Applied Materials (NASDAQ:AMAT) Posts Earnings Results, Beats Estimates By $0.14 EPS

Applied Materials (NASDAQ:AMAT) issued its quarterly earnings data on Thursday. The manufacturing equipment provider reported $2.12 earnings per share for the quarter, beating analysts’ consensus estimates of $1.98 by $0.14, Briefing.com reports. The business 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 firm’s revenue was up 3.8% compared to the same quarter last year. During the same period last year, the business earned $2.03 EPS. 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 Down 5.8 %

Shares of NASDAQ:AMAT opened at $145.86 on Friday. The stock’s 50-day moving average price is $140.11 and its 200-day moving average price is $138.70. Applied Materials has a 12-month low of $93.68 and a 12-month high of $157.76. The stock has a market capitalization of $122.45 billion, a P/E ratio of 20.42, a price-to-earnings-growth ratio of 3.80 and a beta of 1.59. The company has a current ratio of 2.30, a quick ratio of 1.59 and a debt-to-equity ratio of 0.36.

Applied Materials Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 14th. Investors of record on Friday, November 24th will be paid a $0.32 dividend. The ex-dividend date is Wednesday, November 22nd. This represents a $1.28 dividend on an annualized basis and a yield of 0.88%. Applied Materials’s dividend payout ratio is presently 16.89%.

Insider Activity

In other Applied Materials news, CFO Brice Hill sold 1,000 shares of the firm’s stock in a transaction dated Wednesday, August 30th. The shares were sold at an average price of $150.04, for a total value 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.25% of the company’s stock.

Hedge Funds Weigh In On Applied Materials

Hedge funds have recently added to or reduced their stakes in the company. Financial Freedom LLC bought a new stake in shares of Applied Materials during the 4th quarter valued at $25,000. Quarry LP purchased a new position in shares of Applied Materials during the 1st quarter valued at $40,000. Chilton Capital Management LLC purchased a new position in shares of Applied Materials during the 1st quarter valued at $43,000. KB Financial Partners LLC purchased a new stake in Applied Materials in the 1st quarter worth $54,000. Finally, Coppell Advisory Solutions Corp. purchased a new stake in Applied Materials in the 4th quarter worth $56,000. 77.24% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

AMAT has been the topic of several recent analyst reports. Mizuho reaffirmed a “buy” rating and issued a $158.00 price target on shares of Applied Materials in a research note on Friday, September 15th. JPMorgan Chase & Co. upped their price objective on Applied Materials from $145.00 to $165.00 and gave the company an “overweight” rating in a report on Friday, August 18th. Stifel Nicolaus boosted their target price on Applied Materials from $150.00 to $175.00 and gave the company a “buy” rating in a research note on Friday, August 18th. TD Cowen upped their price objective on Applied Materials from $160.00 to $165.00 and gave the stock an “outperform” rating in a research report on Friday. Finally, UBS Group upped their price objective on Applied Materials from $130.00 to $150.00 and gave the company a “neutral” rating in a research note on Thursday, October 5th. One research analyst has rated the stock with a sell rating, six have given a hold rating and twenty-four have issued a buy rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $155.89.

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.