EssilorLuxottica and Applied Materials Announce Long-Term Collaboration Agreement
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
EssilorLuxottica (ESLOY) and Applied Materials (AMAT) announced a long-term joint development agreement to accelerate the commercialization of next-generation intelligent optical systems for augmented reality and AI-powered smart eyewear. "The collaboration combines EssilorLuxottica's global leadership in lenses, frames and smart eyewear with Applied Materials' expertise in materials engineering and waveguide technologies to advance scalable optical platforms capable of delivering lightweight, high-performance visual experiences for the next era of computing," the companies said in a statement. The companies will collaborate on research and development of advanced optical technologies, including waveguides, adaptive lens systems and materials innovations. Applied Materials and EssilorLuxottica also plan to jointly explore additional strategic opportunities to further develop and commercialize technologies created through the collaboration.
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Analyst Views on AMAT
Wall Street analysts forecast AMAT stock price to fall
22 Analyst Rating
18 Buy
4 Hold
0 Sell
Strong Buy
Current: 592.920
Low
190.00
Averages
288.05
High
425.00
Current: 592.920
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 through two segments: Semiconductor Systems and Applied Global Services (AGS). The Semiconductor Systems segment includes semiconductor capital equipment to enable materials engineering steps including etch, rapid thermal processing, deposition, chemical mechanical planarization, metrology and inspection, wafer packaging, and ion implantation. The AGS segment provides integrated solutions to optimize equipment and fab performance and productivity, including services, spares and factory automation software for semiconductor and other products. Its products include personal computing devices, mobile phones, artificial intelligence (AI) and data center servers, automobiles, connected devices, industrial applications and consumer electronics.
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.
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- Market Demand Response: By providing a complete co-optimized solution, the SENZ platform addresses the fragmented supply chains and inconsistent components in the smart glasses market, thereby reducing manufacturing complexity and shortening time-to-market, which is expected to drive market acceptance.
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- Industry Leadership: With its leadership in materials engineering solutions, Applied Materials is committed to advancing AI and the commercialization of next-generation chips, and the launch of the SENZ platform signifies a technological breakthrough in the smart glasses sector, potentially leading industry development.
See More
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- Rating Upgrade Impact: Citi reiterated its buy rating on Applied Materials and raised its price target to $710, implying a 15% upside from Thursday's closing price, reflecting market optimism about the stock's future performance.
- Earnings Miss Dragging Down: Accenture's stock fell nearly 25% this week, with an RSI of 23, after reporting third-quarter revenue of $18.72 billion, which was below market expectations, alongside a decline in new bookings, leading to diminished confidence in its growth prospects.
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- Apple's Price Increase Signals: Apple CEO Tim Cook indicated that the company will raise prices due to rising memory and storage chip costs, suggesting that memory prices are unlikely to decrease soon, which exacerbates supply-demand imbalances and drives up related chip stocks.
- Amazon's Chip Business Potential: Amazon shares rose after reports of talks to sell custom chips to third-party data centers, with CEO Andy Jassy estimating that the chip business could generate an annual revenue run rate of $50 billion, a figure comparable to analyst estimates for AMD, highlighting Amazon's potential in the semiconductor market.
- Upcoming Earnings Reports: Next week, earnings will be released from FedEx and its recently spun-off FedEx Freight, along with significant reports from memory chipmaker Micron and other key companies, as the market closely monitors these data points to assess economic health.
See More
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- Chip Stocks Lead Gains: Intel shares surged 7% after Trump announced a partnership with Apple to design and produce semiconductors domestically, propelling the entire semiconductor sector higher, with the iShares Semiconductor ETF rising over 5%, reflecting strong investor confidence in tech stocks.
- Energy Stocks Under Pressure: Crude oil prices fell more than 3%, putting pressure on energy producers, with major companies like ExxonMobil and Chevron experiencing declines, highlighting market concerns regarding the energy sector's outlook amid falling oil prices.
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