Analyst Ratings for Applied Materials Inc. (AMAT)

Updated: 2017-07-28

An average rating of Buy has been given to Applied Materials Inc. (NASDAQ:AMAT) by analysts covering the stock. AMAT had previously received a consensus rating of Buy a month ago.

24 analysts issued ratings on the stock, where 19 gave AMAT a buy rating, 0 gave an overweight rating, 4 issued a hold rating, 0 gave an underweight rating, and 1 gave a sell rating. Over the past 90 days, the number of analysts that are bullish on the stock has increased by 0. Meanwhile, the number of analysts pessimistic about the company has increased by 1.

Many analysts weighed in on price targets for AMAT. The most optimistic analyst gave a price target of 65, implying potential capital gains of 43.65 percent. The minimum price target given was 31, which equates to a potential downside of -31.49 percent. It is crucial to not blindly accept any price targets or stock ratings, because many analysts have it in their best interest to give positive coverage of certain stocks.

Over the past month, analysts have revised their estimates for this quarter's earnings, with a net average change of 0.6 percent. That number becomes 27.49 percent if we expand the time horizon to include the past 3 months instead of just one. On the other hand, earnings estimates for the fiscal year have been revised upwards by 0.49 percent, as compared to a month ago. If we look at the last 90 days instead, we find a net average change of 17.39 percent in FY estimates.

Another thing investors often look at is the level of agreement among analysts' revisions. Over the past month, 1 analysts increased their quarterly estimates, while 0 analysts revised their estimates downwards. Over the same time period, 2 analysts revised their FY earnings estimates upwards, while 0 analysts decreased their estimates.

The growth rate of AMAT's earnings is estimated by analysts to be 25.3 percent. The PEG ratio of a stock is another value frequently studied by investors. A lower PEG ratio is favorable, because that is often interpreted as the company being fairly priced relative to its growth rate. Wall Street investors typically prefer a PEG ratio to be smaller than 1, although it is frequently more appropriate to compare PEG ratios to the company's peers. AMAT has a PEG ratio of 0.74.

AMAT has a 52-week high of 47.86 and a 52-week low of 25.68. Today's price is 76.21 percent above the 52-week low, and below the high by 5.45 percent. AMAT has a P/E ratio of 18.62. Investors typically compare the P/E ratio to a company's peers in the industry. The AMAT value stock report compares AMAT to some of its peers using value stock charts. The market cap of AMAT is $49.48 billion. AMAT's next earnings release will be on 0000-00-00, which is days away.