Lynx Equity maintains bullish price targets on Applied Materials and Lam Research, with targets of $540 and $325 respectively.
Applied Materials delivered a 166% return over the past year, trading at $414.65 with a market cap of $328 billion.
Wall Street analysts give a consensus rating of 1.51, with price targets ranging from $355 to $575.
Lynx expects a NAND wafer fabrication equipment cycle in 2027-2028 for LRCX, supported by WFE cycle management guidance.
Applied Materials guided Semi Systems revenue growth above 30% for 2026. 25 analysts have revised earnings upward.
The company indicated a DRAM WFE cycle continuing into 2028 and an advanced logic cycle extending beyond 2028 into 2029.
Lynx expects both companies to show steady low-volatility gains and multi-years of EPS growth during strong WFE cycles.
Cantor Fitzgerald raised its AMAT target to $575. Needham to $530, TD Cowen to $525. Morgan Stanley raised MKS Instruments target to $374.
