Applied Materials, Inc. (AMAT) Reaffirms Its Forecast for High-End Chipmaking Tools; Cantor Fitzgerald Maintains Bullish Stance

Applied Materials, Inc. (NASDAQ:AMAT) is included in our list of the 11 Best Roth IRA Stocks to Invest in Now.

On August 28, 2025, Applied Materials, Inc. (NASDAQ:AMAT) provided reassurance to investors that the U.S. government’s moves at chipmakers’ foundry units, including Intel, will not affect the company’s forecast for high-end chipmaking tools. While the company’s CFO stated the incentives may impact factory locations, they won’t expand overall demand. He stated:

“We don’t think anybody’s going to build extra fabs that don’t have designs.”

Furthermore, Applied Materials, Inc. (NASDAQ:AMAT)’s CFO mentioned that competition could reduce utilization rates slightly without affecting the five-year outlook. Meanwhile, on August 25, 2025, Cantor Fitzgerald reiterated its ‘Buy’ rating on the company with a $200 price target.

Applied Materials, Inc. (NASDAQ:AMAT) serves global chipmakers and the electronics industry by providing them with semiconductor manufacturing equipment, services, and display technologies. It is one of the Best Roth IRA Stocks.

While we acknowledge the potential of AMAT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 15 Stocks That Will Benefit From AI and 10 Must-Buy Canadian Stocks to Invest in.

Disclosure: None.