Applied Materials Stock Down 4.9%

Wall Street Analysts Forecast Growth for the Semiconductor Equipment Maker

Feb. 26, 2026 at 10:56pm

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Shares of Applied Materials, Inc. (NASDAQ:AMAT), a leading supplier of semiconductor manufacturing equipment, fell 4.9% during mid-day trading on Thursday. The stock traded as low as $366.54 before closing at $375.72 on volume of 7.7 million shares, down from the average daily volume of 8.3 million shares.

Why it matters

Applied Materials is a bellwether for the semiconductor industry, and its stock performance is closely watched by investors as an indicator of broader trends in the tech sector. The company's equipment is essential for the production of integrated circuits, display panels, and other advanced materials used across the electronics supply chain.

The details

The drop in Applied Materials' stock price came despite the company reporting strong financial results in its most recent quarter. AMAT posted earnings per share of $2.38, exceeding the consensus estimate of $2.21, on revenue of $7.01 billion. However, the stock's decline may be due to profit-taking after a recent run-up, as well as broader market volatility.

  • Applied Materials reported its Q2 2026 results on Thursday, February 12th.
  • The company's stock price closed down 4.9% on Thursday, February 26th.

The players

Applied Materials, Inc.

A leading supplier of semiconductor manufacturing equipment, headquartered in Santa Clara, California.

Barclays

An investment bank that boosted its price target for Applied Materials from $360 to $450 and maintained an "overweight" rating on the stock.

DZ Bank

A German bank that upgraded its rating on Applied Materials to "hold" from a previous rating.

Royal Bank of Canada

A financial institution that set a $430 price target for Applied Materials' stock.

Citigroup

A bank that increased its price target for Applied Materials from $400 to $420 and maintained a "buy" rating.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

The takeaway

Applied Materials' stock decline highlights the volatility in the semiconductor equipment sector, even as the company continues to see strong demand for its products and positive analyst sentiment. Investors will be closely watching the company's future financial performance and guidance as an indicator of broader trends in the tech industry.