The past year has been a somewhat disappointing one for Applied Materials (AMAT -2.15%) investors. Share prices of the semiconductor equipment supplier did gain 15.5%, but they have underperformed the 31.5% gains clocked by the S&P 500 index over the same period.The stock's below-par performance can be attributed to the drop in semiconductor sales last year. More specifically, global semiconductor sales saw a decline of 8.2% in 2023. However, the industry's fortunes have changed remarkably in 2024, with sal ...

Summary of Key Points from the Earnings Call Company Overview - **Company**: Applied Materials - **Fiscal Year**: 2024 - **Key Financials**: - Record revenue of **$27.2 billion**, up **2.5%** year-over-year [7] - Non-GAAP gross margin of **47.6%**, highest since fiscal 2000 [8] - Non-GAAP earnings per share of **$2.32**, up **9%** year-over-year [8] Core Industry Insights - **Industry**: Semiconductor - **Trends**: - Major shifts in technology driven by AI, energy-efficient computing, and advanced packaging [2][3] - Significant growth opportunities in logic, DRAM, and advanced packaging sectors [2][5] - The semiconductor industry is expected to reach a **$1 trillion** market by 2030 [14] Key Strategic Initiatives - **R&D Focus**: - Emphasis on energy-efficient computing and materials engineering to support device architecture inflections [2][3] - Development of the **EPIC collaborative R&D platform** to accelerate technology commercialization [4] - **Integrated Solutions**: - Integrated solutions account for **30%** of semiconductor systems revenue, expected to grow [3] - Advanced service products are being deployed to help customers manage complexity and improve operational efficiency [4] Financial Performance Highlights - **Revenue Growth**: - Semiconductor system sales of **$5.18 billion** for Q4, up **6%** year-over-year [8] - DRAM sales grew over **60%** year-on-year [5] - Advanced packaging revenue reached **$1.7 billion**, tripling in four years [6] - **Cash Flow**: - Generated **$8.7 billion** in operating cash flow and **$7.5 billion** in free cash flow for fiscal 2024 [9] Market Dynamics - **China Revenue**: - China accounted for **30%** of total revenue in Q4, expected to remain stable [11][17] - The company does not anticipate significant growth in China sales due to geopolitical factors [17] - **DRAM and NAND**: - DRAM market is expected to grow, particularly in high-bandwidth memory (HBM) [26] - NAND growth is more cautious, primarily driven by technology transitions rather than new wafer starts [28] Future Outlook - **2025 Projections**: - Anticipated doubling of revenue from advanced nodes, particularly gate-all-around technology [4][20] - Continued focus on energy-efficient computing and materials engineering as key growth drivers [7] - **Gross Margin Expectations**: - Non-GAAP gross margin expected to be around **48.4%** in Q1, with ongoing improvements anticipated [10][12] Additional Insights - **Value-Based Pricing**: - The company is enhancing its value-based pricing strategy to capture more value from its integrated solutions [18][19] - **Service Business Growth**: - The advanced global services (AGS) segment delivered record revenue, with a strong focus on subscription-based agreements [4][9][24] This summary encapsulates the key points discussed during the earnings call, highlighting the company's performance, strategic initiatives, and market outlook.

证券时报网讯，摩根士丹利将应用材料公司的评级下调至"减持"，并将目标价从179美元调整至164美 元，而富国银行则将其目标价从220美元调整至210美元，但维持增持评级。 应用材料是一家提供半导体、显示和相关行业制造设备、服务和软件的公司。 其客户包括半导体晶圆和芯片制造商、液晶和有机发光二极管（OLED）显示器制造商以及其他电子设 备制造商。 校对：姚远 ...

