APPLIED MATERIALS INC (1AMAT.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1AMAT - US0382221051 - Common Stock
274.7 EUR
-5.65 (-2.02%)
We assign a fundamental rating of 6 out of 10 to 1AMAT. 1AMAT was compared to 68 industry peers in the Semiconductors & Semiconductor Equipment industry. 1AMAT gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, 1AMAT is valued expensive at the moment. This makes 1AMAT very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- In the past year 1AMAT was profitable.
- In the past year 1AMAT had a positive cash flow from operations.
- In the past 5 years 1AMAT has always been profitable.
- 1AMAT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 19.28%, 1AMAT belongs to the top of the industry, outperforming 85.29% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 34.28%, 1AMAT belongs to the top of the industry, outperforming 80.88% of the companies in the same industry.
- 1AMAT has a Return On Invested Capital of 24.38%. This is amongst the best in the industry. 1AMAT outperforms 85.29% of its industry peers.
- 1AMAT had an Average Return On Invested Capital over the past 3 years of 25.04%. This is significantly above the industry average of 14.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.28% | ||
| ROE | 34.28% | ||
| ROIC | 24.38% |
ROA(3y)20.82%
ROA(5y)21.93%
ROE(3y)38%
ROE(5y)43.11%
ROIC(3y)25.04%
ROIC(5y)27.65%
1.3 Margins
- The Profit Margin of 1AMAT (24.67%) is better than 70.59% of its industry peers.
- In the last couple of years the Profit Margin of 1AMAT has grown nicely.
- 1AMAT has a better Operating Margin (29.86%) than 75.00% of its industry peers.
- In the last couple of years the Operating Margin of 1AMAT has grown nicely.
- 1AMAT has a Gross Margin (48.67%) which is comparable to the rest of the industry.
- 1AMAT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.86% | ||
| PM (TTM) | 24.67% | ||
| GM | 48.67% |
OM growth 3Y-0.37%
OM growth 5Y3.31%
PM growth 3Y-0.85%
PM growth 5Y3.24%
GM growth 3Y1.53%
GM growth 5Y1.71%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1AMAT is creating value.
- The number of shares outstanding for 1AMAT has been reduced compared to 1 year ago.
- 1AMAT has less shares outstanding than it did 5 years ago.
- 1AMAT has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 13.80 indicates that 1AMAT is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 13.80, 1AMAT belongs to the top of the industry, outperforming 85.29% of the companies in the same industry.
- The Debt to FCF ratio of 1AMAT is 1.15, which is an excellent value as it means it would take 1AMAT, only 1.15 years of fcf income to pay off all of its debts.
- 1AMAT's Debt to FCF ratio of 1.15 is fine compared to the rest of the industry. 1AMAT outperforms 70.59% of its industry peers.
- A Debt/Equity ratio of 0.32 indicates that 1AMAT is not too dependend on debt financing.
- 1AMAT has a Debt to Equity ratio (0.32) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.15 | ||
| Altman-Z | 13.8 |
ROIC/WACC2.27
WACC10.74%
2.3 Liquidity
- 1AMAT has a Current Ratio of 2.61. This indicates that 1AMAT is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.61, 1AMAT is in the better half of the industry, outperforming 66.18% of the companies in the same industry.
- 1AMAT has a Quick Ratio of 1.90. This is a normal value and indicates that 1AMAT is financially healthy and should not expect problems in meeting its short term obligations.
- With a decent Quick ratio value of 1.90, 1AMAT is doing good in the industry, outperforming 69.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.61 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 8.78% over the past year.
- 1AMAT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.65% yearly.
- Looking at the last year, 1AMAT shows a small growth in Revenue. The Revenue has grown by 4.39% in the last year.
- Measured over the past years, 1AMAT shows a quite strong growth in Revenue. The Revenue has been growing by 10.52% on average per year.
