Applied Materials, Inc. (AMAT) Stock Analysis
Range Bound setup · Temp Headwind edge
Technology · Semiconductor Equipment & Materials
Sell if holding. At $390.84, A.R:R is negative (-0.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: limited number of customers; Concentration risk — Geographic: China, Taiwan and Korea.
Applied Materials designs, develops, manufactures, and sells semiconductor wafer fabrication equipment and services globally across two segments: Semiconductor Systems (largest) and Applied Global Services. In fiscal 2025, approximately 89% of net revenue came from customers... Read more
Sell if holding. At $390.84, A.R:R is negative (-0.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: limited number of customers; Concentration risk — Geographic: China, Taiwan and Korea. Chart setup: RSI 45 mid-range, Bollinger mid-band. Score 5.4/10, moderate confidence.
Passes 3/7 gates (clean insider activity, no SEC red flags, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and news legal. Suitability: aggressive.
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomerlimited number of customers10-K Item 1A: 'A relatively limited number of customers account for a substantial portion of our business.'
- HIGHGeographicChina, Taiwan and Korea10-K Item 1A: 'Our customer base is geographically concentrated, particularly in China, Taiwan and Korea'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer
Rating Breakdown
2 floor-breakers
Momentum below the gate floor. Component breakdown shows what dragged the score down.static
Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $390.84, A.R:R is negative (-0.0) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: limited number of customers; Concentration risk — Geographic: China, Taiwan and Korea. Chart setup: RSI 45 mid-range, Bollinger mid-band. Prior stop was $364.93. Score 5.4/10, moderate confidence.
Take-profit target: $412.09 (+5.4% upside). Prior stop was $364.93. Stop-loss: $364.93.
Concentration risk — Customer: limited number of customers; Concentration risk — Geographic: China, Taiwan and Korea; Analyst target reached - limited upside remaining.
Applied Materials, Inc. trades at a P/E of 39.2 (forward 27.2). TrendMatrix value score: 3.5/10. Verdict: Sell.
43 analysts cover AMAT with a consensus score of 4.1/5. Average price target: $424.
What does Applied Materials, Inc. do?Applied Materials designs, develops, manufactures, and sells semiconductor wafer fabrication equipment and services...
Applied Materials designs, develops, manufactures, and sells semiconductor wafer fabrication equipment and services globally across two segments: Semiconductor Systems (largest) and Applied Global Services. In fiscal 2025, approximately 89% of net revenue came from customers outside the United States, with significant concentration in China, Taiwan, and Korea.