Applied Materials just guided toward its first ever quarter exceeding ten billion dollars in revenue, with year-over-year growth above fifty percent at the midpoint. Nick breaks down the full AMAT update for August 2026 — results, guidance, the China recovery, and whether the stock still belongs in a portfolio after the selloff.
Q3 fiscal year 2026 came in at nine point one billion in revenue with gross margins at fifty percent and operating margins above thirty percent. China is back in growth mode at roughly two point three billion in revenue.
The ICAPS segment covering power, optical, and automotive is recovering. Applied is doubling manufacturing capacity by 2028. A reverse DCF suggests the stock is pricing in twenty-four percent annual earnings per share growth — not cheap, but CSI remains long.
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CSI owns shares of AMAT.