5 Semiconductor Stocks Billionaires Are Loading Up On

3. Applied Materials, Inc. (NASDAQ:AMAT)

Number of Billionaire Investors: 19

Dollar Value of Billionaire Holdings: $804,976,537

Number of Hedge Fund Holders: 84

Applied Materials, Inc. (NASDAQ:AMAT) is a Santa Clara, California-based global leader in materials engineering solutions for the semiconductor industry.

On May 19, C. J. Muse at Evercore ISI increased the price target on Applied Materials, Inc. (NASDAQ:AMAT) from $125 to $135 and maintained an Outperform rating on the stock. The investment firm anticipates Applied Materials, Inc.’s (NASDAQ:AMAT) EPS to rise to $7.50 in 2024 as compared to the Street’s forecast of $6.87.

Here’s what Vulcan Value Partners said about Applied Materials, Inc. (NASDAQ:AMAT) in its Q1 2023 investor letter:

“Applied Materials, Inc. (NASDAQ:AMAT) was a material contributor during the quarter. Despite a difficult environment, equipment revenue increased double digits. The company’s growth was supported by a nearly $20 billion backlog and strength in their lagging edge portfolio, driven by growth in semiconductor content for automotive, communications, sensors, and Internet of Things (IoT) end markets. Applied Materials also announced the promising new Centura Sculpa patterning system. This equipment will allow its customers to reduce their reliance on expensive EUV “double patterning”, which we believe will allow Applied Materials to gain share of the overall wafer fab equipment market. While we expect 2023 will be a down year for semiconductor capital equipment, we expect Applied Materials to return to growth in 2024. Overall, we feel positive about the company’s long-term outlook.”