GKV Capital Management Co. Inc. Invests $3.17 Million in Applied Materials, Inc. (NASDAQ:AMAT)

GKV Capital Management Co. Inc. purchased a new stake in shares of Applied Materials, Inc. (NASDAQ:AMAT) in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 19,506 shares of the manufacturing equipment provider’s stock, valued at approximately $3,172,000. Applied Materials comprises 1.3% of GKV Capital Management Co. Inc.’s holdings, making the stock its 23rd biggest holding.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Crews Bank & Trust purchased a new stake in Applied Materials in the fourth quarter worth $28,000. FPC Investment Advisory Inc. bought a new stake in Applied Materials during the fourth quarter worth about $28,000. YANKCOM Partnership purchased a new stake in shares of Applied Materials in the 4th quarter worth approximately $32,000. City Holding Co. purchased a new stake in shares of Applied Materials in the fourth quarter worth $39,000. Finally, Atala Financial Inc purchased a new stake in Applied Materials during the 4th quarter valued at about $45,000. 80.56% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of analysts have commented on the company. Mizuho reduced their target price on Applied Materials from $220.00 to $210.00 and set an “outperform” rating for the company in a report on Friday, January 10th. Barclays reduced their target price on shares of Applied Materials from $200.00 to $190.00 and set an “equal weight” rating for the company in a report on Friday, February 14th. Wells Fargo & Company decreased their price objective on Applied Materials from $210.00 to $200.00 and set an “overweight” rating on the stock in a research note on Monday, January 13th. Edward Jones upgraded shares of Applied Materials from a “hold” rating to a “buy” rating in a research note on Wednesday, March 12th. Finally, Jefferies Financial Group upgraded Applied Materials from a “hold” rating to a “buy” rating and set a $195.00 price target for the company in a research note on Friday, March 28th. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and seventeen have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $210.29.

Applied Materials Stock Performance

Shares of NASDAQ:AMAT opened at $138.19 on Thursday. The company has a market capitalization of $112.27 billion, a price-to-earnings ratio of 18.06, a PEG ratio of 1.81 and a beta of 1.61. The firm’s 50-day moving average is $154.51 and its 200 day moving average is $171.64. Applied Materials, Inc. has a 12 month low of $123.74 and a 12 month high of $255.89. The company has a current ratio of 2.67, a quick ratio of 1.96 and a debt-to-equity ratio of 0.29.

Applied Materials (NASDAQ:AMAT) last posted its quarterly earnings results on Thursday, February 13th. The manufacturing equipment provider reported $2.38 EPS for the quarter, topping analysts’ consensus estimates of $2.28 by $0.10. Applied Materials had a net margin of 22.95% and a return on equity of 39.50%. Research analysts predict that Applied Materials, Inc. will post 9.38 EPS for the current year.

Applied Materials Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 12th. Stockholders of record on Thursday, May 22nd will be paid a dividend of $0.46 per share. The ex-dividend date of this dividend is Thursday, May 22nd. This represents a $1.84 annualized dividend and a dividend yield of 1.33%. This is a positive change from Applied Materials’s previous quarterly dividend of $0.40. Applied Materials’s dividend payout ratio (DPR) is currently 24.05%.

Applied Materials announced that its board has approved a stock buyback program on Monday, March 10th that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the manufacturing equipment provider to purchase up to 8.2% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.

Insider Activity

In other news, CAO Adam Sanders sold 271 shares of the firm’s stock in a transaction on Monday, February 24th. The stock was sold at an average price of $172.72, for a total value of $46,807.12. Following the completion of the sale, the chief accounting officer now owns 6,479 shares of the company’s stock, valued at $1,119,052.88. This trade represents a 4.01 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Gary E. Dickerson purchased 50,000 shares of the stock in a transaction on Thursday, April 3rd. The stock was acquired at an average cost of $137.30 per share, with a total value of $6,865,000.00. Following the acquisition, the chief executive officer now owns 1,716,058 shares of the company’s stock, valued at approximately $235,614,763.40. This represents a 3.00 % increase in their position. The disclosure for this purchase can be found here. Company insiders own 0.24% of the company’s stock.

Applied Materials Company Profile

Applied Materials, Inc engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. The Semiconductor Systems segment develops, manufactures, and sells various manufacturing equipment that is used to fabricate semiconductor chips or integrated circuits.