Applied Materials Stock Buy Hold or Sell Recommendation
| AMAT Stock | USD 203.38 5.88 2.98% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Applied Materials is 'Strong Buy'. Macroaxis provides Applied Materials buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding AMAT positions. The advice algorithm takes into account all of Applied Materials' available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Applied Materials' buy or sell advice are summarized below:
Real Value 216.27 | Target Price 149.06 | Hype Value 203.38 | Market Value 203.38 | Naive Value 195.6 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Applied Materials given historical horizon and risk tolerance towards Applied Materials. When Macroaxis issues a 'buy' or 'sell' recommendation for Applied Materials, the advice is generated through an automated system that utilizes algorithms and statistical models.
Applied |
Execute Applied Materials Buy or Sell Advice
The Applied recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Applied Materials. Macroaxis does not own or have any residual interests in Applied Materials or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Applied Materials' advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Applied Materials Trading Alerts and Improvement Suggestions
| Applied Materials is unlikely to experience financial distress in the next 2 years | |
| Over 86.0% of the company shares are held by institutions such as insurance companies | |
| On 14th of March 2024 Applied Materials paid $ 0.32 per share dividend to its current shareholders | |
| Latest headline from gurufocus.com: Disposition of 23228 shares by Omkaram Nalamasu of Applied Materials at 162.45 subject to Rule 16b-3 |
Applied Materials Returns Distribution Density
The distribution of Applied Materials' historical returns is an attempt to chart the uncertainty of Applied Materials' future price movements. The chart of the probability distribution of Applied Materials daily returns describes the distribution of returns around its average expected value. We use Applied Materials price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Applied Materials returns is essential to provide solid investment advice for Applied Materials.
| Mean Return | 0.26 | Value At Risk | -3.32 | Potential Upside | 4.28 | Standard Deviation | 2.31 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Applied Materials historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Applied Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Applied Materials is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Applied Materials backward and forwards among themselves. Applied Materials' institutional investor refers to the entity that pools money to purchase Applied Materials' securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Northern Trust Corp | 2023-12-31 | 9.5 M | Norges Bank | 2023-12-31 | 9.3 M | Nuveen Asset Management, Llc | 2023-12-31 | 8 M | Legal & General Group Plc | 2023-12-31 | 7.5 M | Generation Investment Management Llp | 2023-12-31 | 7.4 M | Ameriprise Financial Inc | 2023-12-31 | 7.2 M | Amvescap Plc. | 2023-12-31 | 7.1 M | Matrix Capital Management Company, Llc | 2023-12-31 | 7.1 M | Ubs Asset Mgmt Americas Inc | 2023-12-31 | 6.9 M | Blackrock Inc | 2023-12-31 | 75.2 M | Vanguard Group Inc | 2023-12-31 | 74.1 M |
Applied Materials Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (421M) | (405M) | (1.6B) | 207M | 186.3M | 195.6M | |
| Change In Cash | 2.3B | (365M) | (3.0B) | 4.1B | 4.8B | 5.0B | |
| Free Cash Flow | 3.4B | 4.8B | 4.6B | 7.6B | 8.7B | 9.2B | |
| Depreciation | 376M | 394M | 444M | 515M | 592.3M | 314.0M | |
| Other Non Cash Items | 60M | 78M | 32M | 40M | 46M | 43.7M | |
| Capital Expenditures | 422M | 668M | 787M | 1.1B | 1.3B | 1.3B | |
| Net Income | 3.6B | 5.9B | 6.5B | 6.9B | 7.9B | 8.3B | |
| End Period Cash Flow | 5.5B | 5.1B | 2.1B | 6.2B | 7.2B | 7.5B | |
| Change To Netincome | 293M | 447M | 504M | 222M | 255.3M | 302.0M | |
| Dividends Paid | 787M | 838M | 873M | 975M | 1.1B | 1.2B | |
| Investments | 399M | (536M) | (129M) | (1.5B) | (1.4B) | (1.3B) | |
| Change Receivables | (207M) | (427M) | (2.0B) | (1.1B) | (998.1M) | (948.2M) |
Applied Materials Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Applied Materials or Semiconductors & Semiconductor Equipment sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Applied Materials' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Applied stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.15 | |
β | Beta against NYSE Composite | 1.37 | |
σ | Overall volatility | 2.30 | |
Ir | Information ratio | 0.08 |
Applied Materials Volatility Alert
Applied Materials currently demonstrates below-average downside deviation. It has Information Ratio of 0.08 and Jensen Alpha of 0.15. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Applied Materials' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Applied Materials' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Applied Materials Implied Volatility
Applied Materials' implied volatility exposes the market's sentiment of Applied Materials stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Applied Materials' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Applied Materials stock will not fluctuate a lot when Applied Materials' options are near their expiration.
