PCM Encore LLC Has $2.48 Million Holdings in Applied Materials, Inc. $AMAT

PCM Encore LLC lifted its position in shares of Applied Materials, Inc. (NASDAQ:AMAT) by 43.3% in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 3,423 shares of the manufacturing equipment provider’s stock after buying an additional 1,035 shares during the period. PCM Encore LLC’s holdings in Applied Materials were worth $2,475,000 at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in the business. Harborfront Financial Group LLC acquired a new position in Applied Materials during the second quarter worth $27,000. BOK Financial Private Wealth Inc. acquired a new position in Applied Materials in the 2nd quarter valued at about $41,000. Financial Freedom LLC bought a new position in shares of Applied Materials during the first quarter worth approximately $28,000. Elevation Wealth Partners LLC increased its position in Applied Materials by 34.8% during the 2nd quarter. Elevation Wealth Partners LLC now owns 93 shares of the manufacturing equipment provider’s stock worth $67,000 after buying an additional 24 shares during the period. Finally, Cornerstone Financial Management LLC acquired a new stake in Applied Materials in the 4th quarter worth about $25,000. Institutional investors own 80.56% of the company’s stock.

Key Stories Impacting Applied Materials

Here are the key news stories impacting Applied Materials this week:

• Positive Sentiment: AI demand supports the long-term outlook. JPMorgan reiterated an Overweight rating and estimates semiconductor-systems revenue could grow about 40% this year, with AI-related investment accounting for roughly 80% of chip-equipment demand. Applied Materials Sees Years Of AI-Fueled Growth Ahead
• Positive Sentiment: Advanced packaging and memory opportunities remain catalysts. New equipment launches are strengthening Applied Materials’ position in advanced packaging as demand for high-bandwidth memory (HBM) and semiconductor manufacturing capacity expands. Can Applied Materials Sustain Its Growth Amid AI-Driven Demand?
• Positive Sentiment: Brokerage coverage remains favorable. Berenberg issued a Buy rating, while broader analyst recommendations continue to point toward adding AMAT to portfolios. However, investors should note that consensus ratings can be overly optimistic because they are based on sell-side opinions. Applied Materials Receives a Buy from Berenberg Bank
• Neutral Sentiment: Fundamentals were stronger than expected, but the market response was weak. Applied Materials reported record fiscal third-quarter revenue of $9.12 billion, up 25% year over year, and exceeded consensus EPS and revenue estimates. Its above-consensus outlook was apparently insufficient to overcome high expectations and valuation concerns. Applied Materials Delivered a Record Quarter. The Stock Fell Anyway
• Negative Sentiment: High-profile bearish positioning is weighing on sentiment. Paul Tudor Jones reportedly liquidated his AMAT common-stock position and increased his put exposure, while Dr. Michael Burry is also betting against the shares. These trades raise concerns about semiconductor-cycle risks and whether future foundry capital spending will meet already elevated expectations. Paul Tudor Jones Liquidated His Applied Materials Stake

Insider Transactions at Applied Materials

In other news, SVP Omkaram Nalamasu sold 24,263 shares of the stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $593.43, for a total value of $14,398,392.09. Following the completion of the sale, the senior vice president owned 146,916 shares in the company, valued at $87,184,361.88. This represents a 14.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Gary E. Dickerson sold 20,000 shares of the stock in a transaction dated Tuesday, June 30th. The shares were sold at an average price of $735.22, for a total transaction of $14,704,400.00. Following the completion of the sale, the chief executive officer owned 1,599,843 shares of the company’s stock, valued at approximately $1,176,236,570.46. This trade represents a 1.23% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 277,820 shares of company stock worth $169,538,434. 0.30% of the stock is owned by insiders.

Applied Materials Price Performance

AMAT stock opened at $492.32 on Monday. Applied Materials, Inc. has a fifty-two week low of $154.46 and a fifty-two week high of $739.67. The stock’s 50 day simple moving average is $562.67 and its 200 day simple moving average is $451.92. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.79 and a current ratio of 2.42. The company has a market cap of $390.71 billion, a P/E ratio of 42.44, a price-to-earnings-growth ratio of 1.06 and a beta of 1.61.

Applied Materials (NASDAQ:AMAT) last posted its quarterly earnings results on Thursday, August 13th. The manufacturing equipment provider reported $3.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.40 by $0.10. The business had revenue of $9.12 billion during the quarter, compared to the consensus estimate of $8.99 billion. Applied Materials had a net margin of 30.05% and a return on equity of 38.02%. Applied Materials’s revenue was up 24.8% compared to the same quarter last year. During the same quarter last year, the firm posted $2.48 EPS. Applied Materials has set its Q4 2026 guidance at 3.820-4.220 EPS. On average, research analysts expect that Applied Materials, Inc. will post 12.73 earnings per share for the current fiscal year.

Applied Materials Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be issued a dividend of $0.53 per share. The ex-dividend date is Thursday, August 20th. This represents a $2.12 annualized dividend and a yield of 0.4%. Applied Materials’s dividend payout ratio is 18.28%.

Analyst Upgrades and Downgrades

AMAT has been the subject of several analyst reports. Royal Bank Of Canada lifted their price objective on Applied Materials from $520.00 to $600.00 and gave the company an “outperform” rating in a report on Friday, August 14th. Sanford C. Bernstein raised their target price on shares of Applied Materials from $675.00 to $700.00 and gave the company an “outperform” rating in a research report on Friday, August 14th. HC Wainwright set a $850.00 price target on Applied Materials in a report on Monday, June 29th. Citigroup reissued a “buy” rating on shares of Applied Materials in a research note on Monday, August 3rd. Finally, Zacks Research raised shares of Applied Materials from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, July 1st. One analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $659.83.

About Applied Materials

Applied Materials, Inc is a U.S.-based supplier of equipment, services and software used to manufacture semiconductor chips, flat panel displays and other advanced materials. Headquartered in Santa Clara, California, the company designs and sells capital equipment and related technologies that enable production of integrated circuits, display panels and materials used across the electronics supply chain.

Applied Materials’ offerings include process equipment and factory software that support critical steps in device fabrication, such as deposition, etch, implantation, inspection and metrology, as well as systems for packaging and advanced heterogeneous integration.