TD Cowen Raises Applied Materials (AMAT) Price Target to $260, Maintains Buy Rating

Core Insights - Applied Materials, Inc. (NASDAQ:AMAT) is recognized as one of the 15 Best Stocks to Buy for the Medium Term [1] - TD Cowen has raised its price target for AMAT to $260 from $250 while maintaining a Buy rating, citing the company's guidance slightly above consensus and aligned with peers' outlook [2] - The company reported fiscal Q4 2025 revenue of $6.80 billion, a 3% year-over-year decline, but GAAP EPS increased by 14% to $2.38, indicating strong performance despite revenue drop [3] Financial Performance - In fiscal Q4 2025, Applied Materials reported revenue of $6.80 billion, down 3% year-over-year [3] - GAAP EPS for the same period was $2.38, reflecting a 14% increase, while non-GAAP EPS was $2.17, down 6% compared to the previous year [3] Market Outlook - The company is preparing for increased demand starting in the second half of calendar 2026, focusing R&D investments on new products and technologies for faster, more energy-efficient transistors and chips [4] - Research and Development spending in Q4 was $917 million, up from $858 million in the same quarter last year, indicating a commitment to innovation [4] Business Overview - Applied Materials designs, manufactures, and services equipment for the semiconductor and display industries, establishing itself as a leader in materials engineering solutions for chips and advanced displays [5]