AMAT · News · 20260929N

Market Demand Trends

APPLIED MATERIALS INC /DE · 2026-09-29 · Importance 20 · Surprise 24

Analyst estimates for Applied Materials were raised on stronger semiconductor equipment demand, with increased NAND demand specifically cited as a driver of higher 2027 revenue and EPS forecasts. Broader semiconductor equipment performance is also being supported by AI chip demand and increased semiconductor spending. The reporting describes demand as improving even as sector valuation multiples face pressure.

Key facts

• Morgan Stanley raised its 2027 revenue and EPS forecasts for Applied Materials due to increased NAND demand. source
• Applied Materials has seen significant revenue and EPS growth driven by AI chip demand according to a comparison with Lam Research. source
• Morgan Stanley revised its price target for Applied Materials down to $563 from $642. source
• Morgan Stanley lowered the valuation multiple used for Applied Materials from 26x to 22x. source
• Morgan Stanley's revised price target of $563 for Applied Materials implies a 33% upside from its current trading price. source