Sterling Capital Management LLC Sells 3,953 Shares of Applied Materials, Inc. $AMAT

Key Points

• Sterling Capital Management cut its Applied Materials stake by 34.3% in the first quarter, selling 3,953 shares and leaving it with 7,566 shares valued at about $2.59 million.
• Applied Materials reported strong quarterly results, beating earnings and revenue estimates with EPS of $2.86 on revenue of $7.91 billion, and it issued Q3 2026 guidance of $3.16 to $3.56 EPS.
• AI-related demand remains a key growth driver as the company rolled out new DRAM and advanced packaging systems, while analysts stayed mostly constructive despite some concerns that the stock may be expensive after its rally.

Sterling Capital Management LLC lowered its stake in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) by 34.3% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 7,566 shares of the manufacturing equipment provider's stock after selling 3,953 shares during the period. Sterling Capital Management LLC's holdings in Applied Materials were worth $2,586,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors also recently modified their holdings of the stock. Cornerstone Financial Management LLC acquired a new position in Applied Materials during the fourth quarter valued at approximately $25,000. Wilkerson Advisory Group LLC acquired a new stake in Applied Materials in the fourth quarter worth $26,000. MBM Wealth Consultants LLC acquired a new stake in Applied Materials in the first quarter worth $38,000. Highline Wealth Partners LLC boosted its position in shares of Applied Materials by 48.7% during the fourth quarter. Highline Wealth Partners LLC now owns 116 shares of the manufacturing equipment provider's stock worth $30,000 after purchasing an additional 38 shares in the last quarter. Finally, Joseph Group Capital Management bought a new position in shares of Applied Materials during the fourth quarter worth $31,000. 80.56% of the stock is currently owned by institutional investors and hedge funds.

Applied Materials News Roundup

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

• Positive Sentiment: Applied Materials introduced new systems for DRAM and advanced packaging, expanding its role in AI chip manufacturing and potentially boosting future demand. Applied Materials Introduces New Systems to Accelerate DRAM and Advanced Packaging for AI Chips
• Positive Sentiment: Analysts said AMAT’s event highlighted strong opportunities in DRAM and advanced packaging, reinforcing the company’s AI-driven growth narrative. Applied Materials' event focuses on DRAM, and advanced packaging: analysts
• Positive Sentiment: Wall Street commentary remains constructive, with analysts still confident in Applied Materials’ strong competitive position. AMAT stock gets thumbs up from Wall Street – analysts remain confident about Applied Materials’ strong market position
• Neutral Sentiment: Some coverage suggests the stock may be looking expensive after its recent rally, which could limit near-term upside even if the long-term AI story stays intact. Applied Materials stock looks pricey—can AI demand justify the rally?
• Neutral Sentiment: One analysis noted that Applied Materials’ aggressive investment strategy may pressure cash flow in the near term, even though it supports longer-term growth. Can AMAT's Investment Strategy Lift Future Cash Flow Growth?

Applied Materials Price Performance

Shares of NASDAQ AMAT opened at $626.84 on Monday. The firm has a market cap of $497.69 billion, a PE ratio of 58.86, a PEG ratio of 1.74 and a beta of 1.67. The company has a current ratio of 2.51, a quick ratio of 1.80 and a debt-to-equity ratio of 0.22. Applied Materials, Inc. has a 1-year low of $154.46 and a 1-year high of $669.22. The company has a fifty day moving average price of $473.54 and a 200 day moving average price of $378.12.

Applied Materials (NASDAQ:AMAT - Get Free Report) last released its earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.68 by $0.18. The firm 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%.The company's revenue was up 11.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.39 EPS. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. Research analysts predict that Applied Materials, Inc. will post 12.1 earnings per share for the current fiscal year.

Applied Materials Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date of this dividend is Thursday, August 20th. Applied Materials's dividend payout ratio (DPR) is currently 19.91%.

Insider Transactions at Applied Materials

In other Applied Materials news, CEO Gary E. Dickerson sold 71,727 shares of the company'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 completion of the transaction, the chief executive officer owned 1,695,164 shares of the company's stock, valued at $1,006,503,625. This represents a 4.06% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, SVP Timothy M. Deane sold 8,621 shares of Applied Materials stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $590.76, for a total transaction of $5,092,941.96. Following the completion of the sale, the senior vice president owned 134,631 shares in the company, valued at $79,534,609.56. This trade represents a 6.02% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 199,767 shares of company stock worth $114,104,709. Corporate insiders own 0.30% of the company's stock.

Wall Street Analysts Forecast Growth

AMAT has been the subject of a number of recent analyst reports. Morgan Stanley restated an "equal weight" rating and issued a $502.00 price objective (up from $454.00) on shares of Applied Materials in a research report on Friday, May 15th. Needham & Company LLC boosted their target price on Applied Materials from $440.00 to $530.00 and gave the company a "buy" rating in a research note on Friday, May 15th. Zacks Research downgraded Applied Materials from a "strong-buy" rating to a "hold" rating in a report on Monday, April 27th. Mizuho raised their price target on Applied Materials from $500.00 to $540.00 and gave the stock an "outperform" rating in a research report on Wednesday, May 27th. Finally, The Goldman Sachs Group lifted their price objective on Applied Materials from $390.00 to $520.00 and gave the company a "buy" rating in a report on Friday, May 15th. Twenty-seven research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, Applied Materials presently has a consensus rating of "Moderate Buy" and an average price target of $518.19.

Applied Materials 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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