Market Overview

D.A. Davidson & Co. Raises PT On Applied Materials

Related AMAT
Jabil Circuit Up, Analysts Remain Uncertain
Don't Overlook Mid-Cap Stocks
Week Ahead: Inflation Data and Wal-Mart Earnings (Fox Business)

In a research note released Thursday, D.A. Davidson analyst Thomas Diffely increased his price target on Applied Materials (NASDAQ: AMAT) from $21 to $25 and reiterated a Buy rating.

The analyst increased the price target based on an addition in potential earnings from the Tokyo Electron acquisition. The acquisition is expected to close in the third-quarter of 2014.

In addition, the price target was increased on the basis of the company cutting costs, lowering taxes and repurchasing shares in accordance with its proposed plan. These factors will enable the company to increase its earnings power over the next few years.

The company has currently issued guidance of $2.40 EPS within the next two to three years; the analyst believes that $1.80 is more reasonable and appropriate.

The estimate also took into account a tax rate of 17 percent.

Shares of the company are down less than one percent, but are up 23 percent year-to-date.

Latest Ratings for AMAT

DateFirmActionFromTo
Dec 2014CitigroupMaintainsBuy
Dec 2014Stifel NicolausMaintainsBuy
Dec 2014Deutsche BankUpgradesHoldBuy

View More Analyst Ratings for AMAT
View the Latest Analyst Ratings

Posted-In: D.A. Davidson & Co. Thomas DiffelyAnalyst Color Price Target Reiteration Analyst Ratings

 

Related Articles (AMAT)

Around the Web, We're Loving...

Get Benzinga's Newsletters