Wells Fargo Reiterates Buy Rating on Applied Materials, Inc. (AMAT)
Wells Fargo maintains its buy rating on AMAT with a $740 price target, a 5.81% upside from the current price.
Key Points
- Wells Fargo reiterated its buy rating on Applied Materials, Inc. (AMAT) with a price target of $740 on June 26, 2026.
- Wells Fargo's $740 price target implies 5.81% upside from Applied Materials, Inc.'s ($AMAT) current $699.39 share price.
- Shares of AMAT traded near $646.18 on Saturday, with a market cap of approximately $530.4 billion and a P/E ratio of 62.9.
- Major funds like BlackRock and Vanguard have adjusted their positions in Applied Materials, with notable changes in share counts.
Important disclosure: Podchat is not a registered investment adviser, broker-dealer, or financial planner. This article is for informational and educational purposes only and is not a recommendation to buy, sell, or hold any security. Content may be generated by automated systems using public filings, market data, and third-party sources, and may contain errors or omissions. Investing involves risk, including possible loss of principal. Past performance, insider activity, analyst ratings, price targets, sentiment scores, and hypothetical or backtested results are not guarantees of future performance. Please do your own research and consult a qualified professional before making investment decisions.
Wells Fargo reiterated its buy rating for Applied Materials, Inc. (NasdaqGS: AMAT) on June 26, 2026, setting a price target of $740. Analyst Joe Quatrochi maintained the positive outlook on the semiconductor equipment provider.
Wells Fargo vs. the S&P 500
Hypothetical, simulated performance of disclosed positions vs. the S&P 500. Not realized profit and not investment advice. Past performance does not indicate future results. Details.
Other Institutional Activity in Applied Materials
Several major funds have been active in Applied Materials. BlackRock, Inc. increased its holdings by 3,715,744 shares, bringing its total to 78,974,833 shares valued at about $26.99 billion. Vanguard Capital Management LLC opened a new position with 51,577,799 shares worth approximately $17.63 billion. State Street Corp reduced its stake by 423,673 shares, now holding 37,506,950 shares valued at around $12.82 billion. Meanwhile, Capital Research Global Investors decreased its position by 3,251,625 shares, leaving it with 29,455,424 shares valued at $10.07 billion. Geode Capital Management, LLC added 3,313,100 shares, reaching a total of 21,921,798 shares worth about $7.48 billion.
Applied Materials, Inc. Stock Up 51.5%
Shares of Applied Materials traded around $646.18 on Saturday. The company boasts a market capitalization of approximately $530.4 billion, with a P/E ratio of 62.9 and a forward P/E of 41.0. The stock has seen a 52-week low of $154.47 and a high of $669.22. It has a 50-day moving average of $463.56 and a 200-day moving average of $327.04. Applied Materials has a beta of 1.672, indicating higher volatility compared to the market.
$AMAT price target
Past daily closes and this analyst's 12-month price target. Not investment advice.
Recent Earnings
Applied Materials reported a revenue of $29.02 billion, reflecting a growth rate of 11.4%. The company achieved a net margin of 29.3% and a return on equity of 39.7%. Earnings per share stood at $10.62. The next earnings release is expected on August 13, 2026.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
-
Forward outlook
20 analysts raised price targets.
-
EPS & revenue
EPS beat estimates by 5.9%. Revenue beat estimates by 12.9%.
-
Profit surprise
EBITDA beat by 52 percent. Operating income beat by 24 percent.
-
Pre-earnings setup
Bar was high, analysts already very bullish.
-
Analyst signal
20 target raises.
-
Earnings quality
Gross margin up 0.8 points. Operating margin up 1.3 points. Positive free cash flow.
Earnings Call Summary
Applied Materials delivered record revenue of $7.91 billion this quarter driven by strong artificial intelligence infrastructure demand. The company sees its highest gross margin in over 25 years at 50 percent. Management highlighted that artificial intelligence is diversifying beyond training into new areas like agentic applications, which increases demand for memory and processors, and they expect continued strong growth into 2027 and beyond as customers build new factories.
Guidance Applied expects about $8.95 billion in revenue next quarter, up nearly 23 percent from last year. The company expects earnings per share of $3.36, up nearly 36 percent. Management raised its full-year equipment growth outlook to more than 30 percent as artificial intelligence demand accelerates and customers add production capacity.
Clearly positive report. Results were better than expected, though the forward reset is not the strongest.
Dividend
The company offers an annual dividend rate of $2.12, yielding 0.32% with a payout ratio of 17.31%.
Insider Buying and Selling at Applied Materials, Inc.
Recent insider transactions include Raja Prabu, President of the Semiconductor Products Group, selling 10,000 shares on June 18, 2026, at an average price of $633.53. Gary Dickerson, President and CEO, sold 17,000 shares on June 16, 2026, at unspecified prices, alongside other executives like Omkaram Nalamasu, the Senior Vice President and CTO, who sold 24,263 shares at an average price of $593.43.
Analysts Set New Price Targets
On June 26, 2026, B. Riley Securities maintained its buy rating with a $790 target, and Jefferies kept its buy rating with a $770 target. Earlier, on June 23, 2026, B of A Securities set a $720 target with a buy rating. The consensus among analysts is a strong buy, with an average price target of $532.34 based on 35 opinions.
About Applied Materials
Applied Materials, Inc., headquartered in Santa Clara, California, provides materials engineering solutions and equipment to the semiconductor industry. The company operates through its Semiconductor Systems and Applied Global Services segments, serving manufacturers of semiconductor wafers, chips, and other electronic devices worldwide. Led by CEO Gary E. Dickerson, Applied Materials employs about 36,400 people.
Bottom Line
Wells Fargo's reiterated buy rating and the $740 price target for Applied Materials underscore the firm's confidence in the company's prospects. Investors watch these analyst ratings closely for insights into potential stock performance. Remember, 13F filings and analyst ratings are backward-looking and may not reflect the most current investor sentiment.
Get Applied Materials, Inc. alerts
New 13F filings, insider trades, and analyst moves on $AMAT, sent to your inbox. Free, and you can unsubscribe anytime.
This instant news alert was generated by automated narrative technology and financial data from Podchat and public regulatory filings. It is for informational purposes only and is not financial advice.