Applied Materials, Inc. · Common stock · Santa Clara, California

AI chips need new materials, and Applied sells the tools.

Applied Materials makes the deposition, etch, inspection and packaging tools that chipmakers buy, and services the machines already in their fabs. Revenue rose 25% to a record $9.12B last quarter on leading-edge logic, DRAM for AI and advanced packaging, and the October-quarter guide of $10.25B would be up 51%. The catch: China is still 28% of sales under tightening US export rules, and the stock has nearly doubled this year.

Last close · Oct 9, 2026

$507.03

Market cap

$402B

at current price

52-week range

$210–723

closing low / high

P/E (trailing GAAP)

~44×

last 4 quarters EPS $11.60 · Q4 guide × 4 ≈ 32×

Revenue TTM

Q4 FY26 guide

$10.25B

±$0.5B · +51% YoY · non-GAAP EPS $4.02 ±$0.20

Next earnings

Nov 12

Q4 FY26 results and Q1 FY27 guide · after the close

Price, last 12 months

Daily closes with the 50-day average. Applied peaked at $723 on Jun 30, fell to $436 by Jul 29, and has closed between about $415 and $545 since August.

1Y closing high

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1Y closing low

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SMA 50

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SMA 200

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RSI 14

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Avg daily move

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last 20 sessions

Beta

1.59

vs. S&P 500

From peak

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Revenue and margins, by quarter

Revenue in US$ millions, with GAAP gross margin on the right axis. Applied's fiscal year ends on the last Sunday of October, so Q3 FY26 is the quarter ended Jul 26, 2026. Revenue covers Semiconductor Systems, Applied Global Services and Display (reported under corporate and other). The last bar is company guidance at the midpoint.

RevenueGross margin (right axis)Guidance

Q3 FY26

$9.12B

+25% YoY · +15% QoQ · record

Semiconductor Systems

$7.04B

+27% YoY · 37.7% margin · DRAM 26%

Applied Global Services

$1.78B

+22% YoY · 30.1% margin

Display & other

$294M

+7% YoY · operating loss $118M

Gross margin

50.3%

GAAP · +1.5 pts YoY · 13th straight YoY gain

EPS

$3.17

GAAP, +43% YoY · non-GAAP $3.50

Quarter	Ended	Revenue, US$M	YoY	Gross margin	Op. margin	EPS (GAAP)

Watch list

What moves the thesis, sorted by direction.

Tailwind

AI-driven mix

Leading-edge logic, DRAM and advanced packaging are expected to drive about 80% of equipment market growth. DRAM revenue, including HBM packaging, rose 52% and packaging is guided to grow over 70% in 2026.

Tailwind

Record margins

Non-GAAP operating margin hit a record 34.0%, up 3.3 points in a year, and the Q4 guide of $10.25B would be the biggest quarter yet.

Watch

Fiscal 2027 outlook

Management expects another strong growth year in 2027 and says top customers now share 8-quarter forecasts. The Nov 12 report gives the first Q1 FY27 number.

Watch

Capex build-out

Applied plans to double system output by 2028. Capex rose 35% in the first nine months of FY26, so free cash flow lagged profit growth.

Risk

China and export rules

China was 28% of revenue, down from 35% a year ago. The US Affiliates Rule, paused since Nov 2025, is now due back after the trade truce ends Jan 10, 2027, and China is pushing fabs toward local tools.

Risk

Cycle and valuation

At about 44 times trailing earnings the stock prices in a long upcycle. It fell about 40% from peak to trough in just one month this summer.

Calendar

Nov 12, 2026

Q4 FY26 earnings

Guide: $10.25B ±$0.5B revenue, with Semiconductor Systems about $7.9B, AGS about $1.84B and other (mostly Display) about $510M.

Jan 10, 2027

US–China truce deadline

The truce was extended two months; the paused export Affiliates Rule is set to return when it ends unless extended again.

Mid-Feb 2027

Q1 FY27 earnings

Date not yet announced; first-quarter results usually come in mid-February.