diff --git a/AutomatedTesting/Gem/PythonTests/atom_renderer/atom_hydra_scripts/hydra_AtomMaterialEditor_BasicTests.py b/AutomatedTesting/Gem/PythonTests/atom_renderer/atom_hydra_scripts/hydra_AtomMaterialEditor_BasicTests.py
index b3c51ca912..9047b4c871 100644
--- a/AutomatedTesting/Gem/PythonTests/atom_renderer/atom_hydra_scripts/hydra_AtomMaterialEditor_BasicTests.py
+++ b/AutomatedTesting/Gem/PythonTests/atom_renderer/atom_hydra_scripts/hydra_AtomMaterialEditor_BasicTests.py
@@ -33,6 +33,7 @@ MATERIAL_TYPE_PATH = os.path.join(
     azlmbr.paths.devroot, "Gems", "Atom", "Feature", "Common", "Assets",
     "Materials", "Types", "StandardPBR.materialtype",
 )
+CACHE_FILE_EXTENSION = ".azmaterial"
 
 
 def run():
@@ -67,6 +68,7 @@ def run():
     material_editor.save_document_as_child(document_id, target_path)
     material_editor.wait_for_condition(lambda: os.path.exists(target_path), 2.0)
     print(f"New asset created: {os.path.exists(target_path)}")
+    time.sleep(2.0)
 
     # Verify if the newly created document is open
     new_document_id = material_editor.open_material(target_path)
@@ -101,22 +103,29 @@ def run():
     expected_color = math.Color(0.25, 0.25, 0.25, 1.0)
     material_editor.set_property(document_id, property_name, expected_color)
     material_editor.save_document(document_id)
+    time.sleep(2.0)
 
     # 7) Test Case: Saving as a New Material
     # Assign new color to the material file and save the document as copy
     expected_color_1 = math.Color(0.5, 0.5, 0.5, 1.0)
     material_editor.set_property(document_id, property_name, expected_color_1)
     target_path_1 = os.path.join(azlmbr.paths.devroot, "AutomatedTesting", "Materials", NEW_MATERIAL_1)
+    cache_file_name_1 = os.path.splitext(NEW_MATERIAL_1)  # Example output: ('test_material_1', '.material')
+    cache_file_1 = f"{cache_file_name_1[0]}{CACHE_FILE_EXTENSION}"
+    target_path_1_cache = os.path.join(azlmbr.paths.devassets, "Cache", "pc", "materials", cache_file_1)
     material_editor.save_document_as_copy(document_id, target_path_1)
-    time.sleep(2.0)
+    material_editor.wait_for_condition(lambda: os.path.exists(target_path_1_cache), 4.0)
 
     # 8) Test Case: Saving as a Child Material
     # Assign new color to the material file save the document as child
     expected_color_2 = math.Color(0.75, 0.75, 0.75, 1.0)
     material_editor.set_property(document_id, property_name, expected_color_2)
     target_path_2 = os.path.join(azlmbr.paths.devroot, "AutomatedTesting", "Materials", NEW_MATERIAL_2)
+    cache_file_name_2 = os.path.splitext(NEW_MATERIAL_1)  # Example output: ('test_material_2', '.material')
+    cache_file_2 = f"{cache_file_name_2[0]}{CACHE_FILE_EXTENSION}"
+    target_path_2_cache = os.path.join(azlmbr.paths.devassets, "Cache", "pc", "materials", cache_file_2)
     material_editor.save_document_as_child(document_id, target_path_2)
-    time.sleep(2.0)
+    material_editor.wait_for_condition(lambda: os.path.exists(target_path_2_cache), 4.0)
 
     # Close/Reopen documents
     material_editor.close_all_documents()
diff --git a/AutomatedTesting/Gem/PythonTests/atom_renderer/test_Atom_MainSuite.py b/AutomatedTesting/Gem/PythonTests/atom_renderer/test_Atom_MainSuite.py
index bb7a16ad6b..c40dc8f178 100644
--- a/AutomatedTesting/Gem/PythonTests/atom_renderer/test_Atom_MainSuite.py
+++ b/AutomatedTesting/Gem/PythonTests/atom_renderer/test_Atom_MainSuite.py
@@ -16,7 +16,6 @@ import editor_python_test_tools.hydra_test_utils as hydra
 from atom_renderer.atom_utils.atom_constants import LIGHT_TYPES
 
 logger = logging.getLogger(__name__)
-EDITOR_TIMEOUT = 120
 TEST_DIRECTORY = os.path.join(os.path.dirname(__file__), "atom_hydra_scripts")
 
 
@@ -175,7 +174,7 @@ class TestAtomEditorComponentsMain(object):
             TEST_DIRECTORY,
             editor,
             "hydra_AtomEditorComponents_AddedToEntity.py",
-            timeout=EDITOR_TIMEOUT,
+            timeout=120,
             expected_lines=expected_lines,
             unexpected_lines=unexpected_lines,
             halt_on_unexpected=True,
@@ -236,7 +235,7 @@ class TestAtomEditorComponentsMain(object):
             TEST_DIRECTORY,
             editor,
             "hydra_AtomEditorComponents_LightComponent.py",
-            timeout=EDITOR_TIMEOUT,
+            timeout=120,
             expected_lines=expected_lines,
             unexpected_lines=unexpected_lines,
             halt_on_unexpected=True,
@@ -299,7 +298,7 @@ class TestMaterialEditorBasicTests(object):
             generic_launcher,
             "hydra_AtomMaterialEditor_BasicTests.py",
             run_python="--runpython",
-            timeout=80,
+            timeout=120,
             expected_lines=expected_lines,
             unexpected_lines=unexpected_lines,
             halt_on_unexpected=True,