Applied Materials AMAT Q1 2026 Earnings Transcript
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Should l Buy AMAT?
Source: NASDAQ.COM
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Analyst Views on AMAT
Wall Street analysts forecast AMAT stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMAT is 288.05 USD with a low forecast of 190.00 USD and a high forecast of 425.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
22 Analyst Rating
18 Buy
4 Hold
0 Sell
Strong Buy
Current: 339.880
Low
190.00
Averages
288.05
High
425.00
Current: 339.880
Low
190.00
Averages
288.05
High
425.00
About AMAT
Applied Materials, Inc. is a materials engineering solution company. The Company provides equipment, services and software to the semiconductor, display, and related industries. It operates in three segments: Semiconductor Systems, Applied Global Services (AGS), and Display. The Semiconductor systems segment designs, develops, manufactures and sells a range of primarily 300 mm equipment used to fabricate semiconductor chips, also referred to as integrated circuits (ICs). The AGS segment provides services, spares and factory automation software to customer fabrication plants globally. The AGS segment also manufactures and sells 200mm and other equipment. The Display segment is comprised primarily of products for manufacturing liquid crystal displays (LCDs), organic light-emitting diodes (OLEDs), and other display technologies for televisions, monitors, laptops, personal computers (PCs), tablets, smartphones, and other consumer-oriented devices.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Applied Materials Resolves Export Probe and Doubles Down on Chip Technology Investment
- Export Probe Resolution: Applied Materials has settled with the U.S. Department of Commerce, paying $252.5 million to resolve allegations of export violations to China from November 2020 to July 2022, allowing the company to refocus on its technology roadmap and long-term growth strategy.
- New Chipmaking Systems Launch: The company introduced new deposition, etch, and materials engineering systems aimed at enhancing the performance of 2nm and beyond logic chips, which are crucial for supporting more energy-efficient AI computing in response to rising market demands.
- EPIC R&D Center Collaboration: Samsung has joined Applied Materials' $5 billion EPIC R&D Center, set to become fully operational in spring 2026, designed to accelerate chip development through parallel process integration and significantly reduce time-to-market.
- Stock Price Movement: Applied Materials shares fell 1.24% to $335.68 in premarket trading on Thursday, nearing its 52-week high of $344.60, reflecting market interest in the company's long-term growth potential.
See More
Applied Materials Exceeds Earnings Expectations
- Earnings Beat: Applied Materials reported Q1 revenue of $7.01 billion, a 2% decline year-over-year, yet surpassing analyst expectations of $6.88 billion, demonstrating the company's resilience and competitive strength in the market.
- Strong Future Outlook: The company forecasts earnings per share of $2.64 for 2026, significantly above the street estimate of $2.28, reflecting management's confidence in future growth, particularly amid accelerating investments in AI infrastructure.
- Semiconductor Equipment Growth: CFO Brice Hill indicated that the semiconductor equipment business is expected to grow over 20% in 2026, signaling a stronger performance in the second half of the year, which further solidifies the company's leadership position in the industry.
- Market Sentiment Shift: Retail sentiment on Stocktwits shifted from 'bearish' to 'bullish' regarding AMAT shares in the past 24 hours, indicating investor recognition of the company's earnings, with AMAT stock rising over 81% in the past year.
See More
Applied Materials AMAT Q1 2026 Earnings Transcript
See More
Multiple Companies Shine in After-Hours Trading
- Applied Materials Earnings Beat: California-based semiconductor equipment company Applied Materials reported adjusted earnings of $2.38 per share and revenue of $7.01 billion, both exceeding analyst expectations, leading to an 11% stock price increase that reflects strong market demand and profitability.
- Coinbase Trading Volume Surge: Coinbase announced a total trading volume of $5.2 trillion in 2025, up 156% year-over-year, and despite missing fourth-quarter revenue expectations, its stock rose nearly 2%, indicating robust performance in the crypto market.
- Rivian Delivery Forecast Upgrade: Electric truck manufacturer Rivian expects vehicle deliveries for 2026 to range from 62,000 to 67,000 units, representing a 47% to 59% increase compared to 2025, resulting in a 14% stock price surge that reflects market confidence in its growth potential.
- Airbnb's Upbeat Guidance: Airbnb reported fourth-quarter earnings of $0.56 per share on $2.78 billion in revenue, falling short of analyst expectations, yet the company anticipates full-year revenue growth of at least low double digits, leading to a stock increase of about 2%, showcasing market confidence in its future growth.
See More
Applied Materials Q1 Earnings Exceed Expectations
- Earnings Beat: Applied Materials reported Q1 revenue of $7.01 billion, surpassing analyst expectations of $6.87 billion, despite a 2% year-over-year decline, indicating strong performance in the semiconductor equipment market.
- Profitability Improvement: The company posted adjusted earnings of $2.38 per share, exceeding the $2.20 forecast, with a gross margin of 49%, showcasing effective cost control and pricing strategies.
- Optimistic Outlook: Applied Materials anticipates Q2 revenue of $7.65 billion, significantly above the $7.01 billion estimate, reflecting strong confidence in demand for AI computing and high-performance chips.
- Stock Surge: Following the earnings report, Applied Materials shares rose 9.02% in after-hours trading to $358, indicating positive market sentiment regarding the company's growth potential.
See More
Applied Materials Q1 Earnings Exceed Expectations
- Strong Earnings Report: Applied Materials reported a Q1 non-GAAP EPS of $2.38, beating expectations by $0.17, which reflects the company's robust performance in the semiconductor equipment market and boosts investor confidence.
