Needham lowered the firm’s price target on Applied Materials (AMAT) to $225 from $240 but keeps a Buy rating on the shares. The company reported strong Q4 results but guided Q1 revenue below consensus estimates, while the management provided little color beyond Q1 and made no call on 2025 WFE demand, the analyst tells investors in a research note. Over the longer term, Applied Materials sees that WFE intensity, propped up by the strong China demand of 18% in 2023, could decline and normalize to around 15%, essentially backing away from their long-standing view that WFE should perform in-line, or outperform, semis, Needham added.
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Read More on AMAT:
- Applied Materials price target lowered to $230 from $250 at TD Cowen
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