Groupe la Francaise Cuts Stock Position in Applied Materials, Inc. $AMAT

Key Points

• Groupe la Francaise cut its Applied Materials stake by 4.6%, selling 7,195 shares and retaining 147,703 shares valued at approximately $106.9 million. Institutional investors and hedge funds still own 80.56% of the company.
• Analysts remain broadly bullish on AMAT, with a consensus “Moderate Buy” rating and a $658.45 price target, supported by AI-related demand for advanced packaging, DRAM and high-bandwidth memory equipment.
• Applied Materials reported strong quarterly results, including $3.50 in EPS and $9.12 billion in revenue, while industry-cycle risks and elevated valuation remain concerns. The company also declared a $0.53 quarterly dividend, and insiders sold substantial shares over the past 90 days.

Groupe la Francaise trimmed its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 4.6% in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 147,703 shares of the manufacturing equipment provider's stock after selling 7,195 shares during the period. Applied Materials accounts for about 1.3% of Groupe la Francaise's holdings, making the stock its 16th biggest holding. Groupe la Francaise's holdings in Applied Materials were worth $106,851,000 as of its most recent filing with the Securities and Exchange Commission.

Other large investors have also recently added to or reduced their stakes in the company. JFS Wealth Advisors LLC lifted its stake in shares of Applied Materials by 4.3% during the second quarter. JFS Wealth Advisors LLC now owns 409 shares of the manufacturing equipment provider's stock worth $296,000 after purchasing an additional 17 shares in the last quarter. Innovative Asset Advisors Group LLC grew its stake in shares of Applied Materials by 2.1% in the second quarter. Innovative Asset Advisors Group LLC now owns 961 shares of the manufacturing equipment provider's stock valued at $695,000 after buying an additional 20 shares in the last quarter. Stonebridge Financial Group LLC grew its stake in shares of Applied Materials by 2.1% in the second quarter. Stonebridge Financial Group LLC now owns 1,003 shares of the manufacturing equipment provider's stock valued at $725,000 after buying an additional 21 shares in the last quarter. N.E.W. Advisory Services LLC raised its holdings in shares of Applied Materials by 5.9% during the 2nd quarter. N.E.W. Advisory Services LLC now owns 377 shares of the manufacturing equipment provider's stock valued at $273,000 after buying an additional 21 shares during the period. Finally, IMG Wealth Management Inc. raised its holdings in shares of Applied Materials by 13.0% during the 2nd quarter. IMG Wealth Management Inc. now owns 183 shares of the manufacturing equipment provider's stock valued at $132,000 after buying an additional 21 shares during the period. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on AMAT shares. KeyCorp upped their price target on Applied Materials from $550.00 to $750.00 and gave the stock an "overweight" rating in a report on Monday, June 29th. Susquehanna lifted their price objective on shares of Applied Materials from $575.00 to $900.00 and gave the company a "positive" rating in a research note on Tuesday, June 30th. The Goldman Sachs Group reissued a "buy" rating and set a $645.00 target price on shares of Applied Materials in a research report on Monday, August 3rd. Mizuho decreased their target price on shares of Applied Materials from $650.00 to $590.00 and set an "outperform" rating for the company in a research note on Tuesday, August 25th. Finally, Barclays raised their price target on shares of Applied Materials from $500.00 to $590.00 and gave the company an "overweight" rating in a report on Thursday, June 11th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat, Applied Materials presently has a consensus rating of "Moderate Buy" and a consensus price target of $658.45.

Applied Materials News Roundup

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

Applied Materials Price Performance

AMAT stock opened at $454.71 on Monday. The stock's 50 day moving average is $533.24 and its two-hundred day moving average is $461.33. Applied Materials, Inc. has a 52-week low of $158.82 and a 52-week high of $739.67. The company has a market capitalization of $360.86 billion, a PE ratio of 39.20, a P/E/G ratio of 1.27 and a beta of 1.60. The company has a quick ratio of 1.79, a current ratio of 2.42 and a debt-to-equity ratio of 0.20.

Applied Materials (NASDAQ:AMAT - Get Free Report) last released its earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 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 during the quarter, compared to analysts' expectations of $8.99 billion. During the same period in the prior year, the business posted $2.48 EPS. The business's revenue was up 24.8% on a year-over-year basis. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. Analysts predict that Applied Materials, Inc. will post 12.76 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

The business also recently disclosed 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 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials's dividend payout ratio (DPR) is currently 18.28%.

Insider Activity at Applied Materials

In other news, CEO Gary Dickerson sold 71,727 shares of the 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 transaction, the chief executive officer owned 1,695,164 shares of the company's stock, valued at approximately $1,006,503,625. This trade represents a 4.06% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, SVP Omkaram Nalamasu sold 24,263 shares of Applied Materials stock in a transaction dated Tuesday, June 16th. The stock was 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 owned 146,916 shares of the company's stock, valued at $87,184,361.88. This trade represents a 14.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 231,692 shares of company stock worth $146,114,059 over the last 90 days. Company insiders own 0.30% of the company's stock.

About Applied Materials

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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