Record year behind - outbreak before?
Applied Materials, Inc. is currently one of the top-performing stocks in the technology sector. Applied Materials reported record revenue and operating profit for its fiscal 2018 first quarter and was upgraded to a Zacks #1 Rank List.
Applied Materials is the world’s largest manufacturer of semiconductor equipment. The company also produces items for the production of liquid crystal displays and solar cells.
What has happened lately?
On February 14, 2018 Applied Materials, Inc. reported financial results for its fiscal 2018 first quarter ended January 28, 2018.
The reporting period brought the company a record quarter revenue of $4.20 billion, which is 28 percent higher than the $3.28 billion recorded a year ago. Compared to the previous quarter, revenue increased by 5.9%.
“We see sustainable strength in our markets as large, powerful trends drive a fundamental shift in the demand for semiconductors and displays,” said Gary Dickerson, president and CEO. \u2028
The board of directors of Applied Materials approved a new $6.0 billion share repurchase program. The quarterly cash dividend the company pays to its shareholders is doubling to 20 cents per share.
On February 20, 2018 Applied Materials, Inc. was upgraded to a Zacks #1 Rank List (Strong Buy) and has a VGM Score of B.
Applied Materials expects net sales to be between $4.35 billion and $4.55 billion in the second quarter of fiscal 2018.
What do the analysts say?
Based on the views of eight analysts, which I have considered:
Applied Materials' average price target is 72.14 US-Dollar.
The maximum price target is 75.00 US-dollar.
The lowest price target is 70.00 US-dollar.
Today AMAT’s stock price is about 60.03 US-Dollar a share.
Fundamental Data:
P/E ratio: 18.01 / Sales growth: 34.29% / Profit growth: 99.54% / Dividend: $ 0.40 / 0.69% (Source: teletrader).
What do the technical analysis methods I use say?
Oscillator: The RSI is around 80 - overbought!
Price Indicator: The stock price is above the SMA200 ($50).
Trend indicator: The MACD is currently in the positive zone.
The risk management tool used here is the own-developed “Traffic Signals System” (TSS) and is preferably used in analyzes by Ritschy Dobetsberger.
The black line in the chart: the starting price of the idea is 60.03 US-Dollar.
Noteworthy, in the chart is the eruption from the yellow rectangle with the candle today, March 6th.
The red line in the chart: the stop loss is lying at 55.40 US-Dollar. Thus, the stop-loss is at a risk of about -7.71 percent and on the low of the candle from 2 March!
CONCLUSION:
Applied Materials reported impressive first-quarter fiscal 2018 results. The reported first-quarter profit and revenue were above Wall Street estimates.
Based on the fundamental and chart analysis, the company has a great potential to grow further sustainably and profitably. Therefore, this position trading idea is started here!
Today's breakout from the yellow rectangle with the candle has also prompted the technical start of this idea.
Parameters of the Idea - Start of the idea: $60.03
Recent stock price: $60.03 (+0,00% from the starting price)
Stop-Loss of the idea: $55.40 (-7,71% from the starting price)
Take Profit of the idea: $75 (highest target price)
This idea has been running since March 6, 2018.
Disclosure:
"The trading ideas published here are neither to be understood as a recommendation nor as an offer or an invitation to buy or sell financial instruments and should not be understood as such.
You must also assume that the author holds the recommended position in his portfolio and benefits from the implementation of his trading ideas.”
Applied Materials is the world’s largest manufacturer of semiconductor equipment. The company also produces items for the production of liquid crystal displays and solar cells.
What has happened lately?
On February 14, 2018 Applied Materials, Inc. reported financial results for its fiscal 2018 first quarter ended January 28, 2018.
The reporting period brought the company a record quarter revenue of $4.20 billion, which is 28 percent higher than the $3.28 billion recorded a year ago. Compared to the previous quarter, revenue increased by 5.9%.
“We see sustainable strength in our markets as large, powerful trends drive a fundamental shift in the demand for semiconductors and displays,” said Gary Dickerson, president and CEO. \u2028
The board of directors of Applied Materials approved a new $6.0 billion share repurchase program. The quarterly cash dividend the company pays to its shareholders is doubling to 20 cents per share.
On February 20, 2018 Applied Materials, Inc. was upgraded to a Zacks #1 Rank List (Strong Buy) and has a VGM Score of B.
Applied Materials expects net sales to be between $4.35 billion and $4.55 billion in the second quarter of fiscal 2018.
What do the analysts say?
Based on the views of eight analysts, which I have considered:
Applied Materials' average price target is 72.14 US-Dollar.
The maximum price target is 75.00 US-dollar.
The lowest price target is 70.00 US-dollar.
Today AMAT’s stock price is about 60.03 US-Dollar a share.
Fundamental Data:
P/E ratio: 18.01 / Sales growth: 34.29% / Profit growth: 99.54% / Dividend: $ 0.40 / 0.69% (Source: teletrader).
What do the technical analysis methods I use say?
Oscillator: The RSI is around 80 - overbought!
Price Indicator: The stock price is above the SMA200 ($50).
Trend indicator: The MACD is currently in the positive zone.
The risk management tool used here is the own-developed “Traffic Signals System” (TSS) and is preferably used in analyzes by Ritschy Dobetsberger.
The black line in the chart: the starting price of the idea is 60.03 US-Dollar.
Noteworthy, in the chart is the eruption from the yellow rectangle with the candle today, March 6th.
The red line in the chart: the stop loss is lying at 55.40 US-Dollar. Thus, the stop-loss is at a risk of about -7.71 percent and on the low of the candle from 2 March!
CONCLUSION:
Applied Materials reported impressive first-quarter fiscal 2018 results. The reported first-quarter profit and revenue were above Wall Street estimates.
Based on the fundamental and chart analysis, the company has a great potential to grow further sustainably and profitably. Therefore, this position trading idea is started here!
Today's breakout from the yellow rectangle with the candle has also prompted the technical start of this idea.
Parameters of the Idea - Start of the idea: $60.03
Recent stock price: $60.03 (+0,00% from the starting price)
Stop-Loss of the idea: $55.40 (-7,71% from the starting price)
Take Profit of the idea: $75 (highest target price)
This idea has been running since March 6, 2018.
Disclosure:
"The trading ideas published here are neither to be understood as a recommendation nor as an offer or an invitation to buy or sell financial instruments and should not be understood as such.
You must also assume that the author holds the recommended position in his portfolio and benefits from the implementation of his trading ideas.”
Penafian
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