Semiconductor company Applied Materials (AMAT) will report its Q2 FY26 earnings today after the market closes. AMAT stock has surged about 73% this year, driven by strong demand for its chipmaking equipment used in advanced AI processors and High-Bandwidth Memory (HBM) chips. According to TipRanks’ Options Tool, options traders expect about a 7.58% move in either direction in AMAT stock in reaction to Q2 earnings.
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The current implied move is more or less in line with AMAT’s average post-earnings move (in absolute terms) of about 7.1% over the past four quarters.
What to Expect from Applied’s Q2 Results Today
Wall Street analysts expect Applied Materials to post earnings per share of $2.68 in Q2, up 12% from the year-ago quarter. Meanwhile, revenue is projected at about $7.68 billion, representing an 8% year-over-year increase.
Investors have also been encouraged by the company’s strong profit margins and its strong position in supplying tools for next-generation semiconductor manufacturing.
Stifel’s Take on AMAT Ahead of Q2 Results
Ahead of Applied’s Q2 results, top Stifel analyst Brian Chin raised his price target on the stock to $500 from $450. The analyst expects Applied Materials to deliver second-quarter revenue of $7.70 billion and adjusted earnings per share of $2.76, both slightly above Wall Street estimates.
The 5-star analyst also believes the company remains on track for “more than 20%” semiconductor systems revenue growth in 2026, supported by strong demand in advanced foundry and DRAM. Chin added that forecasts across the semiconductor equipment sector continue to “strengthen,” and Applied appears well positioned to benefit from that trend.
Is Applied Materials Stock a Good Buy?
On Wall Street, Applied Materials’ shares continue to enjoy a Strong Buy consensus rating from analysts. This is based on 19 unanimous Buys issued over the past three months. In addition, the average AMAT price target of $481.12 implies about 8% upside.
