QRG Capital Management Inc. Acquires 20,447 Shares of Applied Materials, Inc. $AMAT

Key Points

• QRG Capital Management increased its Applied Materials stake by 10.5% in the second quarter, acquiring 20,447 shares for a total holding of 215,839 shares valued at approximately $156.1 million. Institutional investors collectively own 80.56% of AMAT.
• Applied Materials reported better-than-expected quarterly results, with revenue up 24.8% year over year to $9.12 billion and EPS of $3.50. Growing demand for AI chips, memory and advanced packaging, along with the company’s planned $5 billion investment in India, supports the longer-term growth outlook.
• Analysts maintain a generally positive view, with a consensus “Moderate Buy” rating and average price target of $658.45, but risks include a potential semiconductor-equipment downturn, AMAT’s premium valuation and recent insider selling.

QRG Capital Management Inc. lifted its stake in Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 10.5% in the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 215,839 shares of the manufacturing equipment provider's stock after acquiring an additional 20,447 shares during the quarter. Applied Materials accounts for about 1.1% of QRG Capital Management Inc.'s investment portfolio, making the stock its 16th largest holding. QRG Capital Management Inc.'s holdings in Applied Materials were worth $156,051,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds have also recently made changes to their positions in AMAT. Envestnet Asset Management Inc. lifted its position in Applied Materials by 7.1% during the second quarter. Envestnet Asset Management Inc. now owns 1,068,335 shares of the manufacturing equipment provider's stock valued at $715,458,000 after purchasing an additional 70,642 shares during the period. Andra AP fonden grew its position in Applied Materials by 34.4% in the 2nd quarter. Andra AP fonden now owns 126,229 shares of the manufacturing equipment provider's stock worth $91,264,000 after purchasing an additional 32,340 shares during the period. State Street Corp raised its stake in Applied Materials by 85.4% during the 2nd quarter. State Street Corp now owns 69,525,842 shares of the manufacturing equipment provider's stock valued at $50,267,184,000 after buying an additional 32,018,892 shares during the last quarter. Twin Peaks Capital Ltd purchased a new stake in Applied Materials during the 2nd quarter valued at $12,291,000. Finally, Reynders McVeigh Capital Management LLC lifted its holdings in shares of Applied Materials by 8.2% during the 2nd quarter. Reynders McVeigh Capital Management LLC now owns 105,987 shares of the manufacturing equipment provider's stock valued at $76,629,000 after buying an additional 8,073 shares during the period. 80.56% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Applied Materials

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

• Positive Sentiment: Bank of America reportedly raised its semiconductor-equipment spending outlook as demand accelerates for AI chips, memory and advanced packaging. Applied Materials is positioned to benefit from increased spending by chip manufacturers. 3 Top Chip Equipment Stocks to Buy as AI Demand Fuels BofA Optimism
• Positive Sentiment: Analyst commentary remains constructive, including a reported rating upgrade and optimism from Wall Street analysts. This may reinforce the view that AMAT’s recent weakness offers a buying opportunity. Applied Materials: Opportunity Is Brewing Again (Rating Upgrade) Wall Street Bulls Look Optimistic About Applied Materials
• Positive Sentiment: Applied Materials and Lam Research are highlighted as “picks-and-shovels” beneficiaries of AI because their equipment is required to manufacture advanced chips. A new ETF focused on AI-chipmaking machinery could also increase visibility and investor interest in the group. Nvidia and AMD Get the Headlines. The Real AI Winners Might Be Applied Materials and Lam Research New ETF Bets on the Machinery Behind AI Chipmaking
• Positive Sentiment: The company’s planned $5 billion, decade-long investment in India expands its research, supply-chain and workforce presence in a market seeking to build a domestic semiconductor industry. The move could create longer-term growth opportunities. Applied Materials Commits $5 Billion to India as Chip Manufacturing Expands
• Neutral Sentiment: Options pricing implies a wide potential trading range for AMAT over the next year, reflecting substantial uncertainty but not signaling a particular direction. How Far Can Applied Materials Stock Move On You In A Year?
• Negative Sentiment: Despite strong momentum and AI exposure, some commentary warns that the semiconductor-equipment cycle could turn lower. AMAT’s premium valuation makes the stock vulnerable if factory spending or growth expectations weaken. Its services business, including Applied Global Services, provides some diversification and recently grew strongly. Applied Materials: Momentum Says Up; The Cycle Says Down What Are AMAT Stock Bears Missing?

