Investors in semiconductor chip equipment maker Applied Materials (AMAT 6.35%) had a fantastic day on Friday, as a powerful earnings beat added billions of dollars to the value of their company. At least a dozen separate analysts raised their price targets on Applied Materials stock in response to the "beat," but one rating stands out:On Friday, Susquehanna Financial Group analyst Mehdi Hosseini raised his price target to $160 per share, as StreetInsider.com reports. And this implies that Applied Materials ...

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Applied Materials Inc. (AMAT) reported first-quarter fiscal 2024 non-GAAP earnings of $2.13 per share, surpassing the Zacks Consensus Estimate by 12.1%. Moreover, the figure improved 5% from the year-ago quarter’s reported number.Net sales of $6.71 billion were down 0.5% from the year-ago quarter’s reported level. The figure surpassed the Zacks Consensus Estimate of $6.47 billion.Softness in the Semiconductor Systems segment remained a headwind.Weakening momentum across Taiwan, Southeast Asia, the United St ...

Applied Materials (AMAT 6.26%) shares are moving higher Friday morning, up 6.7% through 10:20 a.m. ET after the manufacturer of equipment for semiconductors production reported better-than-expected Q1 2024 sales and earnings last night.Heading into earnings day, analysts had forecast Applied Materials would earn $1.91 per share on sales of $6.5 billion. Applied beat both targets, reporting more than $6.7 billion in sales and a per-share profit of $2.13.Applied Materials earnings reportAnd this news just kee ...

Key TakeawaysApplied Materials shares jumped in pre-market trading Friday after the company beat first-quarter earnings and revenue estimates, and issued a strong current-quarter outlook.The company said its chip equipment business sits positioned to outpace the semiconductor market due to growing demand for more-complex chips.The top trendline of an ascending channel in Applied Materials shares may become a key future support area during pullbacks before another potential move higher. Applied Materials, ...

Applied Materials Inc. (NASDAQ: AMAT), the leading US manufacturer of chipmaking machinery, saw its share price surge in late trading following its optimistic revenue forecast for the current period. This indicates a potential uptick in investments by major semiconductor companies in new production technologies. Q2 sales set to reach about $6.5 billionCopy link to sectionThe company expects fiscal second-quarter sales to reach approximately $6.5 billion, exceeding the average analyst estimate of $6.32 billi ...

Financial Data and Key Metrics Changes - Applied Materials reported Q1 2024 revenue of $6.7 billion, slightly down year-over-year, but non-GAAP gross margin increased by 110 basis points to 47.9% [24][25] - Non-GAAP operating expenses grew by 5.6% to $1.23 billion, while non-GAAP EPS increased nearly 5% to $2.13 [24][25] - The company generated $2.3 billion in operating cash flow and $2.1 billion in free cash flow, distributing $966 million to shareholders, including $266 million in dividends and $700 million in buybacks [26] Business Line Data and Key Metrics Changes - Semiconductor Systems revenue was strong at $4.91 billion, with record DRAM and edge system sales, and a non-GAAP operating margin of 35.7% [25] - Applied Global Services (AGS) revenue increased approximately 8% year-over-year to nearly $1.8 billion, marking its 18th consecutive quarter of growth, with a non-GAAP operating margin of 28.3% [25][17] - Display segment revenue was $244 million, with a non-GAAP operating profit of 10.2% [25] Market Data and Key Metrics Changes - The company expects NAND revenues to increase year-on-year, but it will remain less than 10% of total wafer fab equipment spending [7] - High-bandwidth memory (HBM) is projected to grow at a 50% compound annual growth rate, with HBM packaging revenues expected to reach almost $0.5 billion in fiscal 2024 [9][11] - The DRAM market share for Applied has increased significantly, with revenues larger than its two closest process equipment peers combined [10] Company Strategy and Development Direction - The company is focused on an inflection-focused innovation strategy, aiming to accelerate key technology innovations critical for AI, IoT, electric vehicles, and renewable energy [6][7] - Applied Materials is enhancing collaboration with customers and partners to drive innovation and commercialization velocity [16][18] - The company is expanding its global innovation network and has formed partnerships with organizations like Leti and MIT to accelerate ICAPS innovation [16] Management's Comments on Operating Environment and Future Outlook - Management noted that overall market dynamics are improving, with increased capital investment by cloud companies and normalizing memory inventory levels [7] - The company anticipates continued strength in DRAM and leading-edge foundry-logic, despite some project delays [7][8] - Management expressed optimism for 2025, citing improvements in inventory and utilization across the semiconductor market [48] Other Important Information - The company has increased its estimated useful lives of plant and equipment, which positively impacted non-GAAP EPS by $0.03 [27] - The company refined its allocation of stock-based compensation, enhancing visibility over costs without impacting overall operating profit or EPS [27] Q&A Session Summary Question: DRAM performance in China - Management noted high shipments of DRAM from China, expecting normalization from current elevated levels to around 30% over the year [31][34] Question: WFE environment in 2024 - Management expects DRAM to remain strong, NAND to improve slightly, and leading logic to grow as new investments ramp up [36][37] Question: Outperformance expectations for 2024 - Management anticipates continued outperformance due to exposure to fast-growing markets and major inflections [41][43] Question: Advanced foundry-logic program delays - Management acknowledged that delays are affecting schedules but does not expect changes in the ultimate destination of projects [67] Question: ICAPS business growth - Management indicated that ICAPS grew approximately 40% in 2023 and remains a strong market for the company [70]

Thursday, February 15th, 2024Forget Tuesday’s selloff — we’re back, baby! Markets brushed off the dirt from the post-CPI wariness among market participants the other day, and have now swung back into positive territory in the past week of trading. The S&P 500 even closed at a brand new all-time high — 5029 — as it gained +0.58% on the session. The Nasdaq treaded lightest, up only +0.30%, while the blue-chip Dow grew +348 points, +0.91% and the Russell 2000 won the day for the second consecutive time, +2.1%. ...

For the quarter ended January 2024, Applied Materials (AMAT) reported revenue of $6.71 billion, down 0.5% over the same period last year. EPS came in at $2.13, compared to $2.03 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $6.47 billion, representing a surprise of +3.62%. The company delivered an EPS surprise of +12.11%, with the consensus EPS estimate being $1.90.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- a ...

Applied Materials (AMAT) came out with quarterly earnings of $2.13 per share, beating the Zacks Consensus Estimate of $1.90 per share. This compares to earnings of $2.03 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 12.11%. A quarter ago, it was expected that this maker of chipmaking equipment would post earnings of $1.98 per share when it actually produced earnings of $2.12, delivering a surprise of 7.07%.Over the last four ...