Callahan Advisors LLC Reduces Stock Position in Applied Materials, Inc. $AMAT

Callahan Advisors LLC lessened its holdings in Applied Materials, Inc. (NASDAQ:AMAT) by 2.1% during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 73,955 shares of the manufacturing equipment provider’s stock after selling 1,600 shares during the quarter. Applied Materials makes up about 1.6% of Callahan Advisors LLC’s holdings, making the stock its 18th largest position. Callahan Advisors LLC’s holdings in Applied Materials were worth $19,006,000 at the end of the most recent quarter.

Several other large investors have also recently bought and sold shares of the business. Vanguard Group Inc. boosted its stake in Applied Materials by 0.4% in the fourth quarter. Vanguard Group Inc. now owns 76,779,340 shares of the manufacturing equipment provider’s stock valued at $19,731,523,000 after acquiring an additional 330,197 shares in the last quarter. Capital Research Global Investors boosted its stake in Applied Materials by 225.4% in the third quarter. Capital Research Global Investors now owns 14,877,672 shares of the manufacturing equipment provider’s stock valued at $3,046,057,000 after acquiring an additional 10,305,182 shares in the last quarter. Ameriprise Financial Inc. boosted its stake in Applied Materials by 40.1% in the third quarter. Ameriprise Financial Inc. now owns 12,520,114 shares of the manufacturing equipment provider’s stock valued at $2,563,376,000 after acquiring an additional 3,583,751 shares in the last quarter. Sanders Capital LLC boosted its stake in Applied Materials by 42.6% in the third quarter. Sanders Capital LLC now owns 10,978,990 shares of the manufacturing equipment provider’s stock valued at $2,247,838,000 after acquiring an additional 3,280,730 shares in the last quarter. Finally, Van ECK Associates Corp boosted its stake in Applied Materials by 19.0% in the third quarter. Van ECK Associates Corp now owns 10,552,132 shares of the manufacturing equipment provider’s stock valued at $2,160,443,000 after acquiring an additional 1,681,911 shares in the last quarter. Hedge funds and other institutional investors own 80.56% of the company’s stock.

Analyst Ratings Changes

Several research firms have issued reports on AMAT. Wolfe Research upped their price objective on shares of Applied Materials from $500.00 to $550.00 and gave the company an “outperform” rating in a research note on Friday, May 15th. HSBC began coverage on shares of Applied Materials in a research note on Friday, May 8th. They issued a “buy” rating and a $517.00 price objective for the company. Sanford C. Bernstein restated an “outperform” rating and issued a $525.00 price objective on shares of Applied Materials in a research note on Friday, May 15th. Erste Group Bank upgraded shares of Applied Materials from a “hold” rating to a “buy” rating in a research note on Monday, April 27th. Finally, Stifel Nicolaus set a $530.00 price objective on shares of Applied Materials in a research note on Friday, May 15th. Twenty-seven analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $465.14.

Insider Activity

In related news, Director Judy Bruner sold 3,969 shares of the stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $377.02, for a total transaction of $1,496,392.38. Following the completion of the transaction, the director directly owned 28,589 shares of the company’s stock, valued at $10,778,624.78. This represents a 12.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CAO Adam Sanders sold 534 shares of the stock in a transaction dated Tuesday, February 24th. The stock was sold at an average price of $379.16, for a total transaction of $202,471.44. Following the transaction, the chief accounting officer directly owned 4,625 shares of the company’s stock, valued at $1,753,615. This represents a 10.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 7,003 shares of company stock valued at $2,678,139 over the last three months. 0.30% of the stock is currently owned by corporate insiders.

Applied Materials News Summary

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

• Positive Sentiment: Applied Materials announced that Broadcom will join its EPIC innovation platform to accelerate advanced chip packaging R&D for next-generation AI systems, reinforcing AMAT’s position in a key growth area. Applied Materials Announces Broadcom as EPIC Innovation Partner
• Positive Sentiment: AMAT was named to Zacks’ Rank #1 momentum stock list, suggesting strong near-term trader interest and favorable earnings momentum. Best Momentum Stocks to Buy for May 20th
• Positive Sentiment: Commentary on AMAT’s latest results highlighted strong AI demand, better-than-expected revenue and EPS, and raised guidance, which supports the stock’s bullish setup. AMAT Q1 Deep Dive: AI Demand Drives Growth in Semiconductor Equipment and Services
• Positive Sentiment: Analysts also pointed to rising operating leverage, margins at a 25-year high, and recurring services revenue as reasons the stock could keep benefiting from AI capex spending. Applied Materials Gains From Rising Operating Leverage: What’s Ahead?
• Neutral Sentiment: Applied Energy Systems received a Supplier Excellence Award from Applied Materials, a positive supplier-management signal but not a major direct catalyst for AMAT’s earnings outlook. Applied Energy Systems Receives Supplier Excellence Award from Applied Materials
• Neutral Sentiment: Several articles framed AMAT as an attractive way to play AI infrastructure spending versus peers such as Lam Research, which is supportive for sentiment but largely commentary. Lam Research vs. Applied Materials: Which AI Chip Stock Has the Edge?
• Negative Sentiment: The semiconductor group also saw some pressure from broader sector weakness tied to supply-chain concerns, including Samsung labor-strike headlines and a TSMC stake sale, which could briefly weigh on AMAT sentiment. MACOM, Applied Materials, and Photronics Shares Are Falling, What You Need To Know
• Negative Sentiment: Morgan Stanley reportedly cut its view on Applied Materials, which is a modest overhang even as other analysts remain upbeat. Morgan Stanley downgrades Applied Materials (AMAT)

Applied Materials Price Performance

Shares of AMAT opened at $426.85 on Thursday. Applied Materials, Inc. has a fifty-two week low of $153.47 and a fifty-two week high of $448.45. The company has a market capitalization of $338.75 billion, a price-to-earnings ratio of 40.08, a price-to-earnings-growth ratio of 1.15 and a beta of 1.66. The firm has a 50-day simple moving average of $383.84 and a 200-day simple moving average of $323.95. The company has a debt-to-equity ratio of 0.22, a quick ratio of 1.80 and a current ratio of 2.51.

Applied Materials (NASDAQ:AMAT) last announced its earnings results on Thursday, May 14th. The manufacturing equipment provider reported $2.86 earnings per share for the quarter, topping the consensus estimate of $2.68 by $0.18. The business had revenue of $7.91 billion during the quarter, compared to the consensus estimate of $7.68 billion. Applied Materials had a net margin of 29.31% and a return on equity of 36.97%. The business’s quarterly revenue was up 11.4% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.39 earnings per share. Applied Materials has set its Q3 2026 guidance at 3.160-3.560 EPS. On average, equities research analysts anticipate that Applied Materials, Inc. will post 11.93 earnings per share for the current year.

Applied Materials Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Investors of record on Thursday, May 21st will be issued a dividend of $0.53 per share. This is an increase from Applied Materials’s previous quarterly dividend of $0.46. This represents a $2.12 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend is Thursday, May 21st. Applied Materials’s dividend payout ratio is currently 17.28%.

Applied Materials Company Profile

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.