Applied Materials Inc., the largest US maker of chip-manufacturing equipment, suffered its worst stock decline in a month after giving a disappointing revenue forecast, a sign that some semiconductor customers may be holding off on orders.

Shares of Applied Materials (NASDAQ: AMAT), the nation's biggest manufacturer of semiconductor equipment, dropped today after it offered disappointing guidance in its fourth-quarter earnings report due to weakness in China.

During the quarter, Applied Material’s semiconductor systems business unit – by far its biggest – delivered revenue of $5.18 billion, up 6% from a year ago. Sales in the global services segment rose 11%, to $1.64 billion, while revenue from the much smaller display and adjacent markets unit fell 29% to $211 million.