Summit Wealth Partners LLC Acquires New Position in Applied Materials, Inc. $AMAT

Key Points

• Summit Wealth Partners LLC opened a new position in Applied Materials, buying 7,223 shares valued at about $2.47 million in the first quarter.
• Applied Materials reported better-than-expected quarterly results, with EPS of $2.86 on revenue of $7.91 billion, and it issued Q3 guidance of $3.16 to $3.56 EPS.
• Wall Street remains upbeat on the stock, with multiple firms lifting price targets and Citigroup raising its target to $710; however, some commentary notes the shares may be getting expensive relative to growth expectations.

Summit Wealth Partners LLC acquired a new stake in shares of Applied Materials, Inc. (NASDAQ:AMAT - Free Report) during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor acquired 7,223 shares of the manufacturing equipment provider's stock, valued at approximately $2,469,000.

A number of other large investors also recently bought and sold shares of the company. Capital Research Global Investors increased its holdings in shares of Applied Materials by 119.8% in the 4th quarter. Capital Research Global Investors now owns 32,707,049 shares of the manufacturing equipment provider's stock valued at $8,405,458,000 after acquiring an additional 17,829,377 shares during the last quarter. Norges Bank acquired a new stake in shares of Applied Materials during the 4th quarter valued at approximately $2,858,543,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in Applied Materials by 617.2% during the third quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 9,129,483 shares of the manufacturing equipment provider's stock worth $1,869,170,000 after purchasing an additional 7,856,576 shares during the last quarter. Ameriprise Financial Inc. lifted its stake in Applied Materials by 40.1% during the third quarter. Ameriprise Financial Inc. now owns 12,520,114 shares of the manufacturing equipment provider's stock worth $2,563,376,000 after purchasing an additional 3,583,751 shares during the last quarter. Finally, Auto Owners Insurance Co boosted its holdings in Applied Materials by 25,824.4% in the fourth quarter. Auto Owners Insurance Co now owns 3,370,167 shares of the manufacturing equipment provider's stock worth $86,610,000 after purchasing an additional 3,357,167 shares during the period. Institutional investors own 80.56% of the company's stock.

Applied Materials Stock Performance

AMAT stock opened at $640.18 on Tuesday. Applied Materials, Inc. has a 1 year low of $154.46 and a 1 year high of $641.18. The stock has a market capitalization of $508.28 billion, a price-to-earnings ratio of 60.11, a PEG ratio of 1.72 and a beta of 1.67. 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 stock's fifty day moving average is $455.89 and its two-hundred day moving average is $368.31.

Applied Materials (NASDAQ:AMAT - Get Free Report) last released its quarterly earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 EPS for the quarter, topping the consensus estimate of $2.68 by $0.18. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The business had revenue of $7.91 billion during the quarter, compared to analyst estimates of $7.68 billion. During the same quarter in the prior year, the firm earned $2.39 earnings per share. The company's quarterly revenue was up 11.4% on a year-over-year basis. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, research analysts predict that Applied Materials, Inc. will post 12.1 EPS for the current year.

Applied Materials Announces Dividend

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

Insider Transactions at Applied Materials

In other Applied Materials news, CEO Gary E. Dickerson sold 71,727 shares of the firm's stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $593.75, for a total value of $42,587,906.25. Following the sale, the chief executive officer owned 1,695,164 shares in the company, valued at approximately $1,006,503,625. This trade represents a 4.06% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Prabu G. Raja sold 50,000 shares of Applied Materials stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $505.28, for a total value of $25,264,000.00. Following the sale, the insider directly owned 356,642 shares in the company, valued at approximately $180,204,069.76. This trade represents a 12.30% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 199,767 shares of company stock worth $114,104,709 in the last quarter. 0.30% of the stock is currently owned by corporate insiders.

Key Headlines Impacting Applied Materials

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

• Positive Sentiment: Citi raised its price target on Applied Materials to $710 from $550 and kept a Buy rating, signaling stronger confidence in the semiconductor equipment maker’s outlook. A Growing Supply Gap Has Analysts Eyeing Applied Materials (AMAT)
• Positive Sentiment: Reuters reported that Applied Materials signed a long-term deal with EssilorLuxottica to develop augmented-reality display technology and AI glasses, expanding its opportunity in emerging wearable and AI-related markets. Applied Materials (AMAT) and EssilorLuxottica Sign Long-Term Deal, Reuters Reports
• Positive Sentiment: Recent commentary says AI demand may help justify AMAT’s premium valuation, with investors focusing on the company’s role in semiconductor and AI infrastructure spending. Applied Materials Is Now More Expensive Than Its Dot-Com Era Peak. AI Demand Justifies the AMAT Stock Valuation.
• Neutral Sentiment: Insider Prabu G. Raja sold 10,000 shares, a routine filing that may draw attention but does not necessarily indicate a change in the company’s fundamentals. SEC Form 4 filing
• Negative Sentiment: Some articles highlighted concerns that AMAT’s valuation is becoming stretched, which could limit near-term upside if growth expectations cool. Applied Materials Stock Looks Pricey—Can AI Demand Justify the Rally?

Analysts Set New Price Targets

Several research firms have weighed in on AMAT. Barclays boosted their target price on shares of Applied Materials from $500.00 to $590.00 and gave the company an "overweight" rating in a research note on Thursday, June 11th. Citigroup lifted their price target on shares of Applied Materials from $550.00 to $710.00 and gave the company a "buy" rating in a report on Wednesday, June 17th. The Goldman Sachs Group boosted their price objective on shares of Applied Materials from $390.00 to $520.00 and gave the company a "buy" rating in a research report on Friday, May 15th. B. Riley Financial increased their price objective on shares of Applied Materials from $530.00 to $550.00 and gave the stock a "buy" rating in a research note on Friday, May 15th. Finally, Jefferies Financial Group raised their target price on shares of Applied Materials from $415.00 to $510.00 and gave the stock a "buy" rating in a report on Friday, May 15th. Twenty-seven equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $495.45.

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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