Applied Materials' Financials in Focus, Analyst Expresses Backlog Uncertainty
Portfolio Pulse from Anusuya Lahiri
Applied Materials, Inc (NASDAQ:AMAT) has reported Q3 results that beat expectations, with revenue of $6.43 billion and pro forma EPS of $1.90. The company's October quarter guide also came in above consensus estimates. However, Susquehanna analyst Mehdi Hosseini has expressed uncertainty about the company's backlog, noting that it has been declining quarter over quarter and is expected to show a year over year decline soon. Goldman Sachs analyst Toshiya Hari maintained a Buy rating for AMAT and raised the price target from $135 to $155.

August 21, 2023 | 7:24 pm
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Applied Materials beat Q3 expectations and raised its October quarter guide above consensus estimates. However, there is uncertainty about the company's backlog, which has been declining and is expected to show a year over year decline soon.
Applied Materials' strong Q3 results and raised October quarter guide are positive for the stock. However, the uncertainty about the company's backlog, which is a key indicator of future revenue, could potentially have a negative impact on the stock. The net effect of these factors is uncertain, hence the neutral score.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100