $500.00 to $520.00 and gave the stock an "outperform" rating in a report on Friday, May 15th. Finally, Susquehanna boosted their price target on Applied Materials from $435.00 to $500.00 and gave the stock a "positive" rating in a report on Thursday, April 9th. Twenty-seven investment analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat.com, Applied Materials has a consensus rating of "Moderate Buy" and an average target price of $495.45.

Insider Activity

In other news, Director Thomas J. Iannotti sold 9,250 shares of Applied Materials stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $599.77, for a total value of $5,547,872.50. Following the completion of the transaction, the director directly owned 40,559 shares of the company's stock, valued at approximately $24,326,071.43. This trade represents a 18.57% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, SVP Omkaram Nalamasu sold 24,263 shares of the business's stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.43, for a total value of $14,398,392.09. Following the completion of the transaction, the senior vice president directly owned 146,916 shares in the company, valued at $87,184,361.88. This represents a 14.17% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 199,767 shares of company stock worth $114,104,709. 0.30% of the stock is owned by insiders.

Applied Materials News Summary

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

• Positive Sentiment: Citi raised its price target on Applied Materials to $710 from $550 and kept a Buy rating, signaling stronger confidence in the semiconductor equipment maker’s outlook. A Growing Supply Gap Has Analysts Eyeing Applied Materials (AMAT)
• Positive Sentiment: Reuters reported that Applied Materials signed a long-term deal with EssilorLuxottica to develop augmented-reality display technology and AI glasses, expanding its opportunity in emerging wearable and AI-related markets. Applied Materials (AMAT) and EssilorLuxottica Sign Long-Term Deal, Reuters Reports
• Positive Sentiment: Recent commentary says AI demand may help justify AMAT’s premium valuation, with investors focusing on the company’s role in semiconductor and AI infrastructure spending. Applied Materials Is Now More Expensive Than Its Dot-Com Era Peak. AI Demand Justifies the AMAT Stock Valuation.
• Neutral Sentiment: Insider Prabu G. Raja sold 10,000 shares, a routine filing that may draw attention but does not necessarily indicate a change in the company’s fundamentals. SEC Form 4 filing
• Negative Sentiment: Some articles highlighted concerns that AMAT’s valuation is becoming stretched, which could limit near-term upside if growth expectations cool. Applied Materials Stock Looks Pricey—Can AI Demand Justify the Rally?

Applied Materials Trading Up 3.7%

NASDAQ:AMAT opened at $640.18 on Tuesday. The firm's fifty day moving average is $455.89 and its 200-day moving average is $368.31. The company has a debt-to-equity ratio of 0.22, a quick ratio of 1.80 and a current ratio of 2.51. Applied Materials, Inc. has a 52 week low of $154.46 and a 52 week high of $641.18. The firm has a market cap of $508.28 billion, a P/E ratio of 60.11, a P/E/G ratio of 1.72 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. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The company had revenue of $7.91 billion during the quarter, compared to analysts' expectations of $7.68 billion. During the same period in the prior year, the company posted $2.39 earnings per share. Applied Materials's revenue for the quarter was up 11.4% compared to the same quarter last year. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. Equities analysts expect that Applied Materials, Inc. will post 12.1 earnings per share for the current year.

Applied Materials Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders 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 yield of 0.3%. The ex-dividend date is Thursday, August 20th. Applied Materials's dividend payout ratio (DPR) is presently 19.91%.

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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