It doesn't matter what company designs the best semiconductor technology in the future, Applied Materials is poised to benefit from higher production volumes in general. Sales for Dollar General go up in good times and bad, a comforting notion given current economic uncertainty. Axon Enterprise has mostly recurring revenue, a great balance sheet, and no true rival, making it a very safe stock.
Applied Materials saw a positive improvement to its Relative Strength (RS) Rating on Friday, with an increase from 78 to 83. When looking for the best stocks to buy and watch, keep a close on eye on relative price strength.
The growing demand for computer chips across various industries is turning out to be a massive tailwind for semiconductor equipment manufacturer Applied Materials (NASDAQ: AMAT), helping the company post terrific results quarter after quarter. The advent of 5G wireless networks, the Internet of Things (IoT), and artificial intelligence (AI) are big catalysts that Applied Materials is heavily involved in. Let's take a closer look at what's working for Applied Materials, and why it remains a buy despite an impressive rally over the past few months.