Applied Materials price target raised to $230 from $170 at Argus

Argus analyst Jim Kelleher raised the firm’s price target on Applied Materials to $230 from $170 and keeps a Buy rating on the shares after its recent Q1 earnings beat. Consistent with the regional performance of the company’s rivals in wafer fabrication equipment space, demand from China has been robust and has acted to offset much slower recovery in demand from North America, Europe, and rest of Asia, the analyst tells investors in a research note. Argus adds that strength in Services, a still high though diminishing backlog, and the ICAPS business should help Applied Materials to outperform in this environment.