Market and
partners news

Applied Materials: growth potential

Applied Materials: growth potential

11 January 2023

Applied Materials is a manufacturer of equipment for the production of semiconductor chips and components based on them. Intel and Samsung are developing their products based on the proposals of Applied Materials, and this is just the beginning of the list of consumers.

Applied Materials reported for the fourth quarter of fiscal year 2022 back in early November. The data turned out to be effective:

  • revenue +10.2% YoY to $6.75 billion;
  • EPS +4.6%, up to $2.04, better than expected;
  • the lost profit from the US ban on the supply of equipment to China amounted to $280 million.

The key support for Applied Materials is the effect of the CHIPS Act. It implies incentives for enterprises producing semiconductors inside the United States. Within the framework of the law, subsidies of $52.7 billion are designated, part of which Applied Materials can definitely claim.

In addition, investments in the R&D segment allow the business to maintain a leading position in the technology sector.

Applied Materials’ dividend policy also makes the company and its securities attractive to the market.

The consensus forecast for the company’s securities is $115-120 in the 12-month perspective.

On the daily trading chart of Applied Materials stocks, the MACD indicator begins to grow in a positive area and signals a purchase. The Stohastic oscillator has entered the overbought zone and keeps the buy signal in force.

11 January 2023
Why Russians should invest in Bahrain

Most of the Russians have heard about Dubai, but very few are aware of Bahrai...

Macro overview of the current week

The USA has reached the limits of the national debt The official limit of the...

Macro overview of the current week

The legacy of the pandemic: remote working, isolation and skepticism 2023 wil...