Key Moments
- Applied Materials, Inc. (NASDAQ:AMAT) declared a quarterly cash dividend of $0.46 per share, payable on March 12, 2026, to shareholders of record on February 19, 2026.
- The $0.46 dividend equates to a 0.68% yield based on a share price of $270.11 and continues an eight-year run of consecutive annual dividend increases.
- During fiscal 2025, the company returned approximately $6.3 billion to shareholders via dividends and buybacks, with about $14.0 billion still authorized for repurchases at period-end.
Dividend Declaration and Yield Metrics
SANTA CLARA – Applied Materials, Inc. (NASDAQ:AMAT) reported that its Board of Directors has authorized a quarterly cash dividend of $0.46 per share on its common stock. The distribution is scheduled for March 12, 2026, to investors recorded as shareholders as of February 19, 2026.
Based on the company’s share price of $270.11, the newly declared dividend corresponds to a yield of 0.68%.
Track Record of Dividend Growth and Shareholder Returns
The semiconductor equipment manufacturer has continued a long-running pattern of raising its dividend, with this payout marking the eighth straight year of increases. The latest step-up follows a prior 15 percent boost in March 2025, when the quarterly dividend was raised from $0.40 to $0.46.
InvestingPro data indicates that Applied Materials has paid dividends for 21 consecutive years, highlighting a sustained focus on returning capital to shareholders.
In its statement, the company noted that it distributed about $6.3 billion to shareholders during fiscal 2025 through a combination of dividends and share repurchases. At the close of that fiscal period, approximately $14.0 billion remained available under its share repurchase authorization.
Valuation, Cash Flows, and Share Price Performance
Applied Materials reported a market capitalization of $215.18 billion and, according to InvestingPro analysis, its shares are trading above Fair Value despite what is described as a solid balance sheet position, with liquid assets exceeding near-term liabilities.
Over the decade through fiscal 2025, the company increased its dividend per share at a compound annual growth rate of 16 percent. Over that same span, it distributed nearly 90 percent of its free cash flow to shareholders via dividends and share buybacks.
The stock has also posted strong performance, delivering a 67.75% price gain year-to-date and trading close to its 52-week high.
| Metric | Value / Detail |
|---|---|
| Quarterly dividend per share | $0.46 |
| Payment date | March 12, 2026 |
| Record date | February 19, 2026 |
| Indicated dividend yield | 0.68% (based on $270.11 share price) |
| Market capitalization | $215.18 billion |
| Dividend increase history | 8 consecutive years |
| Dividend payment history | 21 consecutive years |
| Dividend CAGR (last decade through fiscal 2025) | 16 percent |
| Capital returned in fiscal 2025 | Approximately $6.3 billion |
| Remaining repurchase authorization (end of fiscal 2025) | Approximately $14.0 billion |
| YTD share price performance | 67.75% increase |
| P/E ratio | 31.1 |
Business Profile and Research Coverage
Applied Materials describes itself as a leader in materials engineering solutions for semiconductor and advanced display production. The dividend announcement was released via a company press statement.
The shares trade at a price-to-earnings ratio of 31.1, and InvestingPro characterizes the stock as having strong momentum over multiple timeframes. Investors seeking additional detail are directed to the comprehensive Pro Research Report on Applied Materials and more than 1,400 other U.S. stocks available through InvestingPro.
Analyst Actions and Target Price Revisions
Several recent analyst updates have highlighted differing views on Applied Materials’ outlook and valuation.
- TD Cowen raised its price target on the stock to $315 and reiterated a Buy rating, pointing to the company’s positioning in DRAM memory and advanced foundry technology.
- KeyBanc Capital Markets also lifted its price target to $285 while maintaining an Overweight rating, following an internal review and updated projections for 2028.
- UBS upgraded the stock from Neutral to Buy and set a new price target of $285, citing a favorable expectation for wafer fab equipment demand in the years ahead.
- In a separate report, UBS kept a Neutral rating with a $250 price target, referencing concerns about recent financial guidance and potential market share erosion in China.
- Macquarie increased its price target to $44, commenting on improvements in RevPAR decline and occupancy rates.
Taken together, these analyst moves underscore a mix of optimism regarding Applied Materials’ technology and sector positioning alongside caution related to guidance and specific regional market dynamics.
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