Mizuho Reiterates Outperform Rating on Applied Materials
Mizuho analyst Vijay Rakesh reiterated an Outperform rating and $500.00 price target on Applied Materials (NASDAQ: AMAT).
“AMAT reported good AprQ and guided JulQ ABOVE consensus to ~$8.95B, noting accelerating tool demand with Agentic AI.
Key points: 1) AMAT now sees Semi systems growing >30% y/y (prior >20%) with AI driving leading-edge foundry/logic and DRAM/adv. packaging; 2) guide is higher than our ests 2026/2027E WFE up ~20%/~14% y/y, as we see potentially significant upside to 2027E (up 25%+ y/y) with timing of clean room capacity opening up; 3) JulQ Rev/EPS guided to $8.95B/$3.36, above consensus $8.15B/$2.88 with strong mix and pricing; and 4) 2026E AGS to grow >15% y/y and mid-teens% CAGR medium term as installed base expands.Maintain Outperform, raise estimates and PT to $500 (prior $410).
While AMAT is executing well, we see LRCX positioned even better L-T with Moly/GAA/Etch share gain, and both benefiting from SIGNIFICANT global WFE tailwinds, greenfield fab capacity, and TSMC (2330TW, Kevin Wang-HK)/INTC capex.”
The price target and rating on this page are the opinion of the issuing research firm and its analyst, not of Price Target. This page is published for informational purposes only and is not investment advice, a recommendation, or an offer to buy or sell any security. Past performance does not guarantee future results. Consider your own circumstances and consult a licensed financial adviser before making investment decisions.
This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.
