Applied Materials, Inc. (NASDAQ:AMAT) is included among the 15 Best Stocks to Buy for Medium Term.
On November 14, TD Cowen raised its price target on Applied Materials, Inc. (NASDAQ:AMAT) to $260 from $250 and maintained a Buy rating on the shares. The firm noted that the company’s guidance came slightly above consensus and aligned with the outlook of its peers. China is expected to see a decline in 2026, but this risk is mostly mitigated, particularly since China’s WFE has surprised to the upside over the past few years.
In fiscal Q4 2025, Applied Materials, Inc. (NASDAQ:AMAT) reported revenue of $6.80 billion, down 3% year over year. GAAP EPS came in at $2.38, up 14%, while non-GAAP EPS was $2.17, down 6% compared with the same period last year. Driven by AI adoption and strong investment in advanced semiconductors and wafer fab equipment, the company achieved its sixth consecutive year of growth in fiscal 2025.
Applied Materials, Inc. (NASDAQ:AMAT) is preparing its operations and service teams to meet higher demand starting in the second half of calendar 2026. R&D investments are being focused on developing new products and technologies to enable faster, more energy-efficient transistors, chips, and systems, supporting growth in the years ahead. Research and Development spending in Q4 was $917 million, up from $858 million in the same quarter last year.
Applied Materials, Inc. (NASDAQ:AMAT) designs, manufactures, and services equipment for the semiconductor and display industries, establishing itself as a leader in materials engineering solutions for chips and advanced displays.
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 Best Long Term Stocks to Buy According to Reddit and 13 Best Canadian Dividend Stocks to Buy and Hold for the Long Term.
Disclosure: None.