Applied Materials Valuation
| AMAT Stock | USD 336.09 3.38 1.02% |
At this time, the firm appears to be fairly valued. Applied Materials shows a prevailing Real Value of $337.27 per share. The current price of the firm is $336.09. Our model approximates the value of Applied Materials from analyzing the firm fundamentals such as Profit Margin of 0.25 %, return on equity of 0.36, and Current Valuation of 251.79 B as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Applied Materials' valuation include:
Price Book 12.4082 | Enterprise Value | Enterprise Value Ebitda 25.2422 | Price Sales 9.3433 | Forward PE 33.1126 |
Fairly Valued
Today
Please note that Applied Materials' price fluctuation is very steady at this time. Calculation of the real value of Applied Materials is based on 3 months time horizon. Increasing Applied Materials' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Applied Materials' intrinsic value may or may not be the same as its current market price of 336.09, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 336.09 | Real 337.27 | Target 314.73 | Hype 334.07 | Naive 327.51 |
The intrinsic value of Applied Materials' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Applied Materials' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Applied Materials helps investors to forecast how Applied stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Applied Materials more accurately as focusing exclusively on Applied Materials' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Applied Materials' intrinsic value based on its ongoing forecasts of Applied Materials' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Applied Materials' closest peers.
Applied Materials Cash |
|
Applied Revenue by Product
Applied Materials Total Value Analysis
Applied Materials is presently forecasted to have valuation of 251.79 B with market capitalization of 265.05 B, debt of 7.05 B, and cash on hands of 2.58 B. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Applied Materials fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
251.79 B | 265.05 B | 7.05 B | 2.58 B |
Applied Materials Investor Information
About 85.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.7. Applied Materials recorded earning per share (EPS) of 8.65. The entity last dividend was issued on the 19th of February 2026. The firm had 2:1 split on the 17th of April 2002. Based on the key indicators related to Applied Materials' liquidity, profitability, solvency, and operating efficiency, Applied Materials is performing exceptionally good at this time. It has a great probability to report excellent financial results in February.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Operating Profit Margin | 0.31 | 0.2987 |
|
| |||||
| Total Cash From Operating Activities | 9.6 B | 9.2 B |
|
| |||||
| Operating Income | 10 B | 9.5 B |
|
|
Applied Materials Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Applied Materials has an asset utilization ratio of 78.15 percent. This implies that the Company is making $0.78 for each dollar of assets. An increasing asset utilization means that Applied Materials is more efficient with each dollar of assets it utilizes for everyday operations.Applied Materials Profitability Analysis
Based on Applied Materials' profitability indicators, Applied Materials is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in February. Profitability indicators assess Applied Materials' ability to earn profits and add value for shareholders.Net Income | First Reported 1985-10-31 | Previous Quarter 1.8 B | Current Value 1.9 B | Quarterly Volatility 555.9 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.5 | 0.4732 |
|
| |||||
| Net Profit Margin | 0.27 | 0.2553 |
|
| |||||
| Operating Profit Margin | 0.31 | 0.2987 |
|
| |||||
| Pretax Profit Margin | 0.31 | 0.2936 |
|
| |||||
| Return On Assets | 0.24 | 0.228 |
|
| |||||
| Return On Equity | 0.5 | 0.4808 |
|
|
For Applied Materials profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Applied Materials to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Applied Materials utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Applied Materials's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Applied Materials over time as well as its relative position and ranking within its peers.
Applied Materials Earnings per Share Projection vs Actual
The next projected EPS of Applied Materials is estimated to be 2.21 with future projections ranging from a low of 2.1794 to a high of 2.29. Applied Materials' most recent 12-month trailing earnings per share (EPS TTM) is at 8.65. Please be aware that the consensus of earnings estimates for Applied Materials is based on EPS before non-recurring items and includes expenses related to employee stock options.Applied Materials Earnings Estimation Breakdown
The calculation of Applied Materials' earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Applied Materials is estimated to be 2.21 with the future projection ranging from a low of 2.1794 to a high of 2.29. Please be aware that this consensus of annual earnings estimates for Applied Materials is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
2.18 Lowest | Expected EPS | 2.29 Highest |
Applied Materials Earnings Projection Consensus
Suppose the current estimates of Applied Materials' value are higher than the current market price of the Applied Materials stock. In this case, investors may conclude that Applied Materials is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Applied Materials' stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of January 2026 | Current EPS (TTM) | |
| 38 | 93.9% | 2.17 | 2.21 | 8.65 |
Applied Materials Ownership Allocation
Applied Materials holds a total of 792.94 Million outstanding shares. The majority of Applied Materials outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Applied Materials to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Applied Materials. Please pay attention to any change in the institutional holdings of Applied Materials as this could imply that something significant has changed or is about to change at the company. On January 16, 2026, Senator Markwayne Mullin of US Senate acquired $15k to $50k worth of Applied Materials's common stock.Applied Materials Profitability Analysis
The company reported the previous year's revenue of 28.37 B. Net Income was 7 B with profit before overhead, payroll, taxes, and interest of 13.81 B.Applied Materials Past Distributions to stockholders
About Applied Materials Valuation
The stock valuation mechanism determines Applied Materials' current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Applied Materials based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Applied Materials. We calculate exposure to Applied Materials's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Applied Materials's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 15.9 B | 16.7 B | |
| Pretax Profit Margin | 0.29 | 0.31 | |
| Operating Profit Margin | 0.30 | 0.31 | |
| Net Profit Margin | 0.26 | 0.27 | |
| Gross Profit Margin | 0.47 | 0.50 |
Applied Materials Quarterly Retained Earnings |
|
A single share of Applied Materials represents a small ownership stake in the entity. As a stockholder of Applied, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Applied Materials Dividends Analysis For Valuation
Dividends Paid is likely to gain to about 1.7 B in 2026, whereas Dividend Yield is likely to drop 0.01 in 2026. . At this time, Applied Materials' Retained Earnings are comparatively stable compared to the past year. Retained Earnings Total Equity is likely to gain to about 45.8 B in 2026, whereas Price Earnings To Growth Ratio is likely to drop 0.32 in 2026.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 1.6 B | 1.7 B | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.14 | 0.14 | |
| Dividend Paid And Capex Coverage Ratio | 3.61 | 2.14 |
There are various types of dividends Applied Materials can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Applied shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Applied Materials directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Applied pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Applied Materials by the value of the dividends paid out.
Applied Materials Growth Indicators
Investing in growth stocks can be very risky. If the company such as Applied Materials does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 808 M | |
| Quarterly Earnings Growth Y O Y | 0.133 | |
| Forward Price Earnings | 33.1126 |
Applied Materials Current Valuation Indicators
Applied Materials' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Applied Materials' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Applied Materials, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Applied Materials' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Applied Materials' worth.Additional Tools for Applied Stock Analysis
When running Applied Materials' price analysis, check to measure Applied Materials' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Applied Materials is operating at the current time. Most of Applied Materials' value examination focuses on studying past and present price action to predict the probability of Applied Materials' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Applied Materials' price. Additionally, you may evaluate how the addition of Applied Materials to your portfolios can decrease your overall portfolio volatility.