Semiconductor Equipment Supplier Applied materials (AMAT) beat analysts’ expectations for its first fiscal first quarter late Thursday and rose higher for the current period. AMAT shares rose in extended trading.
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The company in Santa Clara, California, earned an adjusted share of $ 1.39 per share of $ 5.16 billion at the end of January. Analysts expect Applied Materials to sell $ 1.28 per share at $ 4.97 billion. On an annual basis, earnings increased by 42% while sales increased by 24%.
The company’s gross profit margin improved to 45.5% from 44.6% in the previous year.
In the current quarter, Applied Materials expects to earn an adjusted $ 1.50 per share on sales of $ 5.39 billion. It is based on the center of his prospects. Wall Street predicts earnings of $ 1.28 per share on sales of $ 4.96 billion. In the fiscal second quarter of last year, Applied Materials earned 89 cents on sales of $ 3.96 billion.
AMAT shares rise in late trading
In stock trading on the stock market, the AMAT stocks fluctuated between modest gains and losses before becoming firmly positive. In recent transactions, it rose by 4.8%, close to 118.85. During the ordinary session on Thursday, the AMAT share fell by 2% to 113.43 during a general day for the market.
“In our first fiscal quarter, we saw a steady acceleration of demand in our semiconductor industry, as key macro- and industrial trends boost silicon consumption in a wide range of markets and applications,” said Gary Dickerson, CEO. a news release said. .
He added: ‘We have a strong momentum in the company as our broad portfolio and exposure to technological flexes, coupled with the traction of our new products, puts us in an excellent position to significantly boost our markets in 2021 and beyond. outgrowth. ‘
AMAT stock rises in last two buying points
On November 5, AMAT shares erupted from an 11-week consolidation period at a buyout point of 70 according to IBD MarketSmith charts. A pattern of three weeks in early January yielded an additional point of purchase. AMAT shares reached a record high of 121.13 on Tuesday.
AMAT shares ranked second out of 34 shares in the IBD semiconductor equipment group, according to the IBD Stock Checkup tool. AMAT shares are also on the IBD 50 list with the best performing growth stocks.
In addition to the AMAT stock, there was another stock of semiconductor equipment that moved on the earnings news on Thursday Ultra Clean Holdings (UCTT).
Ultra clean inventory declines despite Beat-And-Raise report
Late Wednesday, Ultra Clean, California-based Ultra Clean delivered a beat-and-raise report. It earned an adjusted 81 cents per share, an increase of 103% compared to annual sales of $ 369.6 million, an increase of 29% in the fourth quarter.
For the current quarter, Ultra Clean expects to earn an adjusted 87 cents per share at $ 390 million. It is based on the center of the lead. Wall Street forecasts revenue of 72 cents per share on sales of $ 380.2 million in the March quarter. In the previous quarter, Ultra Clean earned 52 cents per share at $ 320.9 million.
Ultra Clean stock fell 4.5% to 48.42 on Thursday.
Follow Patrick Seitz on Twitter @IBD_PSeitz for more stories on consumer technology, software and semiconductor supplies.
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