Applied Materials (AMAT) Maintains Overweight Rating as Analysts Cite Modeling Missteps

Applied Materials, Inc. (NASDAQ:AMAT) ranks among the most active stocks to buy according to Wall Street analysts. Cantor Fitzgerald reaffirmed its Overweight rating and $200 price target for Applied Materials, Inc. (NASDAQ:AMAT) on August 25. After Applied Materials’ recent disappointing report, which contrasted with conflicting signals from other semiconductor equipment makers over the July earnings season, the firm responded to investor inquiries regarding possible changes in the industry.

Instead of a fundamental change in the semiconductor equipment industry, Cantor Fitzgerald blamed Applied Materials’ poor performance on “poor internal modeling” and a failure to “set investor expectations appropriately.”

Looking ahead, Cantor Fitzgerald anticipates that remarks made during the next conference season will support its forecast that modest growth in wafer fabrication equipment (WFE) will reach $115 billion in 2026, an increase of around 7%.

Applied Materials, Inc. (NASDAQ:AMAT) provides production equipment, software, and services to the semiconductor industry. The company operates in three segments: Semiconductor Systems, Applied Global Services, and Display & Adjacent Markets.

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