AMAT

Applied Materials Inc. shares AMAT climbed nearly 7% on Thursday as semiconductor stocks rallied after reports that Meta Platforms plans to begin manufacturing its in-house artificial intelligence chip in September, boosting optimism around demand for wafer fabrication equipment and AI infrastructure. The broader semiconductor rally also lifted Lam Research and KLA Corp., while optical networking company Lumentum led gains in the S&P 500.

The memory-chip complex has sold off hard from recent peaks. In light of this, investors are asking which of Micron Technology (NASDAQ:MU | MU Price Prediction), SanDisk (NASDAQ:SNDK), or Applied Materials (NASDAQ:AMAT) they should actually own after the drawdown.

Applied Materials targets over 50% packaging revenue growth in 2026 as AI demand fuels HBM, 3D chiplet stacking and next-generation packaging.

After a 284% rebound from its 52-week low, Applied Materials still has AI-driven demand, portfolio breadth and earnings momentum supporting further growth.

AMAT, ONTO and BSET made it to the Zacks Rank #1 (Strong Buy) momentum stocks list on July 7, 2026.

Shares of Intel (NASDAQ:INTC | INTC Price Prediction) are down 10% in Tuesday morning trading to $110, while Advanced Micro Devices (NASDAQ:AMD) stock is off 8% to $508.

SK Hynix, the world's second-largest memory-chip maker, is coming to the NASDAQ on Friday with the largest stock sale anyone has priced in years, and the chip complex is already pricing it in.

Applied Materials (AMAT) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.

Lam Research Corp (NASDAQ:LRCX) and Applied Materials Inc (NASDAQ:AMAT) are contributing to the semiconductor and memory stock rally this morning, after Goldman Sachs hiked its price targets on both names to $380 and $645, respectively.

Semis put in a powerful performance in Q2 2026 thanks to things going its way, which more than made up for what happened in Q1 2026. It is not the only thing that matters, but if semis are to add to gains in H2 2026, AI will need to keep driving growth forward. The AI thesis remains intact, but recent developments leave open the possibility the thesis could still turn out to be flawed.