Park Avenue Securities LLC Has $4.05 Million Stake in Applied Materials, Inc. (NASDAQ:AMAT)

Park Avenue Securities LLC cut its holdings in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 14.5% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 27,878 shares of the manufacturing equipment provider's stock after selling 4,717 shares during the period. Park Avenue Securities LLC's holdings in Applied Materials were worth $4,046,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in the business. FPC Investment Advisory Inc. acquired a new stake in Applied Materials in the fourth quarter worth approximately $28,000. Mascagni Wealth Management Inc. acquired a new stake in Applied Materials in the fourth quarter worth approximately $44,000. Atala Financial Inc acquired a new stake in Applied Materials in the fourth quarter worth approximately $45,000. Minot DeBlois Advisors LLC acquired a new stake in Applied Materials in the fourth quarter worth approximately $46,000. Finally, Centricity Wealth Management LLC acquired a new stake in Applied Materials in the fourth quarter worth approximately $47,000. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Applied Materials Stock Down 2.5%

NASDAQ:AMAT traded down $4.41 during trading hours on Friday, hitting $170.59. 5,292,961 shares of the stock traded hands, compared to its average volume of 6,974,274. The firm has a 50 day moving average price of $155.19 and a 200 day moving average price of $163.22. The company has a current ratio of 2.67, a quick ratio of 1.96 and a debt-to-equity ratio of 0.29. Applied Materials, Inc. has a fifty-two week low of $123.74 and a fifty-two week high of $255.89. The firm has a market cap of $136.90 billion, a price-to-earnings ratio of 22.30, a PEG ratio of 1.81 and a beta of 1.67.

Applied Materials (NASDAQ:AMAT - Get Free Report) last announced its earnings results on Thursday, May 15th. The manufacturing equipment provider reported $2.39 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.31 by $0.08. Applied Materials had a net margin of 22.95% and a return on equity of 39.50%. The company had revenue of $7.10 billion for the quarter, compared to the consensus estimate of $7.12 billion. During the same period in the previous year, the business earned $2.09 EPS. The company's revenue was up 6.8% on a year-over-year basis. Equities research analysts anticipate that Applied Materials, Inc. will post 9.38 earnings per share for the current year.

Applied Materials Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 11th. Stockholders of record on Thursday, August 21st will be paid a $0.46 dividend. This represents a $1.84 dividend on an annualized basis and a dividend yield of 1.08%. The ex-dividend date is Thursday, August 21st. Applied Materials's dividend payout ratio (DPR) is presently 22.38%.

Applied Materials declared that its board has approved a stock buyback program on Monday, March 10th that allows the company to buyback $10.00 billion in outstanding shares. This buyback authorization allows the manufacturing equipment provider to repurchase up to 8.2% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

Wall Street Analyst Weigh In

A number of research firms have weighed in on AMAT. Bank of America cut their target price on Applied Materials from $205.00 to $190.00 and set a "buy" rating for the company in a research report on Wednesday, April 16th. Wall Street Zen upgraded Applied Materials from a "hold" rating to a "buy" rating in a research report on Friday, June 6th. Barclays cut their target price on Applied Materials from $190.00 to $160.00 and set an "equal weight" rating for the company in a research report on Tuesday, April 22nd. Citigroup upped their price target on Applied Materials from $170.00 to $190.00 and gave the company a "buy" rating in a report on Friday, May 16th. Finally, B. Riley dropped their price target on Applied Materials from $250.00 to $215.00 and set a "buy" rating on the stock in a report on Monday, May 12th. Six equities research analysts have rated the stock with a hold rating and seventeen have given a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $199.29.

Insider Transactions at Applied Materials

In related news, CEO Gary E. Dickerson purchased 50,000 shares of the company's stock in a transaction dated Thursday, April 3rd. The shares were acquired at an average cost of $137.30 per share, with a total value of $6,865,000.00. Following the completion of the purchase, the chief executive officer now owns 1,716,058 shares of the company's stock, valued at $235,614,763.40. The trade was a 3.00% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Adam Sanders sold 450 shares of the company's stock in a transaction on Tuesday, April 1st. The stock was sold at an average price of $144.83, for a total transaction of $65,173.50. Following the completion of the transaction, the chief accounting officer now directly owns 6,077 shares in the company, valued at $880,131.91. This trade represents a 6.89% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.24% of the stock is currently owned by company insiders.

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.