Applied Materials Beats Earnings, Raises Guidance $AMAT Up 4%


Credit Suisse’s Farhan Ahmed reiterates an Outperform rating and raises his price target to $62 from $54.

“Big picture, growth has accelerated structurally as Semi capex to revenues is increasing, and Semis are now growing faster than GDP.”

“Current valuations are continuing to ignore structural improvements in industry; we expect multiples to expand as investors start to realize the consistency of growth.”

Ahmed adds “very positive for Memory industry” with AMAT seeing “15% bit growth for calendar 2017 to 2018.”