Applied Materials (AMAT, $127.20) beats fiscal Q3 earnings expectations
Applied Materials reported earnings that exceeded expectations for the fiscal 2021 third quarter, ended Aug. 1.
The semiconductor company’s earnings came in at $1.87 per share, well above the $1.74 per share expected by analysts polled by FactSet. It was also up from 91 cents a share in the year-ago quarter.
Adjusted profit in the quarter was $1.90, exceeding analysts’ forecast of $1.77. That’s also up from $1.06 per share a year ago.
Revenue surged +41% from the year-ago quarter to $6.196 billion. The analyst consensus was $5.94 billion.
Looking ahead, Applied projects revenue of ~$6.33 billion in the current quarter, plus or minus $250 million. It expects non-GAAP adjusted diluted earnings per share in the range of $1.87 and $2.01.
AMAT in +4.67% Uptrend, rising for three consecutive days on May 30, 2023
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where AMAT advanced for three days, in of 312 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on May 05, 2023. You may want to consider a long position or call options on AMAT as a result. In of 87 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for AMAT just turned positive on May 02, 2023. Looking at past instances where AMAT's MACD turned positive, the stock continued to rise in of 43 cases over the following month. The odds of a continued upward trend are .
AMAT moved above its 50-day moving average on May 15, 2023 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for AMAT crossed bullishly above the 50-day moving average on May 17, 2023. This indicates that the trend has shifted higher and could be considered a buy signal. In of 16 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 261 cases where AMAT Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The RSI Indicator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AMAT declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
AMAT broke above its upper Bollinger Band on May 26, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. AMAT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 63, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.117) is normal, around the industry mean (7.030). P/E Ratio (18.018) is within average values for comparable stocks, (54.473). Projected Growth (PEG Ratio) (4.351) is also within normal values, averaging (2.572). Dividend Yield (0.008) settles around the average of (0.024) among similar stocks. P/S Ratio (4.388) is also within normal values, averaging (11.588).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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High and low price notable news
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a manufacturer of equipment and software for the semiconductor industries
Industry Semiconductors
AMAT and
Correlation & Price change
A.I.dvisor indicates that over the last year, AMAT has been closely correlated with LRCX. These tickers have moved in lockstep 93% of the time. This A.I.-generated data suggests there is a high statistical probability that if AMAT jumps, then LRCX could also see price increases.
| Ticker / NAME | Correlation To AMAT | 1D Price Change % | ||
|---|---|---|---|---|
| AMAT | 100% | +0.37% | ||
| LRCX - AMAT | 93% Closely correlated | +0.27% | ||
| KLAC - AMAT | 91% Closely correlated | -0.53% | ||
| TER - AMAT | 91% Closely correlated | -0.95% | ||
| ONTO - AMAT | 87% Closely correlated | +0.26% | ||
| NVMI - AMAT | 86% Closely correlated | -1.97% | ||
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