Applied Materials Inc. (AMAT) has seen a 72.4% stock increase in the last six months, hitting a new high as investor confidence grows in its AI capabilities. Despite trade regulation challenges in China, the company continues to deliver solid growth, driven by AI-related demand. Looking to 2026, Applied Materials is well-positioned to benefit from the AI-driven computing expansion, although valuation concerns exist.

Applied Materials is expected to experience growth in 2026 due to increased investment in AI-computing infrastructure. The company’s focus on innovative semiconductor technologies aligns with market demand, with particular strength in logic, DRAM, and HBM segments. However, near-term margin pressure may affect earnings growth, despite a positive industry outlook for the company. Analysts have a “Moderate Buy” rating on Applied Materials stock.

Read more at Barchart: Is AMAT Stock Poised for Continued Gains in 2026?