Particle.news
Download on the App Store

Citi’s $710 Price Target Sends Applied Materials Stock Higher

Citi’s extended wafer‑fab-equipment outlook and a NAND/DRAM memory thesis shifted investor expectations and prompted widespread analyst upgrades.

Overview

  • Applied Materials reported record fiscal second-quarter results in May and guided its semiconductor-equipment business to grow more than 30% for calendar 2026.
  • The company unveiled two new deposition and selective-etch systems on June 15 that target deep, narrow 3D structures used in advanced logic and memory manufacturing.
  • Company insiders disclosed roughly $65 million in stock sales on June 15–16, including about $49.2 million by CEO Gary Dickerson, which some investors flagged as a governance and timing signal.
  • Citi published a bullish note on June 17 that raised its AMAT price target to $710, extended WFE forecasts through 2028 and triggered an about 8.75% intraday rally and a wave of analyst upgrades.
  • Analysts see a possible multi-year WFE expansion driven by rising NAND demand and a projected DRAM supply gap, but rising EPS revisions, heavy bullish coverage and high valuation multiples leave downside and cyclical risk for investors to watch.