EPS 1Y (TTM)8.78%
EPS 3Y6.91%
EPS 5Y17.65%
EPS Q2Q%-6.47%
Revenue 1Y (TTM)4.39%
Revenue growth 3Y3.23%
Revenue growth 5Y10.52%
Sales Q2Q%-3.48%
3.2 Future
- Based on estimates for the next years, 1AMAT will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.04% on average per year.
- 1AMAT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.57% yearly.
EPS Next Y2.89%
EPS Next 2Y11.54%
EPS Next 3Y9.31%
EPS Next 5Y11.04%
Revenue Next Year2.32%
Revenue Next 2Y8%
Revenue Next 3Y6.59%
Revenue Next 5Y6.57%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 34.21 indicates a quite expensive valuation of 1AMAT.
- 1AMAT's Price/Earnings ratio is a bit cheaper when compared to the industry. 1AMAT is cheaper than 61.76% of the companies in the same industry.
- 1AMAT's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.94.
- A Price/Forward Earnings ratio of 33.24 indicates a quite expensive valuation of 1AMAT.
- 1AMAT's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 23.94. 1AMAT is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.21 | ||
| Fwd PE | 33.24 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1AMAT.
- Based on the Price/Free Cash Flow ratio, 1AMAT is valued a bit cheaper than the industry average as 72.06% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.04 | ||
| EV/EBITDA | 28.43 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- 1AMAT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)11.82
PEG (5Y)1.94
EPS Next 2Y11.54%
EPS Next 3Y9.31%
5. Dividend
5.1 Amount
- 1AMAT has a yearly dividend return of 0.58%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.72, 1AMAT pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, 1AMAT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
5.2 History
- The dividend of 1AMAT is nicely growing with an annual growth rate of 14.79%!
Dividend Growth(5Y)14.79%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 19.78% of the earnings are spent on dividend by 1AMAT. This is a low number and sustainable payout ratio.
- The dividend of 1AMAT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP19.78%
EPS Next 2Y11.54%
EPS Next 3Y9.31%
BIT:1AMAT (1/20/2026, 7:00:00 PM)
274.7
-5.65 (-2.02%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)11-13 2025-11-13/amc
Earnings (Next)02-12 2026-02-12/amc
Inst Owners85.06%
Inst Owner ChangeN/A
Ins Owners0.27%
Ins Owner ChangeN/A
Market Cap218.84B
Revenue(TTM)28.37B
Net Income(TTM)7.00B
Analysts78.5
Price Target240.93 (-12.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
Yearly Dividend1.48
Dividend Growth(5Y)14.79%
DP19.78%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.33%
Min EPS beat(2)1.63%
Max EPS beat(2)3.04%
EPS beat(4)4
Avg EPS beat(4)2.02%
Min EPS beat(4)1.29%
Max EPS beat(4)3.04%
EPS beat(8)8
Avg EPS beat(8)3.4%
EPS beat(12)12
Avg EPS beat(12)3.99%
EPS beat(16)14
Avg EPS beat(16)4.03%
Revenue beat(2)1
Avg Revenue beat(2)-0.43%
Min Revenue beat(2)-0.88%
Max Revenue beat(2)0.03%
Revenue beat(4)1
Avg Revenue beat(4)-1.2%
Min Revenue beat(4)-2.34%
Max Revenue beat(4)0.03%
Revenue beat(8)2
Avg Revenue beat(8)-0.59%
Revenue beat(12)5
Avg Revenue beat(12)-0.05%
Revenue beat(16)7
Avg Revenue beat(16)-0.02%
