BofA is Bullish on Applied Materials, Inc. (AMAT) - Yahoo Finance

Bank of America raised Applied Materials Inc. (AMAT)’s price target to $720 from $540, maintaining a 'Buy' rating, reflecting optimism about the semiconductor industry’s outlook. The firm updated its ... Read original →

Bank of America’s aggressive repricing of Applied Materials reflects a strategic bet on foundational manufacturing capabilities underpinning AI and AR hardware. Technologically, AMAT’s leadership in thin-film deposition and nano-optical processing is extending beyond logic chips into AR waveguide fabrication, forging a new stack from semiconductor tools to photonic components and end-user devices. On compliance, while its EssilorLuxottica partnership sidesteps some export controls, inclusion of advanced optical coating in U.S. emerging technology restrictions could inflate global supply chain costs. Competitively, Lam Research and ASML may accelerate development of hybrid bonding and AR-dedicated lithography modules to counter AMAT’s edge in heterogeneous integration. Over the next 12–24 months, as AI glasses enter volume production, equipment demand will shift from data center capex toward wearable hardware capacity, creating a dual-engine tailwind of ‘AI compute + perceptual interfaces.’ AMAT, with its cross-domain process platform, is positioned to become critical infrastructure in hard-tech innovation.