Applied Materials Inc. (NASDAQ:AMAT) is gaining analyst support as the semiconductor equipment manufacturer navigates regulatory challenges and market opportunities. With a 20% share of the Wafer Fab Equipment market and significant exposure to the DRAM sector, analysts project strong revenue growth, driven by increased memory spending and AI applications despite headwinds from China-related restrictions.

• 01Applied Materials holds approximately 20% of the global Wafer Fab Equipment market share, positioning it as a leader in semiconductor manufacturing.
• 02Analysts expect the company to achieve revenues of $44 billion and earnings per share of $19 over the next three years.
• 03The company's exposure to the DRAM market, which constitutes about 25% of its revenue, is expected to benefit from increased capital expenditures by major manufacturers like Samsung and Hynix in 2026.
• 04Regulatory restrictions on sales to China are projected to impact revenues by $600 million in fiscal year 2026, creating significant near-term challenges.
• 05Analysts have raised price targets for Applied Materials, with estimates reaching up to $400, reflecting optimism about the company's growth potential.

The recovery in the memory market and increased spending by major manufacturers could lead to significant revenue growth for Applied Materials, impacting stakeholders in the semiconductor industry.