AMAT Stock Analysis: Applied Materials | NASDAQ
Semiconductor Equipment & Materials | NASDAQ, USA | Market Cap: 424.403m USD | 12M Return: 212.4% | US0382221051 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 3.79B
EPS Trend: 96.3%
Qual. Beats: 17
Rev. Trend: 93.3%
Qual. Beats: 2
Warnings
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Applied Materials, Inc. (AMAT) is a major provider of materials engineering solutions, equipment, services, and software for the global semiconductor and related industries. The company operates through two main segments: Semiconductor Systems, which supplies capital equipment used in key wafer fabrication steps such as etch, deposition, chemical mechanical planarization, metrology and inspection, and ion implantation; and Applied Global Services (AGS), which delivers integrated solutions-including spares, upgrades, services, and factory automation software-designed to optimize equipment and fab performance.
The company serves manufacturers of semiconductor wafers, chips, and other electronic devices across major markets including the United States, China, Korea, Taiwan, Japan, Southeast Asia, and Europe. Headquartered in Santa Clara, California, and incorporated in 1967, Applied Materials is classified within the Information Technology sector under the Semiconductor Materials & Equipment sub-industry, making it a key supplier to the broader chip manufacturing supply chain rather than a chip designer itself.
- China equipment revenue faces US export control headwinds
- Semiconductor Systems orders track AI-driven foundry and memory capex
- Applied Global Services margins expand on installed base growth
| Net Income: 9.27b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.13 > 0.02 and ΔFCF/TA -4.11 > 1.0 |
| NWC/Revenue: 47.79% < 20% (prev 41.36%; Δ 6.43% < -1%) |
| CFO/TA 0.19 > 3% & CFO 8.39b > Net Income 9.27b |
| Net Debt (-1.88b) to EBITDA (9.52b): -0.20 < 3 |
| Current Ratio: 2.42 > 1.5 & < 3 |
| Outstanding Shares: last quarter (800.0m) vs 12m ago -1.36% < -2% |
| Gross Margin: 49.40% > 18% (prev 48.50%; Δ 0.90% > 0.5%) |
| Asset Turnover: 79.34% > 50% (prev 83.64%; Δ -4.30% > 0%) |
| Interest Coverage Ratio: 33.96 > 6 (EBIT TTM 9.41b / Interest Expense TTM 277.0m) |
| A: 0.34 (Total Current Assets 25.1b - Total Current Liabilities 10.4b) / Total Assets 43.5b |
| B: 1.27 (Retained Earnings 55.2b / Total Assets 43.5b) |
| C: 0.24 (EBIT TTM 9.41b / Avg Total Assets 38.9b) |
| D: 1.43 (Book Value of Equity 25.6b / Total Liabilities 17.9b) |
| Altman-Z'' = 9.49 = AAA |
| DSRI: 1.22 (Receivables 7.69b/5.83b, Revenue 30.8b/28.6b) |
| GMI: 0.98 (GM 48.50% / 49.40%) |
| AQI: 1.02 (AQ_t 0.29 / AQ_t-1 0.29) |
| SGI: 1.08 (Revenue 30.8b / 28.6b) |
| TATA: 0.02 (NI 9.27b - CFO 8.39b) / TA 43.5b) |
| Beneish M = -2.79 (Cap -4..+1) = A |
As of August 17, 2026, the stock is trading at USD 507.18 with a total of 12,513,552 shares traded. Over the past week, the price has changed by -5.93%, over one month by -9.58%, over three months by +22.79% and over the past year by +212.42%.
Current recommended Stop Loss: 461.80 (which is 8.9% or 1.3 ATR below the current price).
Applied Materials has received a consensus analysts rating of 4.49. Therefore, it is recommended to buy AMAT.
