What Makes Applied Materials (AMAT) a Good Investment?

Core Insights - Cullen Capital Management's SCCM Value Equity Strategy reported a gross return of 6.9% and a net return of 6.8% for Q3 2025, outperforming the Russell 1000 Value's 5.3% and underperforming the S&P 500's 8.1% during the same period [1] - Year-to-date, the strategy achieved a gross return of 13.0%, compared to Russell 1000 Value's +11.7% and S&P 500's +14.8% [1] Company Performance - Applied Materials, Inc. (NASDAQ:AMAT) showed a one-month return of 2.07% and a 52-week gain of 32.04%, closing at $225.12 per share with a market capitalization of $179.34 billion on November 18, 2025 [2] - The company reported better-than-expected fiscal Q3 results with a 12.2% increase, driven by strength in foundry, logic, and services, despite a moderation in demand from China [3] - Management guided for an 8% sequential revenue decline due to normalization in China and timing of leading-edge orders, but maintained a constructive outlook supported by AI-related semiconductor capital spending [3] Investment Sentiment - Applied Materials, Inc. was held by 81 hedge fund portfolios at the end of Q2 2025, a decrease from 83 in the previous quarter [4] - While the company is recognized for its potential, certain AI stocks are considered to offer greater upside potential with less downside risk [4]