Applied Materials and SAP see bullish AI‑driven outlooks as analysts raise targets

Wells Fargo lifted its price target for Applied Materials Inc. to $740 from $715 and kept an "overweight" rating, citing the company's broad product portfolio and pivotal role in the next generation of AI‑powered semiconductors. The bank highlighted strengths in integrated material solutions, memory and logic technologies, while noting typical semiconductor cyclicality, geopolitical uncertainties and competitive pressures as risks.

SAP SE's shares traded at €140.38, with analysts focusing on the firm’s AI and cloud strategy. A partnership with Swiss AI start‑up Giotto.ai will embed advanced reasoning capabilities into SAP’s Joule platform, boosting its enterprise AI offerings. At the same time, Oracle announced a $95 billion investment in AI infrastructure for 2027, heightening competitive pressure. JPMorgan warned of a potential slowdown in SAP’s cloud growth, adding a note of caution to the otherwise upbeat outlook.