- Slight Revenue Decline: The Q1 revenue of $7.01 billion represents a 2.2% year-over-year decline; however, it still surpassed market expectations by $130 million, indicating the company's ability to maintain relatively stable revenue levels amid challenging conditions.
- Optimistic Future Outlook: For Q2 FY2026, total revenue is projected to be $7.65 billion, with a variance of $500 million, exceeding the consensus estimate of $7.02 billion, showcasing the company's confidence in future growth.
- Increased EPS Expectations: The anticipated non-GAAP diluted EPS for Q2 is $2.64, with a variance of $0.20, surpassing the consensus of $2.28, reflecting ongoing improvements in the company's profitability.
See More
Applied Materials Resolves Export Probe and Doubles Down on Chip Technology Investment
- Export Probe Resolution: Applied Materials has settled with the U.S. Department of Commerce, paying $252.5 million to resolve allegations of export violations to China from November 2020 to July 2022, allowing the company to refocus on its technology roadmap and long-term growth strategy.
- New Chipmaking Systems Launch: The company introduced new deposition, etch, and materials engineering systems aimed at enhancing the performance of 2nm and beyond logic chips, which are crucial for supporting more energy-efficient AI computing in response to rising market demands.
- EPIC R&D Center Collaboration: Samsung has joined Applied Materials' $5 billion EPIC R&D Center, set to become fully operational in spring 2026, designed to accelerate chip development through parallel process integration and significantly reduce time-to-market.
- Stock Price Movement: Applied Materials shares fell 1.24% to $335.68 in premarket trading on Thursday, nearing its 52-week high of $344.60, reflecting market interest in the company's long-term growth potential.
See More
Applied Materials Exceeds Earnings Expectations
- Earnings Beat: Applied Materials reported Q1 revenue of $7.01 billion, a 2% decline year-over-year, yet surpassing analyst expectations of $6.88 billion, demonstrating the company's resilience and competitive strength in the market.
- Strong Future Outlook: The company forecasts earnings per share of $2.64 for 2026, significantly above the street estimate of $2.28, reflecting management's confidence in future growth, particularly amid accelerating investments in AI infrastructure.
- Semiconductor Equipment Growth: CFO Brice Hill indicated that the semiconductor equipment business is expected to grow over 20% in 2026, signaling a stronger performance in the second half of the year, which further solidifies the company's leadership position in the industry.
- Market Sentiment Shift: Retail sentiment on Stocktwits shifted from 'bearish' to 'bullish' regarding AMAT shares in the past 24 hours, indicating investor recognition of the company's earnings, with AMAT stock rising over 81% in the past year.
See More
Applied Materials AMAT Q1 2026 Earnings Transcript
See More
Multiple Companies Shine in After-Hours Trading
- Applied Materials Earnings Beat: California-based semiconductor equipment company Applied Materials reported adjusted earnings of $2.38 per share and revenue of $7.01 billion, both exceeding analyst expectations, leading to an 11% stock price increase that reflects strong market demand and profitability.
- Coinbase Trading Volume Surge: Coinbase announced a total trading volume of $5.2 trillion in 2025, up 156% year-over-year, and despite missing fourth-quarter revenue expectations, its stock rose nearly 2%, indicating robust performance in the crypto market.
- Rivian Delivery Forecast Upgrade: Electric truck manufacturer Rivian expects vehicle deliveries for 2026 to range from 62,000 to 67,000 units, representing a 47% to 59% increase compared to 2025, resulting in a 14% stock price surge that reflects market confidence in its growth potential.
- Airbnb's Upbeat Guidance: Airbnb reported fourth-quarter earnings of $0.56 per share on $2.78 billion in revenue, falling short of analyst expectations, yet the company anticipates full-year revenue growth of at least low double digits, leading to a stock increase of about 2%, showcasing market confidence in its future growth.
See More
Applied Materials Q1 Earnings Exceed Expectations
- Earnings Beat: Applied Materials reported Q1 revenue of $7.01 billion, surpassing analyst expectations of $6.87 billion, despite a 2% year-over-year decline, indicating strong performance in the semiconductor equipment market.
- Profitability Improvement: The company posted adjusted earnings of $2.38 per share, exceeding the $2.20 forecast, with a gross margin of 49%, showcasing effective cost control and pricing strategies.
- Optimistic Outlook: Applied Materials anticipates Q2 revenue of $7.65 billion, significantly above the $7.01 billion estimate, reflecting strong confidence in demand for AI computing and high-performance chips.
- Stock Surge: Following the earnings report, Applied Materials shares rose 9.02% in after-hours trading to $358, indicating positive market sentiment regarding the company's growth potential.
See More
Applied Materials Q1 Earnings Exceed Expectations
- Strong Earnings Report: Applied Materials reported a Q1 non-GAAP EPS of $2.38, beating expectations by $0.17, which reflects the company's robust performance in the semiconductor equipment market and boosts investor confidence.
- Slight Revenue Decline: The Q1 revenue of $7.01 billion represents a 2.2% year-over-year decline; however, it still surpassed market expectations by $130 million, indicating the company's ability to maintain relatively stable revenue levels amid challenging conditions.
- Optimistic Future Outlook: For Q2 FY2026, total revenue is projected to be $7.65 billion, with a variance of $500 million, exceeding the consensus estimate of $7.02 billion, showcasing the company's confidence in future growth.
- Increased EPS Expectations: The anticipated non-GAAP diluted EPS for Q2 is $2.64, with a variance of $0.20, surpassing the consensus of $2.28, reflecting ongoing improvements in the company's profitability.
See More
