What Are Wall Street Analysts' Target Price for Applied Materials Stock?

Core Insights - Applied Materials, Inc. (AMAT) is valued at a market cap of $183.4 billion and provides essential manufacturing equipment, services, and software for semiconductor chips and advanced electronics [1] - The company plays a vital role in advancing technologies such as artificial intelligence, 5G, and electric vehicles by enhancing production processes for chipmakers and display manufacturers [1] Performance Overview - AMAT's shares have increased by 29.2% over the past 52 weeks, outperforming the S&P 500 Index, which gained 17.5% during the same period [2] - Year-to-date, AMAT's stock is up 48.1%, significantly higher than the S&P 500's 15.6% return [2] - Compared to the Invesco Semiconductors ETF (PSI), AMAT has outperformed with a YTD increase of 48.1% versus PSI's 34.5% [3] Financial Results - AMAT reported Q3 results on August 14, with revenue rising 7.7% year-over-year to $7.3 billion and adjusted EPS climbing 17% to $2.48, both exceeding consensus estimates [4] - Despite strong Q3 results, shares fell 14.1% in the next trading session due to disappointing Q4 guidance, with expected adjusted EPS of $2.11 and revenue of $6.7 billion, both below analyst expectations [4] Earnings Expectations - For the current fiscal year ending in October, analysts project AMAT's EPS to grow by 8.2% year-over-year to $9.36 [5] - The company has consistently surpassed consensus estimates in the last four quarters, indicating a strong earnings surprise history [5] Analyst Ratings - Among 35 analysts covering AMAT, the consensus rating is a "Moderate Buy," comprising 18 "Strong Buy," 3 "Moderate Buy," 13 "Hold," and 1 "Strong Sell" ratings [5] - The analyst sentiment has become slightly more bullish, with 17 analysts now suggesting a "Strong Buy" rating [6] - AllianceBernstein analyst Stacy Rasgon maintained a "Buy" rating on AMAT with a price target of $195 [6]