Company and Industry Overview * **Company**: Applied Materials, Inc. (NASDAQ: AMAT) * **Industry**: Semiconductor Equipment and Materials Key Points China Export Restrictions * **Impact**: China's export restrictions on certain semiconductor equipment were not unexpected and have some positive and negative aspects for Applied Materials. * **Business Impact**: Most of Applied's business in China is in mature nodes, so the impact is limited. However, there is uncertainty around ICAPS investment in China and its potential impact on demand. * **Guidance**: Applied Materials did not change its guidance for the quarter due to the restrictions, but it will take time to evaluate the impact on 2025 guidance. Market Dynamics * **Leading Edge**: Leading edge technologies, such as high-bandwidth memory, DRAM, advanced packaging, and leading logic, are driving the strongest market dynamics. * **ICAPS**: ICAPS investment in China is a significant unknown for 2025. The country aims to be self-sufficient in capacity, but it has not yet reached that level. * **China Market**: There is no evidence of consolidation in the Chinese semiconductor ecosystem, and Applied Materials continues to see growth in its customer base. Business Segments * **Services vs. Systems**: Applied Materials does not expect significant changes in the intensity between its services business and equipment business. * **Display Business**: Applied Materials' display business is more intensive in China compared to other regions. * **Growth**: Applied Materials expects the ICAPS node to grow at a mid-to-high single-digit rate over time, driven by secular trends such as EVs and renewable energy. Gate-All-Around (GAA) * **Opportunity**: Applied Materials sees an opportunity to gain share in the transition to GAA due to its integrated solutions and expertise in complex tooling. * **Addressable Market**: The addressable market for GAA is expected to grow by about 15% compared to FinFET. * **Node Size**: The size of the 2nm node is expected to be large, driven by end markets such as PCs, smartphones, and data centers. DRAM * **Share Gains**: Applied Materials has gained share in the DRAM market due to its integrated tool offerings and the increasing complexity of DRAM architectures. * **HBM**: High-bandwidth memory is a key growth area for DRAM, with revenue expected to continue growing in 2025. * **Conventional DRAM**: The DRAM market is expected to continue adding capacity, driven by secular trends. Gross Margin * **Improvement**: Applied Materials' gross margin has been gradually improving due to cost management and pricing improvements. * **Target**: The company is committed to continuing its efforts to improve gross margin. Services * **Growth**: Applied Materials expects low-double-digit growth in its services business due to secular trends and increased service intensity. * **Recurring Revenue**: Approximately 85% of Applied Materials' service revenues are recurring, providing confidence in the business. Capital Return * **Dividend**: Applied Materials is committed to raising its dividend, supported by its recurring service business. * **Capital Expenditure**: The company is expanding its lab footprint to support collaboration with customers, which will increase capital spending in 2025 and 2026.

Applied Materials, Inc. (NASDAQ:AMAT) UBS Global Technology Conference Call December 3, 2024 12:55 PM ET Company Participants Brice Hill - Senior Vice President, Chief Financial Officer and Global Information Services Conference Call Participants Timothy Arcuri - UBS Timothy Arcuri I think we're going to get started. I'm Tim Arcuri. I'm the semiconductor analyst here at UBS. Very pleased to have Applied Materials with us for the next session. Pleased to have Brice Hill, who is the CFO of Applied. And thank ...

SANTA CLARA, Calif., Dec. 03, 2024 (GLOBE NEWSWIRE) -- Applied Materials, Inc. issued the following statement today regarding updated export regulations for semiconductor technology, announced by the United States government on Dec. 2, 2024: Based on our initial assessment of the impact of these new regulations, Applied Materials is not changing the guided ranges of our first quarter of fiscal 2025 business outlook provided in our Nov. 14, 2024 financial results press release. Forward-Looking StatementsThis ...

Shares of semiconductor equipment makers are moving higher Friday, following a Bloomberg report that the Biden Administration is considering more measures to restrict the sale of semiconductor equipment and artificial intelligence (AI) memory chips to China. However, the new rules seemingly fall short of the stricter proposals previously given.In response, U.S.-based Applied Materials, Inc. (NASDAQ:AMAT) and Lam Research Corporation (NASDAQ:LRCX) are both moving higher ahead of the bell. Netherlands-based A ...

Applied Materials, Inc. (AMAT) , a leader in semiconductor manufacturing equipment, has experienced a 20.8% decline in its share price over the past six months. This decline contrasts sharply with the Zacks Electronics – Semiconductors industry, the Zacks Computer and Technology sector and the S&P 500, which have risen 3.4%, 8.4% and 12.1%, respectively.While such a drop may tempt investors to consider buying the dip, a closer look reveals a mixed picture that supports holding the stock for now rather than ...

Applied Materials looks cheap, and it's at the forefront of computing innovation.The market has been infatuated with Nvidia for a few years now. So much so that this month, it has once again become the largest company in the world by market capitalization, with a net worth of more than $3.5 trillion. The artificial intelligence (AI) boom has been a huge benefit to the business, and with the stock up more than 10x in just a few short years, it would be understandable for investors who didn't get in earlier t ...

New Applied Materials MAX OLED™ solution enables OLED display manufacturing on larger glass panels, bringing the superior display technology found in high-end smartphones to tablets, PCs and TVs Patented OLED pixel architecture and dramatically different manufacturing approach improve all types of OLED displays, making them even brighter, clearer, more energy-efficient and longer-lasting The integrated system combines the OLED deposition and encapsulation technologies needed to massproduce superior OLED dis ...