Applied Materials
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Applied Materials, Inc. is an American corporation that supplies equipment, services and software for the manufacture of semiconductor (integrated circuit) chips for electronics, flat panel displays for computers, smartphones, televisions, and solar products.
From Wikipedia, CC BY-SA 4.0, revision of 23 Sep 2026.
What stands out
- Sales have grown about 10.5% a year for five years, so each $1 of sales in FY2020 is about $1.65 now.Revenue growth over 5–10 years: +10.5% a year
- Applied Materials kept about 29 cents of operating profit from each $1 of sales in FY2025.Operating margin (operating income ÷ revenue): 29.2%
- For every $1 of reported profit over 5 years, about $0.90 turned up as spare cash.Free cash flow (operating cash flow − capex), and FCF ÷ net income: $5.7B
Worth digging into
- More than 30% below its 52-week high−47.3% from the 52-week high
From filed figures and the weekly screener snapshot, 30 Oct 2026. Observations to check in the tabs below, not advice.
What has the price done?
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Press and drag across the chart to see the change between two points. Source: Yahoo Finance, delayed. Bars are daily and prices are adjusted for splits, not dividends. Past returns don't predict future returns.
Dividends
Full chart
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How does it make money?
What it does is in the oven
We haven't typed up Applied Materials's business and region split yet. Every figure comes from the company's own results, so this takes a little time.
See companies we've covered ›History and context
Applied Materials, Inc. is an American corporation that supplies equipment, services and software for the manufacture of semiconductor (integrated circuit) chips for electronics, flat panel displays for computers, smartphones, televisions, and solar products. The company also supplies equipment to produce coatings for flexible electronics, packaging and other applications. The company is headquartered in Santa Clara, California, and is the second largest supplier of semiconductor equipment in the world based on revenue behind Dutch company ASML.
From Wikipedia's article Applied Materials, the lead section as of the revision of 23 Sep 2026, retrieved 1 Nov 2026. Text under CC BY-SA 4.0, pronunciation guides removed. Wikipedia can be edited by anyone; the company's own filings are the primary source.
What it actually sells Soon
A product-by-product guide to Applied Materials: what each one is, who buys it, and how much it brings in, in plain English and in the company's own terms. We're starting with the companies that are hardest to picture, like Broadcom.
Moat not rated yet
We haven't rated Applied Materials's moat. A rating needs at least five years of returns against the cost of capital, plus evidence for each of the five lenses.
How we rate moats ›Is it a good business at a fair price?
What each method implies
Ranges, not targetsThe five questions, and the price
Six checks from the annual reports. A flag marks a reason to dig deeper, not a verdict.
- 1. Is it growing?Within the guide
+10.5% a year
Revenue growth over 5–10 years
Revenue $17.2B in FY2020 to $28.4B in FY2025; +11.4% a year over 10 years. It fell in 0 of the last 5 years.
Sales have grown about 10.5% a year for five years, so each $1 of sales in FY2020 is about $1.65 now.
What to look for Steady growth, not one lucky year.
Source: FY2020 10-K, filed 11 Dec 2020; FY2025 10-K, filed 12 Dec 2025.
- 2. Is it profitable?Within the guide
29.2%
Operating margin (operating income ÷ revenue)
FY2025 operating margin. 5-year average 29.4%, range 28.9% to 30.2%.
Applied Materials kept about 29 cents of operating profit from each $1 of sales in FY2025.
What to look for Stable or rising. It's cleaner than net income, which one-off items and tax can distort.
Source: FY2025 10-K, filed 12 Dec 2025.
- 3. Is the profit real cash?Within the guide
$5.7B
Free cash flow (operating cash flow − capex), and FCF ÷ net income
FY2025 free cash flow: operating cash flow $8.0B less capex $2.3B. Over 5 years FCF was 90% of net income.
For every $1 of reported profit over 5 years, about $0.90 turned up as spare cash.
What to look for FCF positive and growing, and close to net income over time.
Source: FY2025 10-K, filed 12 Dec 2025.
- 4. Is it a good business?Within the guide
37.9% ROIC
Return on invested capital (ROIC); ROE for banks
FY2025 ROIC. 5-year average 48.4%; above 10% in 5 of 5 years. ROIC here is our calculation from the 10-K figures: operating income after tax (at the year's effective rate, or 21% where that rate is meaningless) over shareholders' equity plus borrowings less cash and short-term investments at the start of the year. Leases are left out.
Each $1 tied up in the business has earned about 48 cents a year after tax.
What to look for Clearly above the cost of capital (roughly 8–10%). Sustained 15%+ usually means a moat.
Source: FY2025 10-K, filed 12 Dec 2025.
- 5. Can it survive a bad year?Within the guide
Net cash $2.0B
Net debt ÷ EBITDA or ÷ FCF, plus interest cover
FY2025 year end: borrowings $6.6B, cash and short-term investments $8.6B. Operating income covers interest 30.8x.
Applied Materials holds more cash than it owes, so it could pay off its borrowings today.
What to look for Debt payable from about 3 years of FCF or less, interest covered many times.
Source: FY2025 10-K, filed 12 Dec 2025.
- 6. Is the price right?
