Applied Materials (NASDAQ:AMAT) Announces Earnings Results, Beats Expectations By $0.13 EPS

Applied Materials (NASDAQ:AMAT) issued its earnings results on Thursday. The manufacturing equipment provider reported $2.32 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.19 by $0.13, Briefing.com reports. The firm had revenue of $7.05 billion during the quarter, compared to analyst estimates of $6.96 billion. Applied Materials had a net margin of 26.41% and a return on equity of 39.71%. The business’s revenue was up 4.8% on a year-over-year basis. During the same period in the previous year, the firm earned $2.12 earnings per share. Applied Materials updated its Q1 2025 guidance to 2.110-2.470 EPS and its Q1 guidance to $2.11-2.47 EPS.

Applied Materials Stock Down 9.2 %

Shares of AMAT traded down $17.12 during mid-day trading on Friday, hitting $168.88. 16,287,484 shares of the company traded hands, compared to its average volume of 5,981,500. Applied Materials has a 1-year low of $141.94 and a 1-year high of $255.89. The company has a quick ratio of 2.09, a current ratio of 2.86 and a debt-to-equity ratio of 0.33. The company has a market capitalization of $139.23 billion, a PE ratio of 19.61, a price-to-earnings-growth ratio of 2.07 and a beta of 1.56. The business has a 50 day moving average of $190.88 and a 200 day moving average of $206.78.

Applied Materials Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 12th. Stockholders of record on Thursday, November 21st will be issued a dividend of $0.40 per share. The ex-dividend date of this dividend is Thursday, November 21st. This represents a $1.60 annualized dividend and a dividend yield of 0.95%. Applied Materials’s dividend payout ratio (DPR) is currently 18.58%.

Analyst Upgrades and Downgrades

AMAT has been the topic of a number of research analyst reports. Evercore ISI cut their price target on shares of Applied Materials from $260.00 to $250.00 and set an “outperform” rating on the stock in a report on Friday. Stifel Nicolaus cut their price target on shares of Applied Materials from $270.00 to $250.00 and set a “buy” rating on the stock in a report on Tuesday, November 12th. Cantor Fitzgerald restated an “overweight” rating and issued a $250.00 price target on shares of Applied Materials in a report on Friday. Wells Fargo & Company cut their price target on shares of Applied Materials from $235.00 to $220.00 and set an “overweight” rating on the stock in a report on Friday. Finally, Citigroup lowered their price objective on shares of Applied Materials from $240.00 to $217.00 and set a “buy” rating for the company in a research note on Monday, September 16th. Eight analysts have rated the stock with a hold rating and fifteen have issued a buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $219.81.

About Applied Materials

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