Per FTR Investors, Applied Materials' larger stake strengthens BE Semiconductor's partnership in hybrid bonding and advanced AI chip packaging, supporting a bullish view. Applied Materials is increasing its stake from 9% to about 20%. x.com 

Applied Materials' largely fixed cost base could carry operating margins above management's 40% target if revenue approaches the upper scenarios. World Trade Securities sees 40% as a floor despite the step up from 30%; gross margin is guided to 54% and opex to fall from 19% to 14% of revenue. Its upside case uses a 45% margin, lifting 2030 EPS to $32-$47, about $4-$5 above the management framework across scenarios. x.com 

Applied Materials looks expensive against its earnings at $511.75, or 29x next year's earnings, versus the usual 18x for chip-equipment makers. An 18x multiple on forward EPS of $17.91 gives a fair range of $283.64 to $360.99, leaving shares 42% above the high end, and the forward read leans on forecasts 54% above trailing. The view uses levels only, from reported earnings and revenue estimates. x.com 

Applied Materials' record revenue and Q4 guidance show strong AI equipment demand, and the median analyst target implies 42.9% upside over the next 12 months. x.com 

Applied Materials is very likely to reach $630-$660 within a year because AI demand is forcing massive semiconductor capex, and each new fab expansion usually brings it more orders. HBM memory is constrained, and the company benefits across the ecosystem rather than relying on one product, making the most critical tools for chipmaking. Heavy options flow just hit calls at those strikes, 50%+ out of the money. x.com 

Semiconductor equipment makers such as Applied Materials, KLA and Lam Research look like shorts, a view Michael Burry now shares: per @zerohedge, Burry says he shorted Applied Materials, along with Tesla, Nvidia and, for the first time, Caterpillar. x.com 

Next-generation AI systems could double wafer demand, keeping the long-term outlook compelling for semiconductor equipment makers. Applied Materials targets more than $12 billion in services revenue and roughly 40% operating margins by 2030; management expects over two points of share gains and potentially more than $5 billion in advanced-packaging revenue, driven by HBM and AI demand. Bullish on Applied Materials, Lam Research, ASML and KLA. x.com 

Lam Research's record results suggest the equipment cycle is not ending despite its stock selloff. Revenue reached $8.22B, up 54% year over year and over 20% sequentially, while EPS rose 75%; ASML and TSMC also report customers needing more tools. Overweight with a $355 target and 35% upside, but the selloff is a gift only if Lam guides December higher. x.com  x.com 

Applied Materials should benefit from TSMC's massive capex hike, so trading down on the news was ridiculous, and the subsequent rebound was more rational. Over the last three years, every dip like this has been wrong on future fundamentals. x.com  x.com  x.com 

US semiconductor equipment makers are the sturdiest picks-and-shovels play, because any industry expansion needs equipment first, giving them a place in every bull market. In the latest US tech selloff, chip and optical stocks fell broadly, yet equipment names jumped double digits at the open and nearly all closed higher, a clear vote by investors. The group spans Applied Materials, Lam, KLA, MKS, Entegris, Onto, Nova and ACM Research, with Axcelis, Ultra Clean and Veeco strongest. x.com