Applied Materials, Inc. (AMAT) shares barely budged on Friday after the semiconductor equipment maker released its fourth-quarter results Thursday evening. Sometimes even good news just doesn't move the needle.

The Numbers Look Good

Applied Materials delivered where it counts. The company posted adjusted earnings per share of $2.17, comfortably beating analyst estimates of $2.10. Revenue came in at $6.80 billion, also ahead of the $6.66 billion consensus forecast.

Here's the nuance though: quarterly revenue actually dropped 3% year over year. GAAP EPS managed to climb 14%, but non-GAAP EPS fell 6% compared to the same period last year. The company pointed to ongoing demand tied to AI investments in advanced semiconductors and wafer fab equipment as a bright spot.

What Management Is Saying

President and CEO Gary Dickerson emphasized that fiscal 2025 marked the company's sixth consecutive year of growth, highlighting Applied Materials' strong position in leading-edge logic, DRAM, and advanced packaging technologies. Meanwhile, CFO Brice Hill noted that the company is gearing up its operations and service organizations to handle higher demand expected to kick in during the second half of calendar 2026.

So the message is essentially: things are decent now, but the real party starts in about 18 months.

Wall Street's Take

Analysts had mixed reactions following the report. Needham analyst Charles Shi kept his Buy rating and $260 price target intact. B. Riley Securities analyst Craig Ellis also stayed bullish, upgrading his price target from $265 to $270 while maintaining a Buy rating. Cantor Fitzgerald analyst C.J. Muse held firm with an Overweight rating and a $300 price target.

On the flip side, Craig-Hallum analyst Christian Schwab downgraded Applied Materials from Buy to Hold, keeping his $190 price target. Mizuho analyst Vijay Rakesh maintained a Neutral stance but trimmed his target from $215 to $205.

At last check, Applied Materials shares were down 0.28% at $220.45.