Woodline Partners LP Invests $91.66 Million in Applied Materials, Inc. (NASDAQ:AMAT)

Woodline Partners LP acquired a new position in shares of Applied Materials, Inc. (NASDAQ:AMAT) during the 4th quarter, according to its most recent filing with the SEC. The institutional investor acquired 563,607 shares of the manufacturing equipment provider’s stock, valued at approximately $91,659,000. Applied Materials accounts for about 0.6% of Woodline Partners LP’s portfolio, making the stock its 21st largest position.

Other large investors have also modified their holdings of the company. FPC Investment Advisory Inc. purchased a new position in shares of Applied Materials during the 4th quarter worth about $28,000. Crews Bank & Trust purchased a new position in Applied Materials in the fourth quarter valued at approximately $28,000. YANKCOM Partnership purchased a new position in Applied Materials in the fourth quarter valued at approximately $32,000. City Holding Co. purchased a new position in Applied Materials in the fourth quarter valued at approximately $39,000. Finally, Atala Financial Inc purchased a new position in Applied Materials in the fourth quarter valued at approximately $45,000. 80.56% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

AMAT has been the topic of several research reports. Edward Jones upgraded shares of Applied Materials from a “hold” rating to a “buy” rating in a report on Wednesday, March 12th. Bank of America cut their price target on shares of Applied Materials from $205.00 to $190.00 and set a “buy” rating on the stock in a report on Wednesday, April 16th. JPMorgan Chase & Co. cut their price target on shares of Applied Materials from $240.00 to $210.00 and set an “overweight” rating on the stock in a report on Friday. Barclays cut their price target on shares of Applied Materials from $190.00 to $160.00 and set an “equal weight” rating on the stock in a report on Tuesday, April 22nd. Finally, Susquehanna lifted their price objective on shares of Applied Materials from $155.00 to $165.00 and gave the company a “neutral” rating in a research note on Wednesday, January 22nd. One research analyst has rated the stock with a sell rating, six have given a hold rating and sixteen have given a buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $199.48.

Applied Materials Stock Up 0.2%

Shares of NASDAQ:AMAT opened at $165.94 on Tuesday. The company’s fifty day moving average is $149.52 and its two-hundred day moving average is $165.12. The company has a debt-to-equity ratio of 0.29, a quick ratio of 1.96 and a current ratio of 2.67. Applied Materials, Inc. has a 1-year low of $123.74 and a 1-year high of $255.89. The stock has a market capitalization of $134.82 billion, a price-to-earnings ratio of 21.69, a price-to-earnings-growth ratio of 1.81 and a beta of 1.71.

Applied Materials (NASDAQ:AMAT) last posted its quarterly earnings results on Thursday, May 15th. The manufacturing equipment provider reported $2.39 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.31 by $0.08. Applied Materials had a net margin of 22.95% and a return on equity of 39.50%. The company had revenue of $7.10 billion for the quarter, compared to the consensus estimate of $7.12 billion. During the same period last year, the firm posted $2.09 EPS. The company’s revenue for the quarter was up 6.8% on a year-over-year basis. Equities analysts anticipate that Applied Materials, Inc. will post 9.38 EPS for the current year.

Applied Materials Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 12th. Stockholders of record on Thursday, May 22nd will be given a $0.46 dividend. This is an increase from Applied Materials’s previous quarterly dividend of $0.40. This represents a $1.84 dividend on an annualized basis and a dividend yield of 1.11%. The ex-dividend date of this dividend is Thursday, May 22nd. Applied Materials’s dividend payout ratio (DPR) is presently 22.38%.

Applied Materials declared that its board has approved a stock buyback plan on Monday, March 10th that authorizes the company to buyback $10.00 billion in outstanding shares. This buyback authorization authorizes the manufacturing equipment provider to reacquire up to 8.2% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s management believes its shares are undervalued.

Insider Transactions at Applied Materials

In other news, CEO Gary E. Dickerson acquired 50,000 shares of the business’s stock in a transaction that occurred on Thursday, April 3rd. The shares were purchased at an average cost of $137.30 per share, for a total transaction of $6,865,000.00. Following the transaction, the chief executive officer now directly owns 1,716,058 shares in the company, valued at $235,614,763.40. This trade represents a 3.00% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Adam Sanders sold 450 shares of Applied Materials stock in a transaction dated Tuesday, April 1st. The shares were sold at an average price of $144.83, for a total transaction of $65,173.50. Following the completion of the sale, the chief accounting officer now owns 6,077 shares in the company, valued at approximately $880,131.91. This represents a 6.89% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.24% of the company’s stock.

About Applied Materials

Applied Materials, Inc engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. The Semiconductor Systems segment develops, manufactures, and sells various manufacturing equipment that is used to fabricate semiconductor chips or integrated circuits.