- StrongBuy: 27
- Buy: 4
- Hold: 8
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 633.3 | 24.9% |
P/E Trailing = 50.286
P/E Forward = 33.1126
P/S = 14.6225
P/B = 17.3383
P/EG = 1.1867
Revenue TTM = 30.8b USD
EBIT TTM = 9.41b USD
EBITDA TTM = 9.52b USD
Long Term Debt = 6.46b USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.30b USD (from shortTermDebt, last quarter)
Debt = 7.36b USD (from shortLongTermDebtTotal, last quarter) + Leases 813.0m
Net Debt = -1.88b USD (calculated: Debt 7.36b - CCE 9.23b)
Enterprise Value = 423b USD (424b + Debt 7.36b - CCE 9.23b)
Interest Coverage Ratio = 33.96 (Ebit TTM 9.41b / Interest Expense TTM 277.0m)
EV/FCF = 75.17x (Enterprise Value 423b / FCF TTM 5.62b)
FCF Yield = 1.33% (FCF TTM 5.62b / Enterprise Value 423b)
FCF Margin = 18.23% (FCF TTM 5.62b / Revenue TTM 30.8b)
Net Margin = 30.05% (Net Income TTM 9.27b / Revenue TTM 30.8b)
Gross Margin = 49.40% ((Revenue TTM 30.8b - Cost of Revenue TTM 15.6b) / Revenue TTM)
Gross Margin QoQ = 50.31% (prev 49.90%)
Tobins Q-Ratio = 9.71 (Enterprise Value 423b / Total Assets 43.5b)
Interest Expense / Debt = 3.77% (Interest Expense 277.0m / Debt 7.36b)
Taxrate = 13.61% (1.46b / 10.7b)
NOPAT = 8.13b (EBIT 9.41b * (1 - 13.61%))
Current Ratio = 2.42 (Total Current Assets 25.1b / Total Current Liabilities 10.4b)
Debt / Equity = 0.29 (Debt 7.36b / totalStockholderEquity, last quarter 25.6b)
Debt / EBITDA = -0.20 (Net Debt -1.88b / EBITDA 9.52b)
Debt / FCF = -0.33 (Net Debt -1.88b / FCF TTM 5.62b)
Total Stockholder Equity = 22.9b (last 4 quarters mean from totalStockholderEquity)
RoA = 23.84% (Net Income 9.27b / Total Assets 43.5b)
RoE = 40.44% (Net Income TTM 9.27b / Total Stockholder Equity 22.9b)
RoCE = 32.02% (EBIT 9.41b / Capital Employed (Equity 22.9b + L.T.Debt 6.46b))
RoIC = 24.68% (NOPAT 8.13b / Invested Capital 32.9b)
WACC = 13.80% (E(424b)/V(432b) * Re(13.98%) + D(7.36b)/V(432b) * Rd(3.77%) * (1-Tc(0.14)))
Discount Rate = 13.98% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: -95.81 | Cagr: -1.94%
[DCF] Terminal Value 58.17% ; FCFF base≈5.70b ; Y1≈5.56b ; Y5≈5.55b
[DCF] Fair Price = 59.52 (EV 45.4b - Net Debt -1.88b = Equity 47.3b / Shares 794.0m; r=13.80% [WACC]; 5y FCF grow -3.47% → 2.50% )
EPS Correlation: 96.26 | EPS CAGR: 10.12% | SUE: 3.08 | # QB: 17
Revenue Correlation: 93.31 | Revenue CAGR: 4.82% | SUE: 1.46 | # QB: 2
EPS current Quarter (2027-01-31): EPS=3.95 | Chg30d=+4.14% | Revisions=+67% | Analysts=25
EPS current Year (2026-10-31): EPS=12.34 | Chg30d=+0.58% | Revisions=+70% | GrowthEPS=+30.9% | GrowthRev=+18.2%
EPS next Year (2027-10-31): EPS=17.34 | Chg30d=+4.12% | Revisions=+75% | GrowthEPS=+40.6% | GrowthRev=+30.3%
[Analyst] Revisions Ratio: +88% (up=22, down=0)