Applied Materials reported a 98% year-over-year increase in NAND equipment and service revenue, reaching $1.41 billion for the fiscal year ended October 31, 2025. This marks the highest annual NAND-related revenue in the company’s history, driven by strong customer demand for high-density flash memory used in data centers, smartphones and consumer electronics.

The company attributed the flash memory momentum to widespread adoption of advanced 3D NAND node transitions, with customers migrating to 176-layer and 200-layer process technologies. Applied Materials also saw record sales of its Veeco-originated metrology and inspection platforms, with unit shipments up 65% compared to the prior year, underscoring the critical role of process control in next-generation memory manufacturing.

On January 11, 2026, Susquehanna Financial Group increased its price target for Applied Materials to $400 per share, representing a projected upside of roughly 33% from prevailing levels. The firm simultaneously upgraded its rating from Neutral to Positive, citing the company’s leading position in enabling high-volume production of advanced nodes and its robust order backlog of over $5 billion in capital equipment.

In the fourth quarter, several asset managers expanded their holdings in Applied Materials. FengHe Fund Management acquired 97,500 shares, raising its position to 1.8% of assets under management. Parnassus Investments increased its stake by 12.6%, adding 422,231 shares, while MASTERINVEST Kapitalanlage grew its holdings by 8.8%. These moves reflect growing confidence from major institutional investors in Applied Materials’ long-term growth prospects.