Applied Materials (AMAT) Advances While Market Declines: Some Information for Investors

Company Performance - Applied Materials (AMAT) closed at $326.95, with a +2.47% increase from the previous day, outperforming the S&P 500 which saw a loss of 0.06% [1] - Over the past month, AMAT shares have appreciated by 25.87%, significantly outperforming the Computer and Technology sector's gain of 2.88% and the S&P 500's gain of 1.99% [1] Earnings Expectations - The upcoming earnings report for Applied Materials is expected to show an EPS of $2.21, reflecting a 7.14% decrease from the prior-year quarter [2] - Revenue is projected at $6.86 billion, indicating a 4.34% decline compared to the same quarter last year [2] - For the entire year, the Zacks Consensus Estimates forecast earnings of $9.57 per share and revenue of $29.01 billion, representing changes of +1.59% and +2.26% respectively from the previous year [3] Analyst Estimates and Valuation - Recent modifications to analyst estimates for Applied Materials indicate changing near-term business trends, with positive revisions suggesting analyst optimism [4] - The Zacks Rank system, which incorporates estimate changes, currently rates Applied Materials as 3 (Hold) [6] - The Forward P/E ratio for Applied Materials is 33.35, which is a discount compared to the industry average of 36.82 [7] - The PEG ratio for AMAT is currently 3.3, while the average for the Electronics - Semiconductors industry is 1.98 [8] Industry Context - The Electronics - Semiconductors industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 72, placing it in the top 30% of over 250 industries [9] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [9]