EL7.AI
StocksMediumUpdated•Originally published 15 May 2026•Updated 15 May 2026•
1 min read

Applied Materials Hits Record $7.91B Revenue as AI Demand Drives Earnings Beat

Key Facts

1Applied Materials posted record Q2 results, surpassing both earnings and revenue estimates.
2Revenues increased year-over-year driven by robust demand for AI-related chips.
3The company lifted customer forecasts for 2027 growth alongside improving margins.

Applied Materials delivered record-breaking financial results for the second quarter, reporting revenue of $7.91 billion, an 11% increase year-over-year. Adjusted earnings per share reached $2.86, surpassing Wall Street expectations fueled by robust demand for AI-related semiconductor infrastructure. Furthermore, the company raised its 2027 growth forecasts for customers, citing improving operating margins according to analyst reports.

Wall Street analysts responded with multiple upgrades, as Jefferies raised its price target for AMAT to $510.00, while Citi and Lynx Equity set targets at $520.00 and $540.00 respectively per market data. This performance stands out against peers like Lam Research, which reported a revenue uptick of approximately 1% in its latest quarter per market data, highlighting Applied Materials' relative strength in the equipment sector.

Traders are monitoring AMAT shares, which rose approximately 4% in after-hours trading following a close of $214.55 on May 14, 2026. Looking ahead, the economic calendar features upcoming speeches from Fed officials Waller and Bowman, which will be closely parsed for insights into interest rate trajectories that could impact tech sector valuations in the coming days.