RBC Capital keeps Outperform on Applied Materials, JPMorgan and Ovintiv

what happened

Analysts at RBC Capital reaffirmed an Outperform rating on Applied Materials and set a $600 target, which implies 29.2% upside from the October 13 close of $464.24, according to data from Benzinga. The bank expects demand for DRAM and high bandwidth memory linked to AI workloads to lift chipmaker spending and speed up node transitions.

RBC also kept its Outperform rating on JPMorgan Chase with a $370 target, pointing to 11.6% potential gain from the $331.43 close on October 13. The note highlights a 10% year-over-year rise in earnings per share, supported by higher net interest income and better revenue across segments, along with lower net charge-offs both sequentially and annually.

For Ovintiv, RBC set a $90 target, implying 35.0% upside from the $66.66 close. The analysts cited a 2027 debt-adjusted cash flow multiple of 3.1x versus a peer average of 5.0x, an 18% free cash flow yield against 11% for peers, and a 20% cost reduction at the company's first domestic wet sand pad in Canada.

why it matters

The data comes from Benzinga and reflects analyst opinion, not personal investment advice. For markets, the notes point to continued interest in chip equipment makers, large banks and oil and gas producers that trade at a discount to their peers.

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