Applied Materials Inc. (NASDAQ:AMAT) shares are in the spotlight Wednesday, with earnings due Thursday after the close, DRAM and foundry demand and the fiscal 2027 outlook in focus, recent analyst activity and a technical setup showing a bounce inside a longer downtrend all drawing attention.
- Applied Materials stock is trading in a tight range. What’s ahead for AMAT stock?
Earnings Preview & History
Applied Materials is scheduled to report fourth-quarter fiscal 2026 earnings on Thursday, Nov. 12, after the market closes. Analysts estimate earnings per share of $4.05 along with revenue of $10.30 billion.
For the prior quarter, Applied Materials reported adjusted earnings per share of $3.50, beating the consensus estimate of $3.40. The company also posted record revenue of $9.12 billion, beating the consensus estimate of $8.99 billion.
Applied Materials guided for fourth-quarter revenue of about $10.25 billion, plus or minus $500 million, and adjusted earnings per share of $4.02, plus or minus 20 cents.
What to Watch: FY27 Outlook, DRAM Demand And China Exposure
Investors will be closely tracking Applied Materials’ fourth-quarter guidance, which calls for revenue of about $10.25 billion, plus or minus $500 million, up about 51% from a year earlier.
DRAM and foundry-logic demand will be in focus, after DRAM revenue rose 52% to a record in the third quarter and Semiconductor Systems revenue rose 27% to $7.04 billion. China exposure will draw attention too, at 26% of Semiconductor Systems plus Applied Global Services revenue.
The fiscal 2027 outlook may matter most, after CEO Gary Dickerson said the company expects another strong growth year. Shares fell about 5% after the last report despite record results.
Analyst Consensus & Recent Actions
The stock carries a Buy rating with an average price forecast of $661.35. Recent analyst moves include:
- B. Riley Securities: Buy (Lowers Target to $475.00) (Nov. 9)
- Morgan Stanley: Equal-Weight (Lowers Target to $538.00) (Nov. 3)
Applied Materials Trades 12.9% Below 200-Day Average, With November Death Cross Still in Place
Applied Materials is sitting just above its 20-day SMA ($387.00), but it remains in a bigger downtrend versus longer-term trend gauges—trading 11.8% below its 50-day SMA ($440.24) and 12.9% below its 200-day SMA ($446.14). That "caught between" setup often produces sharp counter-trend bounces, but it also means rallies can run into overhead supply quickly.
RSI is at 46.41, which points to neutral momentum—neither stretched to the upside nor washed out—so follow-through will likely depend on whether buyers can keep reclaiming moving-average resistance. In plain terms, RSI helps gauge whether a move is getting overextended; right now it suggests AMAT has room to move either way without immediately flashing "overbought" or "oversold."
The bigger-picture caution flag is still the bearish crossover structure: the 20-day SMA is below the 50-day SMA, and the stock’s death cross (50-day SMA below the 200-day SMA) that formed in November remains in place. From a trend perspective, bulls generally want to see price start closing back above the 50-day area to argue the longer downswing is easing.
Applied Materials Shares Edge Higher
AMAT Price Action: At the time of publication, Applied Materials shares are trading 3.39% higher at $385.16, according to data from Benzinga Pro.
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