Jefferies Raises AMAT Price Target to $770 on AI-Driven Demand, 15% Upside

According to Jefferies on June 25, the analyst firm raised Applied Materials' price target from $510 to $770 while maintaining a Buy rating. The upgrade reflects AI-driven demand for advanced DRAM, HBM, and packaging manufacturing, which expands AMAT's serviceable equipment market. AMAT closed at $668 on the prior trading day, implying roughly 15% upside to the new target.

Jefferies projects AMAT's advanced packaging business will grow over 50% in 2026 with revenue exceeding $2 billion, citing hybrid bonding and 3D packaging technologies. The firm also estimates AMAT's 2027 fiscal year EPS at $18.06 with revenue around $442 billion.