Applied Materials (NASDAQ:AMAT) Posts Quarterly Earnings Results

Applied Materials (NASDAQ:AMAT) posted its earnings results on Thursday. The manufacturing equipment provider reported $2.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.98 by $0.14, Briefing.com reports. The firm had revenue of $6.72 billion for the quarter, compared to the consensus estimate of $6.52 billion. Applied Materials had a return on equity of 49.29% and a net margin of 24.27%. The business’s quarterly revenue was up 3.8% on a year-over-year basis. During the same quarter in the prior year, the business posted $2.03 earnings per share. Applied Materials updated its Q1 guidance to $1.72-2.08 EPS and its Q1 2024 guidance to $1.72-$2.08 EPS.

Applied Materials Stock Performance

Applied Materials stock opened at $148.59 on Friday. The company has a current ratio of 2.30, a quick ratio of 1.59 and a debt-to-equity ratio of 0.36. The firm has a 50-day moving average of $140.13 and a 200-day moving average of $138.95. The firm has a market cap of $124.75 billion, a P/E ratio of 19.60, a P/E/G ratio of 3.80 and a beta of 1.59. Applied Materials has a 1-year low of $93.68 and a 1-year high of $157.76.

Applied Materials Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 14th. Stockholders of record on Friday, November 24th will be paid a dividend of $0.32 per share. The ex-dividend date is Wednesday, November 22nd. This represents a $1.28 dividend on an annualized basis and a dividend yield of 0.86%. Applied Materials’s dividend payout ratio (DPR) is currently 16.89%.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on AMAT shares. StockNews.com upgraded Applied Materials from a “hold” rating to a “buy” rating in a research report on Saturday, October 21st. Craig Hallum upped their price target on shares of Applied Materials from $139.00 to $160.00 and gave the stock a “buy” rating in a report on Friday, August 18th. UBS Group upped their price target on shares of Applied Materials from $130.00 to $150.00 and gave the stock a “neutral” rating in a report on Thursday, October 5th. Morgan Stanley upped their price target on shares of Applied Materials from $139.00 to $142.00 and gave the stock an “equal weight” rating in a report on Friday. Finally, Wolfe Research initiated coverage on shares of Applied Materials in a report on Thursday, September 14th. They issued an “outperform” rating and a $185.00 price target on the stock. One research analyst has rated the stock with a sell rating, six have issued a hold rating and twenty-four have issued a buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $156.41.

Insider Transactions at Applied Materials

In other news, CFO Brice Hill sold 1,000 shares of the stock in a transaction dated Wednesday, August 30th. The shares were sold at an average price of $150.04, for a total transaction of $150,040.00. Following the completion of the sale, the chief financial officer now directly owns 106,023 shares in the company, valued at $15,907,690.92. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. 0.25% of the stock is currently owned by company insiders.

Institutional Trading of Applied Materials

A number of institutional investors have recently modified their holdings of the company. Eagle Capital Management LLC lifted its holdings in Applied Materials by 2.1% in the third quarter. Eagle Capital Management LLC now owns 15,964 shares of the manufacturing equipment provider’s stock worth $2,210,000 after buying an additional 327 shares during the period. Orion Portfolio Solutions LLC lifted its holdings in Applied Materials by 1,146.3% in the second quarter. Orion Portfolio Solutions LLC now owns 54,014 shares of the manufacturing equipment provider’s stock worth $7,807,000 after buying an additional 49,680 shares during the period. Coppell Advisory Solutions LLC purchased a new stake in Applied Materials in the second quarter worth about $81,000. Equitable Holdings Inc. lifted its holdings in Applied Materials by 31.3% in the second quarter. Equitable Holdings Inc. now owns 5,144 shares of the manufacturing equipment provider’s stock worth $744,000 after buying an additional 1,225 shares during the period. Finally, Invesco LLC purchased a new position in shares of Applied Materials during the second quarter valued at approximately $1,598,000. 77.24% of the stock is currently owned by hedge funds and other institutional investors.

About Applied Materials

Applied Materials, Inc engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. It 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.