Applied Materials stock falls after record Q3 revenue
Published on 08/19/2026 at 08:11 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
Applied Materials, Inc. (US0382221051) stock fell after the company said fiscal third-quarter revenue reached $9.12 billion and non-GAAP EPS came in at $3.50 for the period ended July 27, 2026. The shares were quoted at $506.01 in morning trading on August 19, 2026, after a prior close of $514.33 on August 18, 2026.
Record revenue, softer reaction
The latest earnings reaction has a simple shape: a record quarter met a demanding valuation. A market snapshot on August 19, 2026 showed the stock down 5.47% to $506.01, while the 52-week range stood at $154.47 to $739.67 and market value at $401.247 billion.
That move came even as the company reported revenue up 24.8% year over year to $9.12 billion and non-GAAP EPS of $3.50, which topped the $3.40 estimate cited in recent coverage. A same-day filing page also showed the most recent SEC filing as an August 13, 2026 Form 8-K, reinforcing that investors are still digesting the post-earnings update.
Guidance stays firm
For the fiscal fourth quarter, Applied Materials guided to revenue of $10.25 billion, plus or minus $500 million, and non-GAAP EPS of $4.02, plus or minus $0.20. That compares with the $9.12 billion posted in the July quarter and gives the market a concrete test for whether AI-related chip spending can keep offsetting cyclical caution.
Analyst commentary has stayed constructive enough to keep the debate centered on valuation rather than business quality. Recent market coverage cited a consensus target of $637.15, a level that sits well above the August 19 trading price and helps explain why the share reaction stayed cautious instead of euphoric.
Semiconductor systems lead
Within the quarter, semiconductor systems revenue reached $7.04 billion and Applied Global Services revenue reached $1.78 billion, both cited for fiscal Q3 2026. The mix matters because it shows the installed-base business still contributing a sizable recurring revenue stream alongside the more cyclical equipment cycle.
For investors, the comparison is still clear: Q3 revenue of $9.12 billion and Q4 guidance of $10.25 billion point to growth momentum, while the stock's 2026 advance and large market value suggest expectations are already high.
What Applied sells
Applied Materials makes semiconductor fabrication equipment, including deposition, etch, metrology, inspection, packaging, and process integration tools. Its broader platform matters when customers push more capital into advanced logic, DRAM, HBM, and packaging capacity.
Price and setup
Applied Materials traded at $506.01 on August 19, 2026, with intraday volume of 1,115,753 shares and a prior close of $514.33 on August 18, 2026. The stock also showed a year-to-date gain of 96.65% in the same snapshot, leaving the earnings-and-guidance story tightly tied to valuation.
Fact box
Company: Applied Materials, Inc.
ISIN: US0382221051
Ticker: AMAT
Exchange: NasdaqGS
Price (as of August 19, 2026, 9:50:59 a.m. ET): $506.01 USD
Market cap: $401.247 billion (as of August 19, 2026)
Sector / Industry: Technology / Semiconductor Equipment & Materials
Index membership: Nasdaq-100
Next earnings date: November 12, 2026
