SANTA CLARA, Calif. - Applied Materials Inc. (NASDAQ:AMAT) announced today that its Board of Directors approved a quarterly cash dividend of $0.53 per share on the company’s common stock.
The dividend is payable on Sept. 10, 2026 to shareholders of record as of Aug. 20, 2026, according to a press release statement. At the current stock price of $492.17, the dividend yield stands at 0.43%.
The company increased its quarterly dividend by 15 percent in March 2026, raising it from $0.46 to $0.53 per share. This marks the ninth consecutive year of dividend increases for the semiconductor equipment manufacturer. According to InvestingPro data, Applied Materials has maintained dividend payments for 22 consecutive years, demonstrating long-term commitment to shareholder returns. The stock currently trades above InvestingPro’s Fair Value estimate, suggesting investors are paying a premium for the company’s market position.
Applied Materials distributed $765 million to shareholders through dividends and share repurchases in the second quarter of fiscal 2026. The company maintains a "GREAT" financial health score on InvestingPro, with a strong return on equity of 40% and a market capitalization of $390.8 billion. For deeper insights, investors can access AMAT’s comprehensive Pro Research Report, one of 1,400+ available on the platform. The company had approximately $13.2 billion remaining in its share repurchase authorization at the end of the period.
Over the past 10 fiscal years, Applied Materials has distributed nearly 90 percent of free cash flow to shareholders through dividends and share repurchases.
The company stated that future dividend declarations remain subject to Board of Directors discretion and will depend on financial condition, results of operations, capital requirements, business conditions and other factors. The timing and amount of share repurchases will depend on market conditions and other considerations.
Applied Materials provides materials engineering solutions for semiconductor and advanced display manufacturing.
In other recent news, Applied Materials plans to increase its workforce in Southeast Asia by 25% this year, adding around 1,000 workers, primarily in Singapore. This expansion underscores the region’s growing significance for the company’s manufacturing and research operations. Cantor Fitzgerald has reiterated an Overweight rating on Applied Materials, citing the company’s early-stage involvement in AI, which is expected to drive demand and innovation in materials and system solutions. Mizuho has raised its price target for Applied Materials to $540, reflecting positive projections for wafer fabrication equipment spending driven by AI logic and memory fab capacity expansion.
Additionally, Broadcom has joined Applied Materials’ EPIC platform to collaborate on developing advanced chip packaging technologies for AI systems. This partnership will focus on enhancing interconnect density and bandwidth in semiconductor systems. Lynx Equity has defended Applied Materials against recent negative sentiment, maintaining a bullish price target of $540. The firm highlights the company’s potential in managing future wafer fabrication equipment cycles and its strategic guidance. These developments indicate a dynamic period for Applied Materials as it navigates growth opportunities in AI and semiconductor technologies.
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