Applied Materials Forecast Fails to Impress Following Rally
- Shares dip despite forecast coming in higher than estimated
- Company is seen as bellwether for the chip industry recovery
A technician checks on a stack of semiconductor wafers at the Applied Materials facility in Santa Clara, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Applied Materials Inc., the largest US maker of chipmaking machinery, failed to impress investors with its latest forecast following a rally in the shares this year.
Fiscal third-quarter sales will be roughly $6.65 billion, the company said in a statement Thursday. Though that topped the average Wall Street estimate, some analysts had predicted revenue as high as $7.13 billion. Excluding some items, profit will be $1.83 to $2.19 a share in the three-month period, which runs through July. Analysts projected $1.98.