Kodai Capital Management LP Makes New Investment in Applied Materials, Inc. $AMAT

Key Points

• Kodai Capital Management LP acquired a new position in Applied Materials, purchasing 195,034 shares valued at approximately $28.3 million during the 1st quarter.
• Multiple hedge funds, including Runnymede Capital Advisors and Clal Insurance, significantly increased their stakes in Applied Materials, reflecting growing institutional interest.
• Analyst ratings for Applied Materials show mixed projections, with price targets adjusted downwards by several firms, although the overall consensus remains a "Moderate Buy."

Kodai Capital Management LP acquired a new stake in Applied Materials, Inc. (NASDAQ:AMAT - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 195,034 shares of the manufacturing equipment provider's stock, valued at approximately $28,303,000.

Several other large investors also recently bought and sold shares of the stock. Magnetar Financial LLC boosted its stake in shares of Applied Materials by 40.1% during the first quarter. Magnetar Financial LLC now owns 2,913 shares of the manufacturing equipment provider's stock worth $423,000 after buying an additional 834 shares during the period. Canada Pension Plan Investment Board boosted its stake in shares of Applied Materials by 40.5% during the first quarter. Canada Pension Plan Investment Board now owns 1,226,404 shares of the manufacturing equipment provider's stock worth $177,976,000 after buying an additional 353,250 shares during the period. WPG Advisers LLC acquired a new stake in shares of Applied Materials during the first quarter worth about $45,000. Landscape Capital Management L.L.C. boosted its stake in shares of Applied Materials by 18.6% during the first quarter. Landscape Capital Management L.L.C. now owns 6,150 shares of the manufacturing equipment provider's stock worth $892,000 after buying an additional 966 shares during the period. Finally, CreativeOne Wealth LLC boosted its stake in shares of Applied Materials by 3.9% during the first quarter. CreativeOne Wealth LLC now owns 24,833 shares of the manufacturing equipment provider's stock worth $3,604,000 after buying an additional 939 shares during the period. Institutional investors and hedge funds own 80.56% of the company's stock.

Applied Materials Price Performance

AMAT stock traded down $4.51 on Monday, hitting $160.76. 7,198,461 shares of the company's stock traded hands, compared to its average volume of 8,177,691. Applied Materials, Inc. has a 1-year low of $123.74 and a 1-year high of $215.70. The stock has a fifty day moving average of $182.15 and a 200-day moving average of $165.23. The company has a current ratio of 2.50, a quick ratio of 1.76 and a debt-to-equity ratio of 0.28. The stock has a market cap of $128.07 billion, a price-to-earnings ratio of 19.16, a P/E/G ratio of 2.29 and a beta of 1.77.

Applied Materials (NASDAQ:AMAT - Get Free Report) last released its quarterly earnings results on Thursday, August 14th. The manufacturing equipment provider reported $2.48 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.36 by $0.12. The business had revenue of $7.30 billion for the quarter, compared to analyst estimates of $7.21 billion. Applied Materials had a net margin of 23.88% and a return on equity of 40.96%. The firm's revenue was up 7.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.12 earnings per share. Applied Materials has set its Q4 2025 guidance at 1.910-2.310 EPS. On average, analysts forecast that Applied Materials, Inc. will post 9.38 EPS for the current fiscal year.

Applied Materials Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 11th. Shareholders of record on Thursday, August 21st will be paid a $0.46 dividend. This represents a $1.84 annualized dividend and a yield of 1.1%. The ex-dividend date is Thursday, August 21st. Applied Materials's dividend payout ratio is currently 21.93%.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on AMAT. Evercore ISI restated an "outperform" rating and issued a $209.00 price objective on shares of Applied Materials in a research report on Friday, August 15th. Cfra Research raised shares of Applied Materials to a "hold" rating in a research note on Friday, August 15th. Raymond James Financial reaffirmed an "outperform" rating and issued a $200.00 target price (down from $225.00) on shares of Applied Materials in a research note on Friday, May 16th. Wells Fargo & Company decreased their price target on shares of Applied Materials from $215.00 to $205.00 and set an "overweight" rating on the stock in a report on Friday, August 15th. Finally, Summit Insights lowered shares of Applied Materials from a "buy" rating to a "hold" rating in a report on Friday, August 15th. Seventeen equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $193.88.

Insiders Place Their Bets

In other Applied Materials news, CAO Adam Sanders sold 562 shares of the company's stock in a transaction that occurred on Tuesday, June 24th. The shares were sold at an average price of $178.60, for a total value of $100,373.20. Following the transaction, the chief accounting officer owned 5,300 shares in the company, valued at approximately $946,580. This represents a 9.59% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Corporate insiders own 0.24% of the company's stock.

About Applied Materials

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.