New York, February 2, 2026, 11:46 EST — Trading during the regular session.
- Shares of Applied Materials climbed roughly 2% in morning trading following new target price increases
- Morgan Stanley raised its target to $364, while UBS pushed its target up to $405
- Feb. 12 earnings will be the next crucial checkpoint for demand and forward-looking guidance
Applied Materials shares climbed roughly 2% Monday, building on an early rally as brokerages raised price targets ahead of next week’s earnings from the chip equipment maker. The stock last changed hands at $328.95, up $6.63, within a range of $314.00 to $330.26.
This matters now since Applied is a bellwether for wafer fab equipment (WFE) — those pricey machines chipmakers use to ramp up capacity. When the calendar’s tight, even a slight change in outlook can hit the stock fast.
Earnings season is approaching, and the market is weighing if demand is picking up or merely taking a breather. For firms linked to capex cycles, hitting “good enough” often falls short.
Morgan Stanley’s Shane Brett bumped up his price target for Applied Materials to $364 from $273, maintaining an “Overweight” rating, Benzinga reported. Benzinga
UBS raised its target price to $405 from $285 and kept its “Buy” rating, according to an MT Newswires report featured on MarketScreener. MarketScreener
A Morgan Stanley note flagged this as a likely “beat and raise” quarter, citing better demand and easing supply-chain issues, MarketScreener reported. MarketScreener
Applied Materials provides deposition, etch, and other equipment essential for making logic and memory chips, along with services that help steady earnings when customers cut back on new tool purchases. Its rivals include Lam Research and KLA in several segments of the chip-tool industry.
Still, the China situation looms large. Applied warned that stricter U.S. export rules will cut its China equipment sales in fiscal 2026, flagging a $600 million hit in revenue tied to the wider restrictions.
The company will release its fiscal first-quarter results on Feb. 12 and plans to hold a conference call at 4:30 p.m. ET, it announced.
Investors are eyeing any shift in management’s outlook on demand for the second half of 2026, along with the balance between memory spending and cutting-edge foundry projects driving the next growth phase. The next key date to watch is Feb. 12.
