WS Investor
26 Jun 2026, 09:20
Applied Materials (NASDAQ: AMAT) surged 13.4% on Thursday as investors poured back into AI-related semiconductor stocks, with the broader chip sector rallying after Micron's blockbuster earnings and upbeat outlook reinforced confidence in AI-driven demand.
On Friday, Jefferies reiterated its Buy rating on Applied Materials and maintained a $770 price target, reaffirming its positive long-term view on the semiconductor equipment maker. The firm expects Applied Materials to remain a key beneficiary of rising investment in advanced chip manufacturing, supported by strong demand for AI processors, high-bandwidth memory, and leading-edge fabrication technologies.
Applied Materials is well positioned to benefit from increasing wafer fabrication spending as global chipmakers expand production capacity to meet growing AI infrastructure needs. Its broad portfolio of manufacturing equipment and exposure to both logic and memory markets continue to support a favorable long-term outlook.
While Thursday's rally was driven by the broader semiconductor rebound, Jefferies' reaffirmed bullish stance reinforces Wall Street's confidence in Applied Materials' growth prospects as AI-related capital spending continues to accelerate.
On Friday, Jefferies reiterated its Buy rating on Applied Materials and maintained a $770 price target, reaffirming its positive long-term view on the semiconductor equipment maker. The firm expects Applied Materials to remain a key beneficiary of rising investment in advanced chip manufacturing, supported by strong demand for AI processors, high-bandwidth memory, and leading-edge fabrication technologies.
Applied Materials is well positioned to benefit from increasing wafer fabrication spending as global chipmakers expand production capacity to meet growing AI infrastructure needs. Its broad portfolio of manufacturing equipment and exposure to both logic and memory markets continue to support a favorable long-term outlook.
While Thursday's rally was driven by the broader semiconductor rebound, Jefferies' reaffirmed bullish stance reinforces Wall Street's confidence in Applied Materials' growth prospects as AI-related capital spending continues to accelerate.