Applied Materials Posts $2.17 EPS Beat, Guides $1.98-2.38 Q1 EPS and Declares $0.46 Dividend
Applied Materials reported Q4 EPS of $2.17, beating estimates by $0.06, on $6.80B revenue, down 3.5% year-over-year, and set Q1 2026 EPS guidance at $1.98-2.38. Several analysts raised price targets — KeyCorp to $380, Susquehanna to $400 — while the company declared a $0.46 quarterly dividend.
1. Audent Global Asset Management Reduces AMAT Holding by Over Half
In the third quarter, Audent Global Asset Management LLC cut its position in Applied Materials by 50.6%, disposing of 6,675 shares and retaining 6,523 shares at quarter end. This sale reduced AMAT’s weight to 1.0% of Audent’s overall portfolio, making it the firm’s 25th largest holding. The remaining stake was valued at approximately $1.34 million according to the latest SEC filing, reflecting both the manager’s tactical repositioning and confidence shift in semiconductor capital equipment demand cycles.
2. National Pension Service Increases Strategic Exposure
National Pension Service expanded its Applied Materials stake by purchasing 56,147 additional shares for the third quarter, lifting its total to 2,257,690 shares. With this increase, the public pension fund now holds roughly 0.28% of the company, representing an investment of about $462 million. This move underscores institutional belief in Applied Materials’ long-term technology leadership across deposition, etch and inspection systems amid ongoing chip fabrication upgrades globally.
3. Applied Materials Posts Solid Q3 Results and Raises Dividend
For the quarter ended November 13th, Applied Materials reported revenue of $6.80 billion, surpassing consensus estimates by $120 million, and delivered net margin of 24.7% alongside return on equity of 39.3%. Adjusted EPS of $2.17 beat forecasts by $0.06, while year-over-year revenue declined 3.5%. Management announced a quarterly dividend of $0.46 per share, implying a 21.2% payout ratio and annualized yield near 0.6%, payable in mid-March to shareholders of record in February. Guidance for Q1 anticipates EPS in the range of $1.98 to $2.38, signaling resilience in service and spare-parts revenue against softer equipment orders.
4. Analyst Outlook Remains Positive with Upgrades Across the Street
Over the past three months, 24 brokerages have maintained Buy ratings on Applied Materials and nine have issued Holds, resulting in a consensus “Moderate Buy” position. Recent research notes include target increases from key firms, reflecting bullish views on the semiconductor capex cycle recovery. Analysts cite strong backlog visibility, recurring service revenues and potential for margin expansion as drivers that could support further upside ahead of the next earnings release.