Applied Materials Fundamentals Vs Peers
Comparing Applied Materials' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Applied Materials' direct or indirect competition across all of the common fundamentals between Applied Materials and the related equities. This way, we can detect undervalued stocks with similar characteristics as Applied Materials or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Applied Materials' fundamental indicators could also be used in its relative valuation, which is a method of valuing Applied Materials by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Applied Materials to competition |
| Fundamentals | Applied Materials | Peer Average |
| Return On Equity | 0.46 | -0.31 |
| Return On Asset | 0.16 | -0.14 |
| Profit Margin | 0.27 % | (1.27) % |
| Operating Margin | 0.29 % | (5.51) % |
| Current Valuation | 167.48 B | 16.62 B |
| Shares Outstanding | 830.9 M | 571.82 M |
| Shares Owned By Insiders | 0.30 % | 10.09 % |
| Shares Owned By Institutions | 85.63 % | 39.21 % |
| Number Of Shares Shorted | 12.49 M | 4.71 M |
| Price To Earning | 14.73 X | 28.72 X |
| Price To Book | 9.91 X | 9.51 X |
| Price To Sales | 6.52 X | 11.42 X |
| Revenue | 26.52 B | 9.43 B |
| Gross Profit | 11.99 B | 27.38 B |
| EBITDA | 8.47 B | 3.9 B |
| Net Income | 6.86 B | 570.98 M |
| Cash And Equivalents | 2.58 B | 2.7 B |
| Cash Per Share | 3.02 X | 5.01 X |
| Total Debt | 5.56 B | 5.32 B |
| Debt To Equity | 0.45 % | 48.70 % |
| Current Ratio | 2.16 X | 2.16 X |
| Book Value Per Share | 20.98 X | 1.93 K |
| Cash Flow From Operations | 8.7 B | 971.22 M |
| Short Ratio | 2.69 X | 4.00 X |
| Earnings Per Share | 8.50 X | 3.12 X |
| Price To Earnings To Growth | 2.48 X | 4.89 X |
| Target Price | 221.58 | |
| Number Of Employees | 34.5 K | 18.84 K |
| Beta | 1.58 | -0.15 |
| Market Capitalization | 168.99 B | 19.03 B |
| Total Asset | 30.73 B | 29.47 B |
| Retained Earnings | 43.73 B | 9.33 B |
| Working Capital | 11.78 B | 1.48 B |
Note: Applied Materials exotic insider transaction detected [view details]
Applied Materials Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Applied . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Applied Materials Buy or Sell Advice
When is the right time to buy or sell Applied Materials? Buying financial instruments such as Applied Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 5.5B | 5.6B | 6.4B | 6.7B | Total Assets | 26.7B | 30.7B | 35.3B | 37.1B |
Use Investing Ideas to Build Portfolios
In addition to having Applied Materials in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Target Risk ETFs Thematic Idea Now
Target Risk ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Target Risk ETFs theme has 33 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Target Risk ETFs Theme or any other thematic opportunities.
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Check out Applied Materials Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more information on how to buy Applied Stock please use our How to Invest in Applied Materials guide.Note that the Applied Materials information on this page should be used as a complementary analysis to other Applied Materials' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Complementary Tools for Applied Stock analysis
When running Applied Materials' price analysis, check to measure Applied Materials' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Applied Materials is operating at the current time. Most of Applied Materials' value examination focuses on studying past and present price action to predict the probability of Applied Materials' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Applied Materials' price. Additionally, you may evaluate how the addition of Applied Materials to your portfolios can decrease your overall portfolio volatility.
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Is Applied Materials' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Applied Materials. If investors know Applied will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Applied Materials listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.193 | Dividend Share 1.28 | Earnings Share 8.5 | Revenue Per Share 31.662 | Quarterly Revenue Growth (0.01) |
The market value of Applied Materials is measured differently than its book value, which is the value of Applied that is recorded on the company's balance sheet. Investors also form their own opinion of Applied Materials' value that differs from its market value or its book value, called intrinsic value, which is Applied Materials' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Applied Materials' market value can be influenced by many factors that don't directly affect Applied Materials' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Applied Materials' value and its price as these two are different measures arrived at by different means. Investors typically determine if Applied Materials is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Applied Materials' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.