Applied Matls Inc Stock Price, News & Analysis

Applied Materials announced the termination of its share purchase agreement with Kokusai Electric Corporation due to lack of timely approval from Chinese regulators. As a result, Applied will pay KKR a termination fee of $154 million. CEO Gary Dickerson expressed disappointment but noted a strong future outlook, emphasizing the company's potential for growth and cash returns to shareholders. The company's leadership in materials engineering solutions positions it well within the semiconductor and display manufacturing sectors.

Applied Materials announced a new stock buyback authorization of $7.5 billion, supplementing the existing $1.3 billion remaining. This decision follows the termination of the amended share purchase agreement with KKR HKE Investment L.P. concerning Kokusai Electric Corporation, due to regulatory approval delays in China. If timely approval isn’t received by March 26, 2021, a termination fee of $154 million will be payable. The company plans to discuss its broader capital allocation strategies at the upcoming investor meeting.

Applied Materials has launched the Enlight optical wafer inspection system, enhancing yield data capture with new optics and ExtractAI technology. This system is designed to help semiconductor manufacturers expedite node development and improve profitability by effectively identifying yield-killing defects. The Enlight system is touted as the fastest-ramping inspection system in the company's history, offering a 3x reduction in cost for defect detection compared to competitors. This innovation is already in production with leading-edge customers worldwide.

Applied Materials has approved a 9% increase in its quarterly cash dividend, raising it from $0.22 to $0.24 per share. This dividend will be payable on June 17, 2021, to shareholders of record by May 27, 2021. The company emphasizes that this increase reflects its strong financial position and growth opportunities. This marks the fourth consecutive year of dividend increases, reaffirming Applied Materials' commitment to providing attractive cash returns to shareholders.

Applied Materials will host an Investor Meeting virtually on April 6, 2021, starting at 11 a.m. ET. Key executives, including Gary Dickerson and Dan Durn, will present insights on the company's long-term market outlook, strategies, and financial targets. The event will conclude before 2 p.m. ET, and presentations will be available for streaming on their website. A replay will be accessible the same day before 8 p.m. ET.

For more details, visit Applied Materials Investor Relations.

Applied Materials reported a record quarterly revenue of $5.16 billion, marking a 24% year-over-year increase. The company achieved a GAAP EPS of $1.22 and a non-GAAP EPS of $1.39, which are up 27% and 42% year-over-year, respectively. Additionally, $1.42 billion was generated in cash from operations, with dividends of $201 million paid to shareholders. Applied expects net sales in Q2 FY2021 to be around $5.39 billion, indicating continued growth driven by strong demand in the semiconductor sector.

Applied Materials announced that Dan Durn, Senior Vice President and CFO, will participate in a fireside chat at the virtual Morgan Stanley Technology, Media and Telecom Conference on March 2, 2021, starting at 10:15 a.m. PT / 1:15 p.m. ET.

A live audio webcast will be available on the Applied Materials website, with a replay to be accessible on the same day. Applied Materials, listed under Nasdaq: AMAT, is a leader in materials engineering solutions used in chip and advanced display production.

Applied Materials, a leader in materials engineering solutions, will host a webcast on Feb. 18, 2021, at 4:30 p.m. ET to discuss its first quarter fiscal 2021 financial results. The live event will be available on the company's website, with a replay starting later that same day at 8:00 p.m. ET. As a key player in chip and advanced display production, Applied Materials continues to innovate, impacting technology globally.