Semiconductor equipment vendor Applied Materials (AMAT) late Thursday easily beat Wall Street’s targets for its fiscal second quarter and guided higher for the current period. AMAT stock rose in extended trading.
The Santa Clara, Calif.-based company earned an adjusted $1.63 a share on sales of $5.58 billion in the quarter ended May 2. Analysts expected Applied Materials earnings of $1.51 a share on sales of $5.41 billion. On a year-over-year basis, Applied Materials earnings rose 83% while sales climbed 41%.
It was the company’s best sales and earnings growth in four years.
For the current quarter, Applied Materials forecast adjusted earnings of $1.76 a share on sales of $5.92 billion. That’s based on the midpoint of its outlook. Wall Street had predicted earnings of $1.56 a share on sales of $5.53 billion. In the year-earlier period, it earned $1.06 a share on sales of $4.40 billion.
AMAT Stock Climbs In Late Trades
“Applied Materials’ record performance is underpinned by broad-based strength across our semiconductor businesses,” Chief Executive Gary Dickerson said in a news release. “We are confident in our ability to outperform our markets as large, secular trends create sustainable demand for semiconductors and our leadership in materials engineering becomes increasingly critical to deliver new chip technologies.”
In after-hours trading on the stock market today, AMAT stock climbed 0.7%, near 131.20. During the regular session Thursday, AMAT stock jumped 4.4% to 130.31.
Follow Patrick Seitz on Twitter at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
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