Generate Investment Management Ltd Makes New $5.50 Million Investment in Applied Materials, Inc. (NASDAQ:AMAT)

Generate Investment Management Ltd purchased a new position in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor purchased 37,864 shares of the manufacturing equipment provider's stock, valued at approximately $5,495,000.

Several other hedge funds and other institutional investors have also made changes to their positions in AMAT. Norges Bank purchased a new position in shares of Applied Materials in the fourth quarter valued at approximately $1,588,422,000. GAMMA Investing LLC lifted its position in shares of Applied Materials by 18,402.1% in the first quarter. GAMMA Investing LLC now owns 1,824,304 shares of the manufacturing equipment provider's stock valued at $2,647,430,000 after acquiring an additional 1,814,444 shares in the last quarter. Northern Trust Corp lifted its position in shares of Applied Materials by 18.6% in the fourth quarter. Northern Trust Corp now owns 10,230,464 shares of the manufacturing equipment provider's stock valued at $1,663,780,000 after acquiring an additional 1,602,645 shares in the last quarter. Kovitz Investment Group Partners LLC lifted its position in shares of Applied Materials by 301.6% in the fourth quarter. Kovitz Investment Group Partners LLC now owns 1,959,997 shares of the manufacturing equipment provider's stock valued at $318,754,000 after acquiring an additional 1,471,953 shares in the last quarter. Finally, Two Sigma Investments LP lifted its position in shares of Applied Materials by 10,767.6% in the fourth quarter. Two Sigma Investments LP now owns 1,347,580 shares of the manufacturing equipment provider's stock valued at $219,157,000 after acquiring an additional 1,335,180 shares in the last quarter. Hedge funds and other institutional investors own 80.56% of the company's stock.

Analyst Ratings Changes

Several research firms have recently weighed in on AMAT. Cantor Fitzgerald raised their target price on Applied Materials from $200.00 to $220.00 and gave the company an "overweight" rating in a research report on Tuesday. B. Riley decreased their target price on Applied Materials from $250.00 to $215.00 and set a "buy" rating on the stock in a research report on Monday, May 12th. Citigroup lifted their price objective on Applied Materials from $170.00 to $190.00 and gave the stock a "buy" rating in a research report on Friday, May 16th. TD Cowen reduced their price objective on Applied Materials from $225.00 to $220.00 and set a "buy" rating on the stock in a research report on Friday, May 16th. Finally, Edward Jones upgraded Applied Materials from a "hold" rating to a "buy" rating in a research report on Wednesday, March 12th. Seven analysts have rated the stock with a hold rating and sixteen have given a buy rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $200.24.

Applied Materials Price Performance

AMAT stock opened at $180.18 on Wednesday. The business has a fifty day moving average of $160.35 and a two-hundred day moving average of $163.00. The company has a quick ratio of 1.76, a current ratio of 2.46 and a debt-to-equity ratio of 0.29. The stock has a market cap of $144.59 billion, a price-to-earnings ratio of 21.92, a price-to-earnings-growth ratio of 1.91 and a beta of 1.67. Applied Materials, Inc. has a 52-week low of $123.74 and a 52-week high of $255.89.

Applied Materials (NASDAQ:AMAT - Get Free Report) last issued its quarterly earnings data on Thursday, May 15th. The manufacturing equipment provider reported $2.39 earnings per share for the quarter, beating analysts' consensus estimates of $2.31 by $0.08. Applied Materials had a return on equity of 40.15% and a net margin of 24.06%. The business had revenue of $7.10 billion during the quarter, compared to analysts' expectations of $7.12 billion. During the same period in the previous year, the firm posted $2.09 earnings per share. The company's revenue was up 6.8% on a year-over-year basis. As a group, research analysts anticipate that Applied Materials, Inc. will post 9.38 earnings per share for the current year.

Applied Materials Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 11th. Stockholders of record on Thursday, August 21st will be paid a $0.46 dividend. The ex-dividend date of this dividend is Thursday, August 21st. This represents a $1.84 dividend on an annualized basis and a dividend yield of 1.02%. Applied Materials's payout ratio is presently 22.38%.

Applied Materials announced that its Board of Directors has initiated a share buyback program on Monday, March 10th that allows the company to buyback $10.00 billion in shares. This buyback authorization allows the manufacturing equipment provider to purchase up to 8.2% of its shares through open market purchases. Shares buyback programs are often a sign that the company's board of directors believes its shares are undervalued.

Insider Activity

In related news, CEO Gary E. Dickerson bought 50,000 shares of the stock in a transaction that occurred on Thursday, April 3rd. The stock was purchased at an average cost of $137.30 per share, with a total value of $6,865,000.00. Following the purchase, the chief executive officer now directly owns 1,716,058 shares of the company's stock, valued at $235,614,763.40. This trade represents a 3.00% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CAO Adam Sanders sold 450 shares of Applied Materials stock in a transaction dated Tuesday, April 1st. The stock was sold at an average price of $144.83, for a total value of $65,173.50. Following the sale, the chief accounting officer now directly owns 6,077 shares of the company's stock, valued at $880,131.91. This trade represents a 6.89% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.24% of the company's stock.

Applied Materials Profile

Applied Materials, Inc engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. The Semiconductor Systems segment develops, manufactures, and sells various manufacturing equipment that is used to fabricate semiconductor chips or integrated circuits.

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