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Applied Materials price target lowered to $180 from $195 at Stifel

Stifel analyst Brian Chin lowered the firm’s price target on Applied Materials (AMAT) to $180 from $195 and keeps a Buy rating on the shares. Fiscal Q3 revenue and EPS exceeded estimates, but the outlook for Q4 was weaker than expected, reflecting digestion in China and lower leading-edge foundry/logic, the analyst tells investors. The firm expected leading-edge momentum to slow, “albeit less abruptly,” and for China shipments to not be so Q3-weighted, but it continues to think that Applied should capture above-average share of leading-edge foundry/logic and DRAM/HBM investment.

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