Applied Materials (NASDAQ:AMAT) stock was falling Friday on a poor outlook for the full year of 2018.
Applied Materials says that it is expecting earnings per share for the full year of 2018 to range from $4.41 to $4.49. This is bad news fro AMAT stock as Wall Street is looking for earnings per share of $4.58 for the year.
Applied Materials’ outlook for the full year of 2018 also includes revenue coming in between $17.10 billion to $17.40 billion. This is another blow to AMAT stock as analysts are estimating revenue of $17.64 billion for the period.
The poor outlook for the full year of 2018 comes alongside what was otherwise a good earnings report for AMAT’s fiscal third quarter of the year. This includes earnings per share of $1.20. This is up from its earnings per share of 86 cents from the same period of the year prior. It also beat out Wall Street’s earnings per share estimate of $1.17 for the quarter.
Revenue reported by Applied Materials in its fiscal third quarter of 2018 came in at $4.47 billion. This is better than the chip manufacturer supplier’s revenue of $3.74 billion from its fiscal third quarter of 2017. It also comes in above analysts’ revenue estimate of $4.43 billion for the period.
Net income reported by Applied Materials in its most recent quarter was $1.17 billion. This is an increase over its net income of $925 million from the same time last year. Operating income for the quarter was $1.26 billion. Operating income from AMAT’s fiscal third quarter of the previous year was $1.02 billion.
AMAT stock was down 6% as of noon Friday.
As of this writing, William White did not hold a position in any of the aforementioned securities.