Janney Montgomery Scott LLC Trims Position in Applied Materials, Inc. $AMAT

Key Points

• Janney Montgomery Scott LLC reduced its Applied Materials stake by 1.8% in Q1, selling 4,150 shares and ending with 223,912 shares worth about $76.5 million.
• Applied Materials reported better-than-expected fiscal Q2 results, with EPS of $2.86 and revenue of $7.91 billion, both topping analyst estimates and rising 11.4% year over year.
• The company remains supported by AI-driven demand, with new DRAM and advanced packaging systems drawing positive analyst attention, even as some commentary warns the stock may be getting expensive after its rally.

Janney Montgomery Scott LLC trimmed its position in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 1.8% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 223,912 shares of the manufacturing equipment provider's stock after selling 4,150 shares during the period. Janney Montgomery Scott LLC's holdings in Applied Materials were worth $76,531,000 at the end of the most recent reporting period.

A number of other large investors also recently modified their holdings of the company. Caldwell Trust Co boosted its stake in shares of Applied Materials by 1.7% in the first quarter. Caldwell Trust Co now owns 14,000 shares of the manufacturing equipment provider's stock worth $4,785,000 after acquiring an additional 229 shares during the period. Border to Coast Pensions Partnership Ltd bought a new stake in Applied Materials during the 1st quarter valued at approximately $70,411,000. ABN AMRO Bank N.V. raised its stake in Applied Materials by 4.0% during the 1st quarter. ABN AMRO Bank N.V. now owns 88,120 shares of the manufacturing equipment provider's stock valued at $30,336,000 after purchasing an additional 3,381 shares during the period. Cambient Family Office LLC lifted its holdings in Applied Materials by 4.3% in the 1st quarter. Cambient Family Office LLC now owns 18,256 shares of the manufacturing equipment provider's stock worth $6,240,000 after purchasing an additional 754 shares in the last quarter. Finally, Rooted Wealth Advisors Inc. lifted its holdings in Applied Materials by 23.2% in the 1st quarter. Rooted Wealth Advisors Inc. now owns 1,971 shares of the manufacturing equipment provider's stock worth $674,000 after purchasing an additional 371 shares in the last quarter. Hedge funds and other institutional investors own 80.56% of the company's stock.

Applied Materials Stock Performance

Shares of NASDAQ:AMAT opened at $626.84 on Friday. The firm has a fifty day simple moving average of $473.54 and a two-hundred day simple moving average of $377.36. The company has a quick ratio of 1.80, a current ratio of 2.51 and a debt-to-equity ratio of 0.22. The stock has a market capitalization of $497.69 billion, a P/E ratio of 58.86, a PEG ratio of 1.74 and a beta of 1.67. Applied Materials, Inc. has a 52 week low of $154.46 and a 52 week high of $669.22.

Applied Materials (NASDAQ:AMAT - Get Free Report) last announced its quarterly earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 EPS for the quarter, beating analysts' consensus estimates of $2.68 by $0.18. The firm had revenue of $7.91 billion during the quarter, compared to the consensus estimate of $7.68 billion. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The firm's revenue for the quarter was up 11.4% compared to the same quarter last year. During the same quarter last year, the firm earned $2.39 EPS. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, analysts expect that Applied Materials, Inc. will post 12.1 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

The business also recently declared 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 annualized dividend and a yield of 0.3%. The ex-dividend date is Thursday, August 20th. Applied Materials's dividend payout ratio is presently 19.91%.

Insider Buying and Selling

In related news, SVP Timothy M. Deane sold 8,621 shares of the firm's stock in a transaction on Monday, June 15th. The stock was sold at an average price of $590.76, for a total value of $5,092,941.96. Following the completion of the sale, the senior vice president directly owned 134,631 shares in the company, valued at $79,534,609.56. This trade represents a 6.02% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, SVP Omkaram Nalamasu sold 24,263 shares of Applied Materials stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $593.43, for a total transaction of $14,398,392.09. Following the transaction, the senior vice president directly owned 146,916 shares of the company's stock, valued at $87,184,361.88. The trade was a 14.17% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 199,767 shares of company stock valued at $114,104,709 over the last 90 days. 0.30% of the stock is currently owned by insiders.

Analysts Set New Price Targets

AMAT has been the subject of a number of research analyst reports. Deutsche Bank Aktiengesellschaft increased their price objective on shares of Applied Materials from $450.00 to $550.00 and gave the company a "buy" rating in a report on Friday, May 15th. The Goldman Sachs Group boosted their target price on shares of Applied Materials from $390.00 to $520.00 and gave the stock a "buy" rating in a report on Friday, May 15th. KeyCorp raised their target price on shares of Applied Materials from $450.00 to $550.00 and gave the company an "overweight" rating in a research note on Friday, May 15th. Morgan Stanley reiterated an "equal weight" rating and issued a $502.00 price target (up from $454.00) on shares of Applied Materials in a report on Friday, May 15th. Finally, Wells Fargo & Company boosted their price target on shares of Applied Materials from $715.00 to $740.00 and gave the stock an "overweight" rating in a research note on Friday. Twenty-seven analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company's stock. According to MarketBeat, Applied Materials has an average rating of "Moderate Buy" and an average price target of $518.19.

Key Applied Materials News

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

• Positive Sentiment: Applied Materials introduced new systems for DRAM and advanced packaging, expanding its role in AI chip manufacturing and potentially boosting future demand. Applied Materials Introduces New Systems to Accelerate DRAM and Advanced Packaging for AI Chips
• Positive Sentiment: Analysts said AMAT’s event highlighted strong opportunities in DRAM and advanced packaging, reinforcing the company’s AI-driven growth narrative. Applied Materials' event focuses on DRAM, and advanced packaging: analysts
• Positive Sentiment: Wall Street commentary remains constructive, with analysts still confident in Applied Materials’ strong competitive position. AMAT stock gets thumbs up from Wall Street – analysts remain confident about Applied Materials’ strong market position
• Neutral Sentiment: Some coverage suggests the stock may be looking expensive after its recent rally, which could limit near-term upside even if the long-term AI story stays intact. Applied Materials stock looks pricey—can AI demand justify the rally?
• Neutral Sentiment: One analysis noted that Applied Materials’ aggressive investment strategy may pressure cash flow in the near term, even though it supports longer-term growth. Can AMAT's Investment Strategy Lift Future Cash Flow Growth?

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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