APPLIED MATERIALS Q2 PROFIT TOPS EXPECTATIONS, STOCKS RISE
Applied Materials is currently trading at 43.72-higher by 4.94% as compared to the previous closing. In Pre-market trading on Friday, the stock was traded higher by 3.89%. The stock has continued gaining after the opening bell.
The company reported better-than-expected quarterly earnings after the market close on Thursday. Applied Materials generated adjusted EPS of 70 cents for the second quarter. The EPS was above the market expectation of 66 cents. The semiconductor manufacturing equipment maker brought in $3.54 billion in revenue for the second quarter. The revenue was above the consensus estimates of $3.50 billion.
The company expects third-quarter revenue at about $3.525 billion. The mid-point of revenue is above the market expectation of $3.51 billion. Applied Materials forecast EPS of 67 cents to 75 cents for the fiscal third quarter. The mid-point of EPS is above the consensus estimates of 69 cents.
Stocks of the company dropped 25% in the past year.
On the technical front, the RSI is currently at 58.1% and suggests that the market can move in the upward direction. The current price is above the MA5. The current price is above the middle line of the Bollinger Bands and is heading upwards.
TRADE SUGGESTION-LIMIT BUY AT 43.50 TAKE PROFIT AT 44.30 STOP LOSS AT 43.10