Applied Materials ($AMAT) earnings forecast on Thursday May 19
Applied Materials, Inc. (AMAT) is set to release its earnings report for the second quarter of fiscal year 2023 on Thursday, May 19. This highly anticipated report is expected to give investors and analysts insights into the company's financial performance, market position, and future growth prospects.
Leading up to this earnings release, AMAT's Momentum Indicator moved above the 0 level on May 05, 2023. This is an important technical signal that suggests the stock could be poised for a new upward move. Traders who follow momentum indicators may want to consider buying the stock or buying call options.
To further support this bullish outlook, Tickeron's A.I.dvisor analyzed 88 similar instances where the Momentum Indicator turned positive for AMAT. In 71 of those 88 cases, the stock moved higher in the following days. This translates to a probability of 81% for a move higher after a positive momentum signal.
Investors and analysts will be closely watching AMAT's earnings report to see if the company can continue its growth trajectory. In the first quarter of fiscal year 2023, the company reported revenue of $6.7 billion, an increase of 24% year-over-year. The company's net income also increased to $1.7 billion, or $1.85 per share, up from $1.4 billion, or $1.53 per share, in the same period last year.
Analysts expect AMAT to report earnings per share of $1.97 on revenue of $7.1 billion for the second quarter of fiscal year 2023. These estimates imply year-over-year growth of 27% and 19%, respectively.
AMAT is a leading provider of equipment, services, and software to the semiconductor industry. The company's products are used in the production of a wide range of electronic devices, including smartphones, computers, and other consumer electronics.
The semiconductor industry has been experiencing strong demand and supply constraints, leading to higher prices and longer lead times for customers. This trend has been benefiting companies like AMAT, which are well-positioned to capitalize on the growing demand for semiconductors.
The technical signals and historical data suggest that AMAT could be set for a new upward move. Investors and traders will be closely watching the company's earnings report on Thursday, May 19, to see if the company can continue its growth trajectory and deliver strong financial results.
AMAT Trading results, last 6 months - Swing Trader: Medium Volatility Stocks for Active Trading (TA&FA) +12.98%
AMAT's RSI Indicator recovers from oversold territory
The RSI Indicator for AMAT moved out of oversold territory on March 12, 2025. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 25 similar instances when the indicator left oversold territory. In of the 25 cases the stock moved higher. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Moving Average Convergence Divergence (MACD) for AMAT just turned positive on March 17, 2025. Looking at past instances where AMAT's MACD turned positive, the stock continued to rise in of 47 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AMAT advanced for three days, in of 314 cases, the price rose further within the following month. The odds of a continued upward trend are .
AMAT may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 70 cases where AMAT's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on March 27, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on AMAT as a result. In of 91 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
AMAT moved below its 50-day moving average on February 21, 2025 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AMAT crossed bearishly below the 50-day moving average on February 25, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 18 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
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 .
The Aroon Indicator for AMAT entered a downward trend on March 20, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
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 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 (9.950) is normal, around the industry mean (9.662). P/E Ratio (24.546) is within average values for comparable stocks, (70.102). Projected Growth (PEG Ratio) (2.493) is also within normal values, averaging (2.410). Dividend Yield (0.006) settles around the average of (0.022) among similar stocks. P/S Ratio (6.631) is also within normal values, averaging (36.112).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 74, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady 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 PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average 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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General Information
a manufacturer of equipment and software for the semiconductor industries
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