Applied Materials Soars 5.52% Ahead of Earnings Report

Applied Materials' stock surged 5.52% in pre-market trading on May 12, 2025, driven by anticipation of its upcoming earnings report and positive analyst sentiment.

Applied Materials is set to release its second-quarter earnings for the period ending April 2025 on May 15, 2025. Market expectations are for the chip equipment manufacturer to report revenue of $7.12 billion, a 7.1% year-over-year increase, and earnings per share of $2.31, a 10.5% year-over-year increase.

Over the past 30 days, analysts have raised their earnings per share estimates for Applied Materials' second quarter by 0.23%, reaching the current level. The company's first-quarter earnings per share were $2.38, exceeding market expectations of $2.28. Over the past four quarters, Applied Materials has consistently beaten market expectations for earnings per share.

Despite the positive outlook, Applied Materials' stock has declined 4.1% year-to-date, compared to a 3.8% decline in the S&P 500 index and a 9.9% decline in the semiconductor ETF (SOXX.US).

Overall, Wall Street analysts have given Applied Materials a "moderate buy" rating, with an average target price of $201.90, which is 30% higher than the current stock price.