PT rev (1m)9.78%
PT rev (3m)42.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.38%
EPS NY rev (1m)0.12%
EPS NY rev (3m)-0.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.43%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)-0.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.21 | ||
| Fwd PE | 33.24 | ||
| P/S | 9.05 | ||
| P/FCF | 45.04 | ||
| P/OCF | 32.25 | ||
| P/B | 12.57 | ||
| P/tB | 15.57 | ||
| EV/EBITDA | 28.43 |
EPS(TTM)8.03
EY2.92%
EPS(NY)8.26
Fwd EY3.01%
FCF(TTM)6.1
FCFY2.22%
OCF(TTM)8.52
OCFY3.1%
SpS30.36
BVpS21.85
TBVpS17.64
PEG (NY)11.82
PEG (5Y)1.94
Graham Number62.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.28% | ||
| ROE | 34.28% | ||
| ROCE | 29.93% | ||
| ROIC | 24.38% | ||
| ROICexc | 34.93% | ||
| ROICexgc | 43.57% | ||
| OM | 29.86% | ||
| PM (TTM) | 24.67% | ||
| GM | 48.67% | ||
| FCFM | 20.09% |
ROA(3y)20.82%
ROA(5y)21.93%
ROE(3y)38%
ROE(5y)43.11%
ROIC(3y)25.04%
ROIC(5y)27.65%
ROICexc(3y)36.63%
ROICexc(5y)37.97%
ROICexgc(3y)47.26%
ROICexgc(5y)49.64%
ROCE(3y)31.01%
ROCE(5y)34.04%
ROICexgc growth 3Y-4.49%
ROICexgc growth 5Y0.83%
ROICexc growth 3Y-2.74%
ROICexc growth 5Y3.53%
OM growth 3Y-0.37%
OM growth 5Y3.31%
PM growth 3Y-0.85%
PM growth 5Y3.24%
GM growth 3Y1.53%
GM growth 5Y1.71%
F-Score6
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.15 | ||
| Debt/EBITDA | 0.74 | ||
| Cap/Depr | 519.54% | ||
| Cap/Sales | 7.97% | ||
| Interest Coverage | 35.44 | ||
| Cash Conversion | 89.37% | ||
| Profit Quality | 81.42% | ||
| Current Ratio | 2.61 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z | 13.8 |
F-Score6
WACC10.74%
ROIC/WACC2.27
Cap/Depr(3y)345.96%
Cap/Depr(5y)276.93%
Cap/Sales(3y)5.51%
Cap/Sales(5y)4.49%
Profit Quality(3y)98.84%
Profit Quality(5y)89.65%
High Growth Momentum
Growth
EPS 1Y (TTM)8.78%
EPS 3Y6.91%
EPS 5Y17.65%
EPS Q2Q%-6.47%
EPS Next Y2.89%
EPS Next 2Y11.54%
EPS Next 3Y9.31%
EPS Next 5Y11.04%
Revenue 1Y (TTM)4.39%
Revenue growth 3Y3.23%
Revenue growth 5Y10.52%
Sales Q2Q%-3.48%
Revenue Next Year2.32%
Revenue Next 2Y8%
Revenue Next 3Y6.59%
Revenue Next 5Y6.57%
EBIT growth 1Y7.66%
EBIT growth 3Y2.86%
EBIT growth 5Y14.18%
EBIT Next Year7.12%
EBIT Next 3Y9.46%
EBIT Next 5Y10.57%
FCF growth 1Y-23.89%
FCF growth 3Y7.3%
FCF growth 5Y11%
OCF growth 1Y-8.29%
OCF growth 3Y13.81%
OCF growth 5Y15.91%
APPLIED MATERIALS INC / 1AMAT.MI FAQ
Can you provide the ChartMill fundamental rating for APPLIED MATERIALS INC?
ChartMill assigns a fundamental rating of 6 / 10 to 1AMAT.MI.
Can you provide the valuation status for APPLIED MATERIALS INC?
ChartMill assigns a valuation rating of 3 / 10 to APPLIED MATERIALS INC (1AMAT.MI). This can be considered as Overvalued.
Can you provide the profitability details for APPLIED MATERIALS INC?
APPLIED MATERIALS INC (1AMAT.MI) has a profitability rating of 8 / 10.
What is the valuation of APPLIED MATERIALS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for APPLIED MATERIALS INC (1AMAT.MI) is 34.21 and the Price/Book (PB) ratio is 12.57.
What is the earnings growth outlook for APPLIED MATERIALS INC?
The Earnings per Share (EPS) of APPLIED MATERIALS INC (1AMAT.MI) is expected to grow by 2.89% in the next year.