Applied Materials Inc. [NASDAQ: AMAT] gained 2.02% or 1.2 points to close at $60.65 with a heavy trading volume of 7539746 shares.
It opened the trading session at $60.37, the shares rose to $61.02 and dropped to $59.51, the range by which the price of stock traded the whole day. The daily chart for AMAT points out that the company has recorded 40.26% gains over the past six months. However, it is still -65.53% lower than its most recent low trading price.
If we look at the average trading volume of 7.72M shares, AMAT reached to a volume of 7539746 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about Applied Materials Inc. [AMAT]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for AMAT shares is $76.16 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on AMAT stock is a recommendation set at 2.10. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Cowen have made an estimate for Applied Materials Inc. shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on August 14, 2020. While these analysts kept the previous recommendation, B. Riley FBR raised their target price from $72 to $82. The new note on the price target was released on August 14, 2020, representing the official price target for Applied Materials Inc. stock. Previously, the target price had yet another raise from $52.50 to $60, while Morgan Stanley kept a Equal-Weight rating on AMAT stock.
The Average True Range (ATR) for Applied Materials Inc. is set at 1.90, with the Price to Sales ratio for AMAT stock in the period of the last 12 months amounting to 3.38. The Price to Book ratio for the last quarter was 5.80, with the Price to Cash per share for the same quarter was set at 5.25. Price to Free Cash Flow for AMAT in the course of the last twelve months was 25.25 with Quick ratio for the last quarter at 1.90.
Trading performance analysis for AMAT stock
Applied Materials Inc. [AMAT] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 4.95. With this latest performance, AMAT shares dropped by -2.00% in over the last four-week period, additionally plugging by 40.26% over the last 6 months – not to mention a rise of 22.62% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for AMAT stock in for the last two-week period is set at 55.31, with the RSI for the last a single of trading hit 64.51, and the three-weeks RSI is set at 52.34 for Applied Materials Inc. [AMAT]. The present Moving Average for the last 50 days of trading for this stock 61.53, while it was recorded at 59.47 for the last single week of trading, and 57.92 for the last 200 days.
Applied Materials Inc. [AMAT]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Applied Materials Inc. [AMAT] shares currently have an operating margin of +22.93 and a Gross Margin at +43.47. Applied Materials Inc.’s Net Margin is presently recorded at +18.52.
Return on Total Capital for AMAT is now 26.10, given the latest momentum, and Return on Invested Capital for the company is 21.58. Return on Equity for this stock inclined to 35.95, with Return on Assets sitting at 14.70. When it comes to the capital structure of this company, Applied Materials Inc. [AMAT] has a Total Debt to Total Equity ratio set at 64.68. Additionally, AMAT Total Debt to Total Capital is recorded at 39.28, with Total Debt to Total Assets ending up at 27.91. Long-Term Debt to Equity for the company is recorded at 57.38, with the Long-Term Debt to Total Capital now at 34.84.
Reflecting on the efficiency of the workforce at the company, Applied Materials Inc. [AMAT] managed to generate an average of $123,000 per employee. Receivables Turnover for the company is 5.61 with a Total Asset Turnover recorded at a value of 0.79.Applied Materials Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.90 and a Current Ratio set at 2.90.
Applied Materials Inc. [AMAT]: An earnings per share (EPS) analysis
With the latest financial reports released by the company, Applied Materials Inc. posted 0.8/share EPS, while the average EPS was predicted by analysts to be reported at 0.76/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 5.30%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for AMAT. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Applied Materials Inc. go to 20.08%.
An analysis of insider ownership at Applied Materials Inc. [AMAT]
There are presently around $44,778 million, or 83.60% of AMAT stock, in the hands of institutional investors. The top three institutional holders of AMAT stocks are: VANGUARD GROUP INC with ownership of 75,073,023, which is approximately -0.489% of the company’s market cap and around 0.36% of the total institutional ownership; BLACKROCK INC., holding 72,115,670 shares of the stock with an approximate value of $4.37 billion in AMAT stocks shares; and PRICE T ROWE ASSOCIATES INC /MD/, currently with $3.47 billion in AMAT stock with ownership of nearly 11.86% of the company’s market capitalization.
Positions in Applied Materials Inc. stocks held by institutional investors increased at the end of August and at the time of the August reporting period, where 563 institutional holders increased their position in Applied Materials Inc. [NASDAQ:AMAT] by around 52,494,231 shares. Additionally, 553 investors decreased positions by around 53,229,671 shares, while 167 investors held positions by with 632,572,643 shares. The mentioned changes placed institutional holdings at 738,296,545 shares, according to the latest SEC report filing. AMAT stock had 170 new institutional investments in for a total of 3,533,199 shares, while 111 institutional investors sold positions of 15,066,477 shares during the same period.