Applied Materials shares rise on AI demand as hedge funds adjust holdings

Applied Materials Inc. (NASDAQ: AMAT) saw its stock climb about 1.2% in mid‑day trading, reaching a high of $536.54 before closing near $507.67. Trading volume fell roughly 11% from its average. The price gain came amid a broader rally in semiconductor stocks driven by strong earnings and growing demand for AI‑related equipment, prompting analysts to maintain bullish outlooks and raise price targets, with Bank of America lifting its objective to $720.

Institutional activity also shifted: Argent Capital Management LLC cut its Applied Materials position by 50.5% in the first quarter, ending with 234,016 shares (about 2.5% of its portfolio). Other investors such as BankChampaign National Association, Groupe la Française, Liontrust Investment Partners, Pathway Wealth Management and Western Wealth Management increased their stakes. Overall, roughly 80.6% of the company’s shares are held by hedge funds and other institutional investors.