Wall Street analysts forecast that Applied Materials (AMAT) will report quarterly earnings of $2.11 per share in its upcoming release, pointing to a year-over-year decline of 9.1%. It is anticipated that revenues will amount to $6.7 billion, exhibiting a decrease of 4.8% compared to the year-ago quarter.
Over the last 30 days, there has been a downward revision of 0.4% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
In light of this perspective, let's dive into the average estimates of certain Applied Materials metrics that are commonly tracked and forecasted by Wall Street analysts.
It is projected by analysts that the 'Net Revenue- Applied Global Services' will reach $1.60 billion. The estimate indicates a change of -2.2% from the prior-year quarter.
Based on the collective assessment of analysts, 'Net Revenue- Semiconductor Systems' should arrive at $4.75 billion. The estimate points to a change of -8.3% from the year-ago quarter.
The consensus estimate for 'Net Revenue- Display' stands at $350.77 million. The estimate indicates a change of +66.2% from the prior-year quarter.
Analysts forecast 'Net Revenue- Corporate and Other' to reach $9.95 million. The estimate suggests a change of -44.8% year over year.
Analysts' assessment points toward 'Geographic Net Sales- United States' reaching $723.94 million. The estimate indicates a change of -37.2% from the prior-year quarter.
The combined assessment of analysts suggests that 'Geographic Net Sales- Europe' will likely reach $303.98 million. The estimate points to a change of -24.9% from the year-ago quarter.
According to the collective judgment of analysts, 'Geographic Net Sales- Japan' should come in at $552.70 million. The estimate indicates a year-over-year change of -4.9%.
The consensus among analysts is that 'Geographic Net Sales- China' will reach $2.00 billion. The estimate indicates a change of -6.3% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Geographic Net Sales- Southeast Asia' of $244.40 million. The estimate suggests a change of -22.2% year over year.
Analysts expect 'Geographic Net Sales- Taiwan' to come in at $1.55 billion. The estimate suggests a change of +20.8% year over year.
The average prediction of analysts places 'Geographic Net Sales- Korea' at $1.36 billion. The estimate indicates a year-over-year change of +16.3%.
Analysts predict that the 'Operating Income- Display' will reach $33.97 million. Compared to the present estimate, the company reported $5.00 million in the same quarter last year.
View all Key Company Metrics for Applied Materials here>>>
Over the past month, shares of Applied Materials have returned +9.6% versus the Zacks S&P 500 composite's +0.3% change. Currently, AMAT carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Applied Materials, Inc. (AMAT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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