Applied Materials Shares Plummet 7.27 as Volume Rank Slides to 450th Amid Supply Chain Shifts

On October 7, 2025, Applied Materials (AAOI) closed with a 7.27% decline, marking its lowest daily volume position at rank 450 in the stock market. The semiconductor equipment manufacturer reported a trading volume of $250 million, reflecting a 27.04% drop compared to the previous day's activity. The sharp sell-off follows a strategic shift in R&D priorities and supply chain adjustments impacting near-term revenue visibility.

Analysts noted that recent production cuts at key client facilities have accelerated inventory rationalization across the industry. This has created a cascading effect on equipment demand, with Applied's high-capacity tooling segments particularly vulnerable to delayed capital expenditure cycles. Market participants are closely monitoring the company's Q3 earnings guidance, which is expected to reflect these structural challenges in the fourth quarter.

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