Insiders Place Their Bets

In other Applied Materials news, Director Judy Bruner sold 1,000 shares of the firm's stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $465.00, for a total transaction of $465,000.00. Following the sale, the director directly owned 25,544 shares of the company's stock, valued at $11,877,960. This trade represents a 3.77% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Brice Hill sold 7,500 shares of the business's stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $479.25, for a total value of $3,594,375.00. Following the completion of the transaction, the chief financial officer owned 128,613 shares in the company, valued at $61,637,780.25. The trade was a 5.51% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 86,821 shares of company stock worth $59,609,471. Corporate insiders own 0.30% of the company's stock.

Applied Materials Stock Performance

Shares of NASDAQ:AMAT traded up $1.92 during mid-day trading on Wednesday, reaching $474.38. 4,583,769 shares of the company traded hands, compared to its average volume of 8,032,118. Applied Materials, Inc. has a 52 week low of $196.20 and a 52 week high of $739.67. The firm has a market cap of $376.47 billion, a PE ratio of 40.89, a PEG ratio of 1.29 and a beta of 1.60. The company's 50 day moving average price is $493.48 and its 200-day moving average price is $467.79. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.42 and a quick ratio of 1.79.

Applied Materials (NASDAQ:AMAT - Get Free Report) last posted its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share for the quarter, topping analysts' consensus estimates of $3.40 by $0.10. The business had revenue of $9.12 billion during the quarter, compared to analyst estimates of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. The company's revenue was up 24.8% on a year-over-year basis. During the same period in the prior year, the business posted $2.48 earnings per share. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. On average, equities analysts expect that Applied Materials, Inc. will post 12.78 EPS for the current fiscal year.

Applied Materials Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be issued a $0.53 dividend. The ex-dividend date of this dividend is Thursday, November 19th. This represents a $2.12 annualized dividend and a yield of 0.4%. Applied Materials's dividend payout ratio is currently 18.28%.

Wall Street Analysts Forecast Growth

AMAT has been the subject of several research analyst reports. Morgan Stanley cut their price objective on Applied Materials from $646.00 to $642.00 and set an "equal weight" rating for the company in a report on Friday, August 14th. Craig Hallum raised their target price on Applied Materials from $530.00 to $585.00 and gave the stock a "buy" rating in a research report on Friday, August 14th. Susquehanna boosted their price target on Applied Materials from $575.00 to $900.00 and gave the company a "positive" rating in a research note on Tuesday, June 30th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a $605.00 price target on shares of Applied Materials in a research report on Friday, August 14th. Finally, Needham & Company LLC reiterated a "buy" rating and issued a $740.00 price objective on shares of Applied Materials in a research note on Friday, August 14th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $658.45.

About Applied Materials

Applied Materials, Inc is a global provider of materials engineering solutions used to manufacture semiconductors, displays and other advanced electronic products. The company develops and supplies equipment, services and software that help customers build and improve the performance of chips and display panels.

Its semiconductor products support processes including deposition, etch, patterning, inspection, metrology and materials modification. Applied Materials also provides equipment and services for display manufacturing, including technologies used in producing liquid-crystal and organic light-emitting diode displays, as well as solutions for adjacent markets such as solar and other specialty applications.

Founded in 1967 and headquartered in Santa Clara, California, Applied Materials serves semiconductor and display manufacturers worldwide through operations, customer-support centers and research and development activities across major technology-producing regions.

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