Pacer Advisors Inc. Has $34.81 Million Stock Holdings in Applied Materials, Inc. $AMAT

Key Points

• Pacer Advisors Inc. sharply cut its Applied Materials position by 94.4% in the fourth quarter, selling 2.3 million shares and leaving it with 135,454 shares worth about $34.81 million.
• Wall Street remains broadly bullish on AMAT, with multiple firms raising price targets and the consensus rating sitting at Moderate Buy with an average target of $489.16.
• Applied Materials reported strong recent results, including Q2 earnings and revenue beats, and the stock has also benefited from AI-related optimism, though insider selling and a high valuation may temper sentiment.

Pacer Advisors Inc. trimmed its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 94.4% in the fourth quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 135,454 shares of the manufacturing equipment provider's stock after selling 2,304,144 shares during the quarter. Pacer Advisors Inc.'s holdings in Applied Materials were worth $34,810,000 as of its most recent filing with the SEC.

Several other hedge funds have also recently bought and sold shares of the stock. Sonoma Allocations LLC increased its position in shares of Applied Materials by 8.9% during the fourth quarter. Sonoma Allocations LLC now owns 3,396 shares of the manufacturing equipment provider's stock worth $873,000 after acquiring an additional 277 shares in the last quarter. Monetary Solutions Ltd bought a new stake in Applied Materials in the 4th quarter valued at $61,000. Kera Capital Partners Inc. bought a new stake in Applied Materials in the 4th quarter valued at $184,000. Virtu Financial LLC acquired a new position in Applied Materials in the 4th quarter worth $959,000. Finally, Blue Capital Inc. bought a new position in Applied Materials during the 4th quarter worth about $2,780,000. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research firms have issued reports on AMAT. Wolfe Research lifted their price target on Applied Materials from $500.00 to $550.00 and gave the company an "outperform" rating in a research note on Friday, May 15th. Barclays upped their price objective on Applied Materials from $500.00 to $590.00 and gave the stock an "overweight" rating in a research report on Thursday, June 11th. Seaport Research Partners started coverage on Applied Materials in a report on Monday, May 4th. They set a "buy" rating and a $500.00 price objective for the company. Jefferies Financial Group lifted their target price on Applied Materials from $415.00 to $510.00 and gave the company a "buy" rating in a research report on Friday, May 15th. Finally, The Goldman Sachs Group boosted their target price on Applied Materials from $390.00 to $520.00 and gave the company a "buy" rating in a research note on Friday, May 15th. Twenty-seven equities research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $489.16.

More Applied Materials News

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

• Positive Sentiment: Applied Materials’ AGS services business is being highlighted as a long-term growth engine, with AI-enabled services and expanding margins potentially creating more recurring revenue. Can AMAT's AGS Business Become a Long-Term Growth Driver?
• Positive Sentiment: Shares are benefiting from renewed enthusiasm around AI demand and strong earnings momentum, with articles noting the stock has been hitting new highs after solid results and upbeat guidance. AI Demand, Earnings Send Applied Materials to New Highs
• Positive Sentiment: Applied Materials launched SENZ with Qualcomm and EssilorLuxottica for AI eyewear, reinforcing investor hopes that the company can expand beyond core chipmaking tools into adjacent growth markets. Applied Materials (AMAT) Launches SENZ With Qualcomm And EssilorLuxottica For AI Eyewear
• Positive Sentiment: Analyst sentiment remains constructive, with higher price targets such as Citi’s $710 view helping fuel the rally by suggesting AI demand can justify the premium valuation. Applied Materials (AMAT) Stock Rallies 8.75% on Citi’s Bullish $710 Price Target
• Neutral Sentiment: Several insiders, including CEO Gary Dickerson and SVP Omkaram Nalamasu, sold shares this week; while the sales were small relative to their remaining holdings, they can weigh on sentiment. Why Applied Materials Insiders Sold $65 Million Worth of Stock
• Neutral Sentiment: Some commentary warns the stock looks expensive after a sharp year-to-date surge, with valuation comparisons to the dot-com era potentially prompting caution despite the strong fundamental backdrop. Applied Materials stock valuation and performance

Insider Activity

In other Applied Materials news, CEO Gary E. Dickerson sold 71,727 shares of the business's stock in a transaction that occurred on Tuesday, June 16th. The stock was 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 $1,006,503,625. The trade was a 4.06% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, SVP Timothy M. Deane sold 8,621 shares of the company's stock in a transaction that occurred 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 sale, the senior vice president owned 134,631 shares in the company, valued at approximately $79,534,609.56. This represents a 6.02% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 189,767 shares of company stock worth $107,769,409. Corporate insiders own 0.30% of the company's stock.

Applied Materials Stock Performance

Shares of NASDAQ:AMAT opened at $617.11 on Friday. The company's 50-day moving average price is $451.05 and its two-hundred day moving average price is $364.90. Applied Materials, Inc. has a one year low of $154.46 and a one year high of $638.90. The company has a debt-to-equity ratio of 0.22, a current ratio of 2.51 and a quick ratio of 1.80. The stock has a market capitalization of $489.96 billion, a PE ratio of 57.94, a price-to-earnings-growth ratio of 1.72 and a beta of 1.67.

Applied Materials (NASDAQ:AMAT - Get Free Report) last announced its quarterly earnings data on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share for the quarter, beating the consensus estimate of $2.68 by $0.18. The company had revenue of $7.91 billion during the quarter, compared to analysts' expectations of $7.68 billion. Applied Materials had a return on equity of 36.97% and a net margin of 29.31%.Applied Materials's revenue for the quarter was up 11.4% compared to the same quarter last year. During the same quarter last year, the company earned $2.39 EPS. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, equities analysts forecast that Applied Materials, Inc. will post 12.1 EPS 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. Shareholders of record on Thursday, August 20th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date is Thursday, August 20th. Applied Materials's dividend payout ratio (DPR) is currently 19.91%.

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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