Grandfield & Dodd LLC Has $179.32 Million Stock Holdings in Applied Materials, Inc. $AMAT

Key Points

• Grandfield & Dodd reduced its Applied Materials stake by 7.6% in the second quarter, selling 20,318 shares, but still held 248,027 shares valued at $179.32 million—9.4% of its portfolio and its largest position.
• Applied Materials reported strong quarterly results, with revenue rising 24.8% year over year to a record $9.12 billion and EPS of $3.50, while analysts remain bullish with a consensus “Moderate Buy” rating and a $659.83 price target.
• AI-related semiconductor demand is supporting the long-term outlook, particularly in advanced packaging and high-bandwidth memory, though the stock faces pressure from insider and institutional selling, elevated valuation concerns and a broader chip-equipment sector selloff.

Grandfield & Dodd LLC lessened its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 7.6% during the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 248,027 shares of the manufacturing equipment provider's stock after selling 20,318 shares during the period. Applied Materials comprises 9.4% of Grandfield & Dodd LLC's holdings, making the stock its largest holding. Grandfield & Dodd LLC's holdings in Applied Materials were worth $179,324,000 as of its most recent SEC filing.

Several other hedge funds also recently made changes to their positions in AMAT. WT Asset Management Ltd acquired a new stake in shares of Applied Materials in the second quarter valued at approximately $268,810,000. Auxano Advisors LLC acquired a new stake in Applied Materials during the second quarter worth approximately $376,000. Quent Capital LLC grew its position in Applied Materials by 4.3% during the second quarter. Quent Capital LLC now owns 3,832 shares of the manufacturing equipment provider's stock worth $2,771,000 after buying an additional 158 shares in the last quarter. IMG Wealth Management Inc. increased its stake in Applied Materials by 13.0% during the 2nd quarter. IMG Wealth Management Inc. now owns 183 shares of the manufacturing equipment provider's stock worth $132,000 after acquiring an additional 21 shares during the period. Finally, Focused Alpha LLC increased its stake in Applied Materials by 160.0% during the 2nd quarter. Focused Alpha LLC now owns 2,868 shares of the manufacturing equipment provider's stock worth $2,074,000 after acquiring an additional 1,765 shares during the period. 80.56% of the stock is owned by institutional investors.

Applied Materials News Summary

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

• Positive Sentiment: AI-driven demand outlook remains strong. JPMorgan maintained an Overweight rating and said Applied Materials’ semiconductor-systems revenue could grow about 40% this year, with AI-related spending expected to account for roughly 80% of chip-equipment demand. Applied Materials Sees Years Of AI-Fueled Growth Ahead
• Positive Sentiment: Product launches support advanced packaging and memory growth. New equipment aimed at AI-related chip production, advanced packaging and high-bandwidth memory could benefit Applied Materials as memory manufacturers increase capacity. Can Applied Materials Sustain Its Growth Amid AI-Driven Demand?
• Positive Sentiment: Analyst support remains constructive. Berenberg issued a Buy rating, while recent research coverage and a Zacks Strong Buy momentum ranking provide additional near-term support for AMAT. Applied Materials Receives a Buy from Berenberg Bank
• Neutral Sentiment: Recent results were strong but already appear reflected in expectations. Applied Materials reported record quarterly revenue of $9.12 billion, up 24.8% year over year, and exceeded earnings and revenue estimates. Its above-consensus next-quarter guidance has not prevented the stock from declining, indicating investors may be focused on valuation, positioning and broader sector concerns. Applied Materials Delivered a Record Quarter
• Negative Sentiment: Institutional selling is weighing on sentiment. Paul Tudor Jones liquidated his common-stock position and reportedly increased his put exposure. Dr. Michael Burry is also betting against AMAT, creating headline risk even though these trades do not necessarily represent a broad rejection of AI investment. Paul Tudor Jones Liquidated His Applied Materials Stake
• Negative Sentiment: Chip-equipment stocks are facing a sector-wide selloff. Applied Materials, Lam Research and Teradyne have fallen together, raising concerns about semiconductor-cycle timing, customer capital-expenditure plans and whether AI expectations have become too optimistic. What Is Prompting the Selloff in Chip Equipment Stocks?

Analysts Set New Price Targets

AMAT has been the subject of a number of recent analyst reports. Truist Financial set a $575.00 target price on Applied Materials in a research report on Thursday, May 28th. Zacks Research upgraded Applied Materials from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, July 1st. Citigroup reaffirmed a "buy" rating on shares of Applied Materials in a research note on Monday, August 3rd. Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Applied Materials in a research report on Wednesday, June 24th. Finally, Wall Street Zen upgraded shares of Applied Materials from a "hold" rating to a "buy" rating in a research note on Saturday, August 15th. One investment analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $659.83.

Insider Transactions at Applied Materials

In other news, Director Thomas J. Iannotti sold 9,250 shares of the 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 transaction, the director owned 40,559 shares of the company's stock, valued at approximately $24,326,071.43. This represents a 18.57% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Prabu G. Raja sold 50,000 shares of the firm's stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $505.28, for a total transaction of $25,264,000.00. Following the completion of the sale, the insider 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. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 277,820 shares of company stock valued at $169,538,434. 0.30% of the stock is owned by company insiders.

Applied Materials Stock Up 0.0%

NASDAQ AMAT opened at $496.21 on Friday. The business has a fifty day moving average price of $564.17 and a two-hundred day moving average price of $450.76. The stock has a market capitalization of $393.97 billion, a PE ratio of 42.78, a PEG ratio of 1.06 and a beta of 1.61. Applied Materials, Inc. has a fifty-two week low of $154.46 and a fifty-two week high of $739.67. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.42 and a quick ratio of 1.79.

Applied Materials (NASDAQ:AMAT - Get Free Report) last issued its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.40 by $0.10. Applied Materials had a return on equity of 38.02% and a net margin of 30.05%.The company had revenue of $9.12 billion for the quarter, compared to analyst estimates of $8.99 billion. During the same quarter last year, the company posted $2.48 EPS. The company's revenue for the quarter was up 24.8% compared to the same quarter last year. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Equities analysts expect that Applied Materials, Inc. will post 12.73 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

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