APPLIED MATERIALS INC (1AMAT.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1AMAT - US0382221051 - Common Stock
274.7 EUR
-5.65 (-2.02%)
Overall 1AMAT gets a fundamental rating of 6 out of 10. We evaluated 1AMAT against 68 industry peers in the Semiconductors & Semiconductor Equipment industry. 1AMAT has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 1AMAT is quite expensive at the moment. It does show a decent growth rate. With these ratings, 1AMAT could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
- In the past year 1AMAT was profitable.
- 1AMAT had a positive operating cash flow in the past year.
- In the past 5 years 1AMAT has always been profitable.
- In the past 5 years 1AMAT always reported a positive cash flow from operatings.
1.2 Ratios
- 1AMAT's Return On Assets of 19.28% is amongst the best of the industry. 1AMAT outperforms 86.76% of its industry peers.
- 1AMAT has a better Return On Equity (34.28%) than 82.35% of its industry peers.
- With an excellent Return On Invested Capital value of 24.38%, 1AMAT belongs to the best of the industry, outperforming 86.76% of the companies in the same industry.
- 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
- With a decent Profit Margin value of 24.67%, 1AMAT is doing good in the industry, outperforming 72.06% of the companies in the same industry.
- In the last couple of years the Profit Margin of 1AMAT has grown nicely.
- With a decent Operating Margin value of 29.86%, 1AMAT is doing good in the industry, outperforming 76.47% of the companies in the same industry.
- 1AMAT's Operating Margin has improved in the last couple of years.
- The Gross Margin of 1AMAT (48.67%) 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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1AMAT is creating value.
- 1AMAT has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, 1AMAT has less shares outstanding
- The debt/assets ratio for 1AMAT has been reduced compared to a year ago.
2.2 Solvency
- 1AMAT has an Altman-Z score of 13.81. This indicates that 1AMAT is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of 1AMAT (13.81) is better than 83.82% of its industry peers.
- 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.
- Looking at the Debt to FCF ratio, with a value of 1.15, 1AMAT is in the better half of the industry, outperforming 72.06% of the companies in the same industry.
- A Debt/Equity ratio of 0.32 indicates that 1AMAT is not too dependend on debt financing.
- The Debt to Equity ratio of 1AMAT (0.32) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.15 | ||
| Altman-Z | 13.81 |
ROIC/WACC2.26
WACC10.81%
2.3 Liquidity
- A Current Ratio of 2.61 indicates that 1AMAT has no problem at all paying its short term obligations.
- 1AMAT's Current ratio of 2.61 is fine compared to the rest of the industry. 1AMAT outperforms 67.65% of its industry peers.
- 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.
- 1AMAT has a Quick ratio of 1.90. This is in the better half of the industry: 1AMAT outperforms 70.59% of its industry peers.
| 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.
- The Earnings Per Share has been growing by 17.65% on average over the past years. This is quite good.
- 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
- 1AMAT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.04% yearly.
- 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
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 34.25 indicates a quite expensive valuation of 1AMAT.
- Based on the Price/Earnings ratio, 1AMAT is valued a bit cheaper than 66.18% 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 27.32.
- 1AMAT is valuated quite expensively with a Price/Forward Earnings ratio of 33.27.
- The rest of the industry has a similar Price/Forward Earnings ratio as 1AMAT.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.30, 1AMAT is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.25 | ||
| Fwd PE | 33.27 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1AMAT is on the same level as its industry peers.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1AMAT indicates a somewhat cheap valuation: 1AMAT is cheaper than 73.53% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.08 | ||
| EV/EBITDA | 28.46 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1AMAT does not grow enough to justify the current Price/Earnings ratio.
- The excellent profitability rating of 1AMAT may justify a higher PE ratio.
PEG (NY)11.83
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.
- 1AMAT's Dividend Yield is a higher than the industry average which is at 0.72.
- With a Dividend Yield of 0.58, 1AMAT pays less dividend than the S&P500 average, which is at 1.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
5.2 History
- On average, the dividend of 1AMAT grows each year by 14.79%, which is quite nice.
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 | 34.25 | ||
| Fwd PE | 33.27 | ||
| P/S | 9.06 | ||
| P/FCF | 45.08 | ||
| P/OCF | 32.28 | ||
| P/B | 12.58 | ||
| P/tB | 15.59 | ||
| EV/EBITDA | 28.46 |
EPS(TTM)8.02
EY2.92%
EPS(NY)8.26
Fwd EY3.01%
FCF(TTM)6.09
FCFY2.22%
OCF(TTM)8.51
OCFY3.1%
SpS30.33
BVpS21.83
TBVpS17.62
PEG (NY)11.83
PEG (5Y)1.94
Graham Number62.76
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 | 13.81 |
F-Score6
WACC10.81%
ROIC/WACC2.26
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 34.25 and the Price/Book (PB) ratio is 12.58.
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.