Analysts Back Applied Materials’ Outlook as Wells Fargo Raises Target to $250

Overview

• Wells Fargo increased its price target on Applied Materials to $250 from $240 and kept an Overweight rating, citing SEMICON West takeaways that reinforce the secular case for semiconductor capital equipment.
• The firm said near-term demand commentary is unchanged and enthusiasm for AI NAND has not translated into higher orders in the immediate term.
• Bernstein reiterated an Outperform rating with a $195 target after the company warned that new U.S. export restrictions will reduce revenue by about $110 million in fiscal Q4 and by roughly $600 million in fiscal 2026.
• Heartland Advisors disclosed a new Q2 position, highlighting Applied Materials’ roughly 21% share of the wafer fabrication equipment market and leadership in deposition tools.
• Heartland pointed to a $7 million April stock purchase by CEO Gary Dickerson and argued the shares could reach the low $300s on a re-rating to above 25x mid-cycle earnings.