Applied Materials (AMAT) reported $7.01 billion in revenue for the quarter ended January 2026, representing a year-over-year decline of 2.2%. EPS of $2.38 for the same period compares to $2.38 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $6.89 billion, representing a surprise of +1.79%. The company delivered an EPS surprise of +8.53%, with the consensus EPS estimate being $2.19.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Applied Materials performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:- Geographic Net Sales- United States: $656 million versus the two-analyst average estimate of $684.78 million. The reported number represents a year-over-year change of -28.5%.
- Geographic Net Sales- Europe: $221 million versus $256.38 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -33% change.
- Geographic Net Sales- Japan: $525 million versus $518.68 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -2.8% change.
- Geographic Net Sales- China: $2.1 billion versus the two-analyst average estimate of $1.97 billion. The reported number represents a year-over-year change of -6.6%.
- Geographic Net Sales- Taiwan: $1.72 billion versus $1.81 billion estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +45.6% change.
- Geographic Net Sales- Southeast Asia: $335 million compared to the $271.34 million average estimate based on two analysts. The reported number represents a change of +17.1% year over year.
- Geographic Net Sales- Korea: $1.46 billion compared to the $1.41 billion average estimate based on two analysts. The reported number represents a change of -12.5% year over year.
- Net Revenue- Applied Global Services: $1.56 billion compared to the $1.56 billion average estimate based on three analysts. The reported number represents a change of -2.2% year over year.
- Net Revenue- Semiconductor Systems: $5.14 billion compared to the $4.97 billion average estimate based on three analysts. The reported number represents a change of -4% year over year.
- Net Revenue- Corporate and Other: $312 million versus $305.24 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +845.5% change.
- Operating Income- Applied Global Services: $438 million versus the two-analyst average estimate of $427.87 million.
- Operating Income- Semiconductor Systems: $1.43 billion versus the two-analyst average estimate of $1.81 billion.
View all Key Company Metrics for Applied Materials here>>>
Shares of Applied Materials have returned +12.6% over the past month versus the Zacks S&P 500 composite's -0.3% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.5 Stocks Set to Double
Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include
Stock #1: A Disruptive Force with Notable Growth and Resilience
Stock #2: Bullish Signs Signaling to Buy the Dip
Stock #3: One of the Most Compelling Investments in the Market
Stock #4: Leader In a Red-Hot Industry Poised for Growth
Stock #5: Modern Omni-Channel Platform Coiled to Spring
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.
See Our Newest 5 Stocks Set to Double Picks >>Applied Materials, Inc. (AMAT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
