Applied Materials reported strong Q3 financial results with revenue up 25% to $9.12 billion and adjusted EPS rising 41% to $3.50, beating Wall Street estimates. However, the stock fell over 5% after earnings due to market expectations being even higher following a rally in 2026. An analyst from Bernstein raised the price target from $675 to $700, signaling about 31% upside from the current price of $534.54. The company projects strong Q4 revenue of $10.25 billion and adjusted EPS of $4.02, driven by robust performance in its Semiconductor Systems division, supporting a bullish outlook despite the recent stock dip.
Chip equipment stocks, led by Lam Research's 5% rise, outperformed the broader semiconductor sector on Friday. Applied Materials and KLA Corp. also gained 4% and 3%, respectively, as investors focused on the tools layer, which reflects future chipmak...
Steve Eisman recommends investing in chip suppliers like Micron, SK Hynix, ASML, KLA, Lam Research, and Applied Materials rather than chip designers amid the AI arms race. These suppliers have outperformed Nvidia in 2026, benefiting from strong AI-dr...
