AMAT Shares Dip 0.07% as $760M Trade Volume Falls to 95th in Market Activity Amid AI-Driven DRAM Surge

On August 27, 2025, Applied Materials (AMAT) reported a 0.07% decline in its stock price, with a trading volume of $0.76 billion, marking a 31.61% drop from the previous day and ranking 95th in market activity. The company’s memory business is surging, driven by robust demand for advanced DRAM. Notably, its etch business crossed the $1 billion revenue threshold in Q3 2025, attributed to heightened customer investments in high-performance DRAM for AI applications. New production contracts at major DRAM manufacturers for its advanced chemical vapor deposition and dielectric patterning systems underscore its competitive edge. Management anticipates a 50% revenue increase from leading-edge DRAM customers in fiscal 2025, with potential for incremental market share gains as industry transitions to 4F2 architectures by 2027-2028.

AMAT’s strategic positioning in next-generation memory solutions aligns with AI-driven demand for high-bandwidth, high-performance DRAM. The company’s portfolio, including next-generation gapfill and dielectric patterning technologies, is pivotal for addressing evolving industry needs. Analysts highlight the long-term growth trajectory, supported by AMAT’s ability to capitalize on AI workloads and node transitions. However, recent downward revisions in fiscal 2025 and 2026 earnings estimates suggest cautious optimism, with a Zacks Rank of #4 (Sell) indicating potential short-term headwinds.

Unrelated developments include ENGO Eyewear’s launch of its ENGO 2 smart eyewear, Healthy Extracts’ expansion of its product line on Amazon, and legal challenges faced by Palantir Technologies. Additionally, market reports highlight the global smart shelves sector’s projected growth, while insider transactions at Chesapeake Utilities Corp draw attention. These events, while significant in their respective domains, do not directly influence AMAT’s stock performance.