Applied Materials (AMAT) Stock Dropped 4% on Q4 Miss, Weaker Guidance
Applied Materials (NASDAQ: AMAT) shares dropped more than 4% after-hours, following the company’s reported Q4 results, with EPS coming in at $1.94, slightly missing the consensus estimate of $1.95. Quarterly revenue grew 31% to $6.12 billion, missing the consensus estimate of $6.34 billion, due to supply chain challenges.
According to Gary Dickerson, President and CEO of Applied Materials, the company expects supply shortages of certain silicon components to persist in the near term and the company’s top priority is to manage these constraints in partnership with its suppliers and chipmakers.
The company expects Q1/22 EPS of $1.78-$1.92 (vs. Street’s $2.01) and revenue of $6.16 billion, which is below the consensus estimate of $6.5 billion.