Applied Materials Inc

AMAT is in a Stage 4 decline within a longer-term uptrend. The medium-term bias is bearish, characterized by a clear sequence of lower highs and lower lows and repeated rejections at the declining 9/20 EMA zone accompanied by downside volume skew. Short-term timing is bearish after a failed bounce off the 50 DMA and rejection at the short EMAs, so execution should occur now by selling into rallies at the declining EMA resistance area consistent with the High Momentum strategy.

• ↑Q3 FY2026 revenue guidance $8.95B, +23% YoY; non-GAAP EPS $3.36 (+36% YoY)
• ↑Q2 revenue $7.91B, +11% YoY; gross margin ~50%; EPS $2.86 (+20% YoY)
• ↓Negative earnings yield and low book-to-price suggest overvaluation risk