1.8% FCF yield
FCF yield or EV/EBIT, and price against a cash-flow value
Market cap $309.6B. FCF yield 1.8% on FY2025 free cash flow. EV/EBIT 37.1x on FY2025 operating income.
At this price, each $100 of shares comes with about $1.84 of last year's spare cash.
What to look for Pay less than a cash-flow value estimate, with a margin of safety.
Source: Price $390.09, Yahoo Finance weekly snapshot, 30 Oct 2026; 794M shares, 10-Q 26 Jul 2026; FY2025 10-K, filed 12 Dec 2025.
US figures: each company's Form 10-K as tagged on SEC EDGAR, collected 19 Oct 2026. Free cash flow is operating cash flow less purchases of property and equipment. Borrowings exclude leases. For education only. Not financial advice.
Ten years of financials
FY2016 to FY2025, in US dollars.
Source: Applied Materials, Form 10-K for each year as first filed, via SEC EDGAR XBRL. Latest: FY2025 10-K, filed 12 Dec 2025. Later restatements aren't applied.
How peers compare
Information technology names we coverA sector is a loose fit — these are simply the information technology names whose filings we've loaded, not a hand-picked set.
| Company | Revenue growth, 5y | Operating margin | P/E | EV/EBITDA |
|---|---|---|---|---|
| AMAT | +10.5% a year | 29.2% | 45.0x | 35.9x |
| NVDA | +66.9% a year | 60.4% | 41.8x | 37.0x |
| AAPL | +8.7% a year | 32.0% | 46.2x | 36.0x |
| MSFT | +14.6% a year | 46.8% | 29.1x | — |
| AVGO | +21.7% a year | 39.9% | 68.4x | — |
| PLTR | +32.6% a year | 31.6% | 292.2x | 323.1x |
- Peers' middle-half P/E
- 41.8x–68.4x (median 46.2x, 5 peers)
- Peers' middle-half EV/EBITDA
- 36.5x–180.0x (median 37.0x, 3 peers)
At the peers' middle-half P/E, Applied Materials's earnings per share from the FY2025 10-K would put the share between $362 and $592. At the peers' middle-half EV/EBITDA, Applied Materials's EBITDA and net debt from the FY2025 10-K would put the share between $397 and $1,946. Those are the peer bars in the valuation chart above — one way to read the price, not a target.
Prices: weekly screener snapshot, 30 Oct 2026. Profits: each company's latest annual filing via SEC EDGAR, as filed. Peers are same-sector names we cover, which is a looser fit. A multiple compares one year's profit with today's price; it says nothing about what either does next.
Not in Stock valuation yet
Stock valuation doesn't have Applied Materials's figures yet. You can still type them in: pick "Value your own company" and fill in the inputs from the latest results.
Value your own company ›Who owns it, and what's the mood?
Tracked investors and insiders
Trades in Applied Materials by the people we follow: Warren Buffett and Michael Burry (13F), Grab's officers (Form 4) and Nancy Pelosi (House reports). They show what happened, often weeks later, not what to copy.
| Who | Did | Size | When | Disclosed |
|---|---|---|---|---|
| Chase ColemanTiger Global Management | TrimmedShares | −24,690 sharesabout $17,850,870 at quarter-end value | Q2 2026 | 14 Aug 202645 days after Q2 2026 ended |
Sources: SEC EDGAR 13F-HR and Form 4 filings, and the US House Clerk's Periodic Transaction Reports, checked 30 Oct 2026. 13F values are the quarter-end value, not the price paid. All tracked trades ›
- Largest shareholdersSoonThe biggest holders from 13F filings and the annual proxy statement.—
- Chief executive and board holdingsSoonShares held by the CEO and directors, from the proxy statement and Form 4s.—
- Short interestSoonHow many shares are sold short, from exchange short-interest reports.—
Crowd favourite or value trap?
Neither is a label we can put on a stock. These are signs worth looking into, each from a figure on this page.
Signs of a crowd-driven price
Meme stocks move on attention more than on results: big swings, a price far from cash-flow value, thin profits.
0 of 3 signs (1 without data)
- NoSwings at least twice as much as the marketBeta 1.65, 5 years of monthly returns
- NoUp more than 100%, or down more than 50%, in a year1-year price change +68.27%
- —Price more than 50% above the valuation sheet's middle valueNot in Stock valuation yet
- NoThin profits: operating margin under 5%, or a lossFY2025 operating margin 29.2%
Signs of a value trap
A value trap looks cheap because the business is shrinking or earning less than its capital costs.
1 of 4 signs
- NoLooks cheap: P/E under 12 or FCF yield over 8%P/E 45.0x, FCF yield 1.8%
- NoRevenue lower than five years agoRevenue +10.5% a year over 5 years
- NoReturns below the cost of capital5-year average ROIC 48.4% against 10.0%
- YesMore than 30% below its 52-week high−47.3% from the 52-week high
Prices, beta and 1-year change: Yahoo Finance weekly snapshot, 30 Oct 2026. Business figures: the five questions under Valuation and financials. A sign is a reason to dig deeper, not a verdict. For education only. Not financial advice.
Read it through a lens
Price data: Yahoo Finance, delayed. Company figures: each company's own filings, dated where they appear. A ticker on this site is not a recommendation. For education only. Not financial advice.