The stock is currently trading at $192.05, showing strong momentum with a +2.99% gain in the last regular trading session. The RSI of 69.93 indicates the stock is approaching overbought territory but hasn't reached extreme levels yet. The MACD at 2.83 suggests positive momentum.

Recent Developments KeyBanc recently upgraded AMAT to Overweight from Sector Weight with a $225 price target, implying a 17.5% upside potential. This upgrade reflects growing confidence in the company's positioning within the semiconductor equipment sector.

Valuation & Financial Strength

Applied Materials maintains a strong market position as the world's second-largest semiconductor equipment supplier. The company has demonstrated solid financial performance with record highs in revenue and EPS in recent quarters.

Growth Catalysts

Strong demand in foundry-logic segment
Growing opportunities in AI and high-bandwidth memory
Expanding services business providing recurring revenue
Global semiconductor manufacturing expansion

Risk Factors

Cyclical nature of semiconductor industry
China exposure and export restrictions
Near-term consumer demand weakness
Approaching overbought technical levels

Conclusion Based on the technical strength, recent analyst upgrade, and strong industry positioning, AMAT appears attractive for purchase at current levels. The stock has support at the Fibonacci levels of $189.34 and $167.65, while resistance sits at $196.04. Consider entering positions at current levels with a stop loss below $188.79 (recent low).

What is price prediction 2025 for AMAT Stock?

Based on the provided data and recent market analysis, here is the price prediction for AMAT stock in 2025:

AMAT stock is expected to reach $225 by mid-2025, driven by strong AI-related DRAM demand and increased high-bandwidth memory (HBM) requirements. The company's HBM packaging revenues grew to over $700 million in fiscal 2024, and this trend is expected to accelerate as AI models require more complex memory solutions. KeyBanc Capital Markets recently upgraded AMAT to overweight with a $225 price target.

The stock currently trades at an attractive forward P/E of 17.08, which is 31.73% below the sector median, despite showing stronger revenue growth than peers. This valuation disconnect suggests significant upside potential as the market recognizes Applied Materials' crucial role in AI chip manufacturing.

What is surpport and resistant level for AMAT Stock?

The S1 support level for AMAT Stock is $171.52 ,The R1 resistant level for AMAT Stock is $196.59.

What is the current price of AMAT Stock?

As of the end of day on 2025-01-24, the price of AMAT Stock was $186.72.

What is the target price of AMAT Stock?

The target price for AMAT Stock according to analyst rating is 210.83, with the highest price target at 250.00 and the lowest at 164.00. Analysts have a Moderate Buy rating on AMAT Stock overall.

What is the market cap of Applied Materials Inc?

The market cap of AMAT is $151.8B.

Is Applied Materials Inc (AMAT) overvalued?

Based on the provided data and recent analyst reports, here's a concise analysis of AMAT's valuation:

AMAT is currently trading at $192.05, showing signs of being fairly valued rather than overvalued. The company's forward P/E ratio of 21.67x for Q4 2024 is lower than its recent quarters, indicating improving valuation metrics. The semiconductor equipment maker's EV/EBITDA ratio has also declined to 18.23x, suggesting reasonable valuation compared to industry peers. Recent analyst actions support this view, with KeyBanc upgrading AMAT to Overweight with a $225 price target, implying 17.5% upside potential. The company's strong market position in semiconductor manufacturing equipment and exposure to AI-driven growth provide fundamental support for current valuation levels.

What is Applied Materials Inc (AMAT)'s business?

Applied Materials, Inc. is a materials engineering solutions provider. The Company provides manufacturing equipment, services and software to the semiconductor, display and related industries. Its segments include Semiconductor Systems, Applied Global Services (AGS), and Display and Adjacent Markets. Semiconductor Systems segment develops, manufactures and sells a range of manufacturing equipment used to fabricate semiconductor chips, also referred to as integrated circuits (ICs). AGS segment provides integrated solutions to optimize equipment and fab performance and productivity, including spares, upgrades, services, remanufactured earlier generation equipment and factory automation software for semiconductor, display and other products. Display and Adjacent Markets segment is comprised of products for manufacturing liquid crystal displays (LCDs), organic light-emitting diodes (OLEDs), and other display technologies for monitors, smart phones, and other consumer-oriented devices.

What is price prediction 2030 for AMAT Stock?

Based on the provided data and analysis, here's a price prediction for AMAT stock in 2030:

AMAT stock is projected to reach $350-375 by 2030, driven by three key factors: the explosive growth in AI chip demand, increasing semiconductor manufacturing complexity, and global supply chain diversification.

The company's strong position in gate-all-around (GAA) chips manufacturing equipment, which generated $2.5 billion revenue in fiscal 2024 and is expected to double in 2025, provides significant growth momentum. Additionally, AMAT's high-bandwidth memory (HBM) packaging revenue of $700 million in fiscal 2024 is poised for substantial expansion as the HBM market is forecasted to grow from $12.3 billion in 2024 to $21 billion in 2025.

The global semiconductor industry's capacity is expected to increase by 7% in 2025, with advanced chip capacity growing at an even faster rate of 17%. This expansion, coupled with the $70 billion investment in U.S. fabrication plants by major foundries in 2025, positions AMAT for sustained long-term growth.