Applied Materials Stock Jumps On Third-quarter Earnings And Sales Beat

Applied Materials Inc. shares rose in the extended session Thursday after the company's third-quarter earnings beat Wall Street expectations. Applied Materials shares jumped 2.2% to $43.12 after hours. The equipment manufacturer's net income rose to $925 million, or 85 cents a share, compared to $505 million, or 46 cents a share, in the year-ago period. Adjusted earnings were 86 cents a share. Revenue increased 33% to $3.74 billion from $2.82 billion in the year-ago period. Analysts surveyed by FactSet had estimated adjusted earnings of 84 cents a share on revenue of $3.69 billion. Executives issued fourth-quarter sales guidance of $3.85 billion to $4 billion, and adjusted earnings of 86 cents to 94 cents per share. Analysts model third-quarter adjusted earnings of 82 cents a share on sales of $3.7 billion. Applied Materials stock has gained 33.6% year-to-date, while the S&P 500 index has gained 8.5%.