Applied Materials Boosts Shareholder Returns with New Dividend
Applied Materials Declares New Cash Dividend
Applied Materials, Inc. has made a significant announcement regarding its commitment to returning value to its shareholders. The company's Board of Directors has approved a quarterly cash dividend of $0.46 per share, which is scheduled to be paid on December 11, 2025. This payment will go to shareholders who are on record as of November 20, 2025. This decision underscores the company's ongoing strategy to provide shareholder returns while continuing to invest in future growth.
Cementing a Track Record of Dividend Increases
In a remarkable achievement, Applied Materials has now marked eight consecutive years of dividend increases. Just last March, the company raised its quarterly dividend per share from $0.40 to $0.46, reflecting a 15-percent hike. Over the past decade, the company has showcased a strong track record, with its dividend per share blossoming at an impressive compound annual growth rate of about 15 percent. Furthermore, it has returned nearly 90 percent of its free cash flow back to shareholders, illustrating a robust commitment to enhancing shareholder value.
Recent Financial Performance
In the third quarter of fiscal 2025, Applied Materials returned a substantial $1.4 billion to its shareholders through a combination of dividends and share repurchases. This demonstrates the company's solid financial health and its ability to generate free cash flow. The company still has approximately $14.8 billion available under its share repurchase authorization, providing it with ample room to return more capital to its shareholders if it determines such actions are appropriate.
Emphasizing Strategic Growth Through Innovation
Applied Materials has carved a niche as a leader in materials engineering solutions. Its technology is fundamental to the development of new semiconductors and advanced displays worldwide. The advances made by Applied are accelerating the commercialization of next-generation chips, crucial for emerging technologies such as Artificial Intelligence (AI). By continuously pushing the edges of science and engineering, Applied Materials is dedicated to providing material innovations that have the potential to transform industries.
Shareholder Trust and Future Outlook
While the company is enthusiastic about its future dividend payments, it also acknowledges that the ongoing declaration of dividends will depend on the discretion of its Board of Directors. This decision will factor in various critical elements, including the company’s financial position, operational results, and business conditions. The company’s management recognizes the responsibility of maintaining shareholder trust and ensuring that dividends remain in the best interest of its stakeholders.
About Applied Materials
Founded with a vision to innovate, Applied Materials, Inc. (NASDAQ: AMAT) stands at the forefront of materials engineering solutions. Its technology plays a vital role in the evolution of semiconductors and advanced display technology that influence various sectors, including electronics, communications, and computing. As the technological landscape evolves, Applied Materials remains committed to pioneering advancements that will shape the future and ensure sustainable growth.
Frequently Asked Questions
What is the new cash dividend amount announced by Applied Materials?
Applied Materials has announced a quarterly cash dividend of $0.46 per share.
When will the dividend be paid?
The cash dividend is scheduled to be paid on December 11, 2025.
How long has Applied Materials been increasing its dividends?
Applied Materials has been increasing its dividends for eight consecutive years.
What percentage of free cash flow has Applied returned to shareholders?
The company has returned nearly 90 percent of its free cash flow to shareholders.
What is the focus of Applied Materials in the technology sector?
Applied Materials focuses on materials engineering solutions for semiconductors and advanced display technologies, crucial for the advancement of AI and next-generation chip commercialization.
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