Dividend Channel
Market News Video Dividend Detective The Warren Buffetts Next Door Stock message boards
Free Dividend Report - Top Ranked Stocks

Featured MNV Articles:

Notable ETF Outflow Detected - PWC, HPE, GLW, AMAT
Wednesday, December 21, 10:51 AM ET, by Market News Video Staff

Symbols mentioned in this story: PWC, HPE, GLW, AMAT Exchange traded funds (ETFs) trade just ...

See How Applied Materials Ranks Among Analysts' Top Picks With Strong Buyback Activity
Tuesday, December 27, 2:16 PM ET, by Market News Video Staff

A study of analyst recommendations at the major brokerages shows that Applied Materials, Inc. (AMAT) ...

Monday Sector Leaders: Healthcare, Technology & Communications
Monday, January 9, 2:37 PM ET, by Market News Video Staff

Looking at the sectors faring best as of midday Monday, shares of Healthcare companies are ...

AMAT Crosses Above Average Analyst Target
Wednesday, January 11, 9:39 AM ET, by Market News Video Staff

In recent trading, shares of Applied Materials, Inc. (AMAT) have crossed above the average analyst ...

iShares Global Tech ETF Experiences Big Outflow
Monday, January 23, 11:13 AM ET, by Market News Video Staff

Symbols mentioned in this story: IXN, HPE, AMAT, CTSH Exchange traded funds (ETFs) trade just ...

  More articles:  1 2 3 4 5 6 7 next »

Applied Materials Reaches Analyst Target Price

By Dividend Channel Staff, Friday, May 19, 9:39 AM ET
Play Video: The Importance of ETFs

If the video does not load after a few moments, Upgrade to the Latest Flash Player.

In recent trading, shares of Applied Materials, Inc. (NASDAQ:AMAT) have crossed above the average analyst 12-month target price of $43.07, changing hands for $43.91/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher if things are looking up for the company, perhaps it is time for that target price to be raised.

There are 14 different analyst targets contributing to that average for Applied Materials, Inc., but the average is just that a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $28.00. And then on the other side of the spectrum one analyst has a target as high as $54.00. The standard deviation is $7.173.

But the whole reason to look at the average AMAT price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AMAT crossing above that average target price of $43.07/share, investors in AMAT have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $43.07 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover Applied Materials, Inc.:

Recent AMAT Analyst Ratings Breakdown
Current 1 Month Ago 2 Month Ago 3 Month Ago
Strong buy ratings: 12 14 14 14
Buy ratings: 1 0 0 1
Hold ratings: 3 3 3 3
Sell ratings: 0 0 0 0
Strong sell ratings: 0 0 0 0
Average rating: 1.44 1.35 1.35 1.39

The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com. Get the latest Zacks research report on AMAT FREE.

This Article's Word Cloud:   AMAT   Analyst   Applied   Broker   Materials   Month   Picks   Sell   Strong   There   Zacks   above   adjust   also   analyst   analysts   average   business   changing   company   cover   deciding   developments   effort   expert   have   higher   just   looking   mathematical   month   price   rating   ratings   reaches   share   spend   stock   table   target   targets   that   think   time   used   valuation   what   where   wisdom   with

Applied Materials Reaches Analyst Target Price | www.DividendChannel.com | Copyright © 2010 - 2017, All Rights Reserved

Nothing in Dividend Channel is intended to be investment advice, nor does it represent the opinion of, counsel from, or recommendations by BNK Invest Inc. or any of its affiliates, subsidiaries or partners. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. By visiting, using or viewing this site, you agree to the following Full Disclaimer & Terms of Use and Privacy Policy. Video widget and dividend videos powered by Market News Video. Quote data delayed at least 20 minutes; data powered by Ticker Technologies, and Mergent. Contact Dividend Channel; Meet Our Editorial Staff.