Nomura Asset Management Co. Ltd. Acquires 208,999 Shares of Applied Materials, Inc. $AMAT

Key Points

• Nomura Asset Management boosted its stake in Applied Materials by 40.2% in the fourth quarter, buying 208,999 additional shares and bringing its total holding to 728,645 shares worth about $187.3 million.
• Analyst sentiment remains upbeat, with several firms raising price targets and one upgrade to buy; the stock currently carries a Moderate Buy consensus and an average target price of $470.13.
• Applied Materials reported better-than-expected Q2 results and raised its quarterly dividend to $0.53 per share, while recent insider sales by two executives were relatively small compared with their remaining holdings.

Nomura Asset Management Co. Ltd. lifted its position in Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 40.2% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 728,645 shares of the manufacturing equipment provider's stock after acquiring an additional 208,999 shares during the quarter. Applied Materials makes up approximately 0.5% of Nomura Asset Management Co. Ltd.'s portfolio, making the stock its 28th largest position. Nomura Asset Management Co. Ltd. owned about 0.09% of Applied Materials worth $187,254,000 at the end of the most recent reporting period.

Several other institutional investors have also recently made changes to their positions in the company. Godsey & Gibb Inc. grew its stake in shares of Applied Materials by 2.6% in the 4th quarter. Godsey & Gibb Inc. now owns 1,298 shares of the manufacturing equipment provider's stock worth $334,000 after acquiring an additional 33 shares in the last quarter. Family Capital Management Inc. grew its stake in shares of Applied Materials by 0.8% in the 4th quarter. Family Capital Management Inc. now owns 4,227 shares of the manufacturing equipment provider's stock worth $1,086,000 after acquiring an additional 33 shares in the last quarter. Denali Advisors LLC grew its stake in shares of Applied Materials by 0.7% in the 4th quarter. Denali Advisors LLC now owns 4,582 shares of the manufacturing equipment provider's stock worth $1,178,000 after acquiring an additional 34 shares in the last quarter. Traveka Wealth LLC grew its stake in shares of Applied Materials by 2.6% in the 4th quarter. Traveka Wealth LLC now owns 1,404 shares of the manufacturing equipment provider's stock worth $361,000 after acquiring an additional 36 shares in the last quarter. Finally, Highline Wealth Partners LLC grew its stake in shares of Applied Materials by 48.7% in the 4th quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider's stock worth $30,000 after acquiring an additional 38 shares in the last quarter. Institutional investors own 80.56% of the company's stock.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on the stock. Wolfe Research upped their target price on shares of Applied Materials from $500.00 to $550.00 and gave the stock an "outperform" rating in a research note on Friday, May 15th. Wall Street Zen upgraded shares of Applied Materials from a "hold" rating to a "buy" rating in a research note on Saturday, May 23rd. Royal Bank Of Canada upped their target price on shares of Applied Materials from $500.00 to $520.00 and gave the stock an "outperform" rating in a research note on Friday, May 15th. Sanford C. Bernstein reiterated an "outperform" rating and issued a $525.00 target price on shares of Applied Materials in a research note on Friday, May 15th. Finally, KeyCorp upped their target price on shares of Applied Materials from $450.00 to $550.00 and gave the stock an "overweight" rating in a research note on Friday, May 15th. Twenty-seven investment analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $470.13.

Insider Activity

In other Applied Materials news, Director Judy Bruner sold 1,128 shares of the company's stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $450.00, for a total transaction of $507,600.00. Following the sale, the director directly owned 26,544 shares of the company's stock, valued at $11,944,800. This represents a 4.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO Adam Sanders sold 268 shares of the company's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $434.22, for a total transaction of $116,370.96. Following the sale, the chief accounting officer directly owned 4,280 shares in the company, valued at approximately $1,858,461.60. This trade represents a 5.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.30% of the stock is owned by corporate insiders.

Applied Materials Price Performance

Shares of NASDAQ:AMAT opened at $450.06 on Friday. The company's 50-day moving average is $397.25 and its 200 day moving average is $333.49. The company has a debt-to-equity ratio of 0.22, a quick ratio of 1.80 and a current ratio of 2.51. The company has a market capitalization of $357.33 billion, a P/E ratio of 42.26, a price-to-earnings-growth ratio of 1.26 and a beta of 1.66. Applied Materials, Inc. has a fifty-two week low of $153.47 and a fifty-two week high of $462.40.

Applied Materials (NASDAQ:AMAT - Get Free Report) last issued its quarterly earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share for the quarter, topping analysts' consensus estimates of $2.68 by $0.18. The company had revenue of $7.91 billion for 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 quarterly revenue was up 11.4% on a year-over-year basis. During the same period in the previous year, the firm earned $2.39 EPS. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, equities research analysts forecast that Applied Materials, Inc. will post 12.02 earnings per share for the current year.

Applied Materials Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Investors of record on Thursday, May 21st will be issued a $0.53 dividend. This is an increase from Applied Materials's previous quarterly dividend of $0.46. The ex-dividend date of this dividend is Thursday, May 21st. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.5%. Applied Materials's payout ratio is presently 19.91%.

Key Applied Materials News

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

• Positive Sentiment: Cantor Fitzgerald reaffirmed its Overweight rating on Applied Materials and raised its price target to $575, reinforcing bullish analyst sentiment and pointing to more upside potential. Applied Materials NASDAQ: AMAT Receives Overweight Rating from Cantor Fitzgerald
• Positive Sentiment: Recent coverage highlights AMAT’s blowout quarterly results, higher outlook, and new AI chip equipment partnerships with companies like Broadcom and SCREEN, all of which support expectations for continued demand in semiconductor manufacturing equipment. Assessing Applied Materials (AMAT) Valuation After Earnings Beat And New AI Chip Equipment Partnerships
• Positive Sentiment: CEO Gary Dickerson said the semiconductor industry is in its strongest period ever, with AI driving unprecedented computing demand, which adds to the long-term growth narrative for Applied Materials. This is the greatest time ever for semiconductors, says CEO of key equipment supplier
• Positive Sentiment: AMAT continues to attract bullish commentary from analysts and market commentators as a leading AI semiconductor equipment play, helping sustain momentum in the shares. KLA vs. Applied Materials: Which Chip Equipment Stock Wins Now?
• Neutral Sentiment: The company also presented at Bernstein’s Strategic Decisions Conference, which kept investors focused on management’s outlook but did not add a major new catalyst. Applied Materials, Inc. (AMAT) Presents at Bernstein 42nd Annual Strategic Decisions Conference Transcript
• Negative Sentiment: Recent insider selling by Director Judy Bruner may create a modest headwind, though the sale was small relative to her remaining stake and does not appear to change the broader bullish thesis. Applied Materials director Judy Bruner stock sale

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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