Applied Materials (NASDAQ:AMAT)
Applied Materials, Inc. (AMAT), a global leader in materials engineering solutions for the semiconductor, and display industries yesterday reported their second quarter 2016 financial results. Applied Materials reported second quarter earnings of $0.34 per share which beat analyst expectations of $0.32 per share. Applied Materials reported second quarter revenues increased 0.3% year over year to $2.45 billion which beat analyst expectations of $2.43 billion
Applied Materials, Inc. CEO’s Comments
“In our second quarter we booked our highest orders in 15 years and we expect to deliver record earnings in fiscal 2016,” said Gary Dickerson, president and CEO. “We are making significant progress with our strategy in semiconductor, display and service, and have a great pipeline of differentiated products that will fuel future growth.” Globe Newswire
AMAT Technical Analysis
AMAT opened trading yesterday at $19.80 which was down from the previous days trading of $19.92. AMAT closed trading yesterday at $19.91 and spiked up after market to $21.45, equivalent to a 8% increase from the closing price. Taking a look at the daily chart we can see the last time AMAT traded above this price level was on April 18th when it traded at $21.56. Taking a closer look at the daily chart we can see that AMAT has been on a overall upswing dating back to February 11th when it traded at $15.64. AMAT has a float of 1.13 billion shares and traded below the normal daily trading volume on Thursday. For trading purposes, I would like to see AMAT open trading on Friday above $21.00 and if it does I would be looking to take a long position at the bell. My stop loss would be $0.25 from my entry position fearing anything more than that and the stock would start to fill in the gap up.
Company Profile
Applied Materials, Inc. provides manufacturing equipment, services, and software to the semiconductor, display, solar photovoltaic (PV), and related industries worldwide. It operates through four segments: Silicon Systems, Applied Global Services, Display, and Energy and Environmental Solutions. The Silicon Systems segment develops, manufactures, and sells a range of manufacturing equipment used to fabricate semiconductor chips or integrated circuits. Its products and technologies for transistor and interconnect fabrication, including epitaxy, ion implantation, oxidation and nitridation, rapid thermal processing, chemical vapor deposition, physical vapor deposition, chemical mechanical planarization, electrochemical deposition, atomic layer deposition, etch, and metrology and inspection, as well as systems that enables transfer of patterns used in the photolithography.
The Applied Global Services segment provides solutions to enhance the performance and productivity of semiconductor, display, and solar products. The Display segment offers products for manufacturing liquid crystal displays, organic light-emitting diodes, and other display technologies for televisions, personal computers, tablets, smartphones, and other consumer-oriented devices. The Energy and Environmental Solutions segment provides products for fabricating crystalline-silicon solar PV cells. This segment also offers roll-to-roll deposition equipment for flexible electronics, packaging and other applications. The company serves manufacturers of semiconductor wafers and chips, liquid crystal and other displays, solar PV cells and modules, and other electronic devices. Applied Materials, Inc. was founded in 1967 and is headquartered in Santa Clara, California.