APPLIED MATERIALS INC /DE (AMAT) Factsheet
APPLIED MATERIALS INC /DE (AMAT) Stock Analysis
Analysis from 10-K filed 2025-12-12. Data as of Q1 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 24.7%. FCF margin 22.0%. D/E 0.3x. Source: 10-K filed 2025-12-12.
| Metric | Value | Context |
|---|---|---|
| ROIC | 24.7% | Above industry average |
| FCF Margin | 22.0% | Strong cash generation |
| Debt/Equity | 0.3x | Conservative leverage |
ROIC 24.7% — Top 25% of sector peers. FCF margin 22.0% — Top 25%.
Explore APPLIED MATERIALS INC /DE: Earnings History | Filings | ROIC Analysis
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for AMAT: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: APPLIED MATERIALS INC /DE earns 24.7% ROIC, Top 25% in Technology
ROIC TTM 24.7%, sector median 5.0%, Top 25%. DuPont: NOPAT margin 23.3% × asset turnover 0.8x. Gross margin 48.7%. Operating margin 28.2%. Source: 10-K filed 2025-12-12.
| Metric | AMAT | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 24.7% | Excellent | Above sector median of 5.0% |
| Return on Equity (ROE) | 39.7% | Excellent | Efficient use of shareholder equity |
| Gross Margin | 48.7% | Good | Strong pricing power |
| Operating Margin | 28.2% | Excellent | Efficient operations |
Cash Flow: APPLIED MATERIALS INC /DE generates $6.2B FCF at 22.0% margin, positive NaN/8 quarters
FCF TTM $6.2B. FCF margin 22.0%, Top 25%. OCF/Net income 1.1x. Positive FCF in NaN/8 trailing quarters. Source: 10-K filed 2025-12-12.
| Metric | AMAT | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 22.0% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $6.2B | Good | Positive cash generation |
| OCF/Net Income | 1.1x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: APPLIED MATERIALS INC /DE at 0.3x leverage
Debt/Equity 0.3x. Net cash $2.0B. Source: 10-K filed 2025-12-12.
| Metric | AMAT | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.3x | Good | Conservative capital structure |
| Net Cash Position | $2.0B | Excellent | Net cash positive |
Valuation: APPLIED MATERIALS INC /DE trades at 32.9x earnings
P/E 32.9x. EV/Sales 9.1x. FCF yield 2.4%. Dividend yield 0.6%. Source: 10-K filed 2025-12-12.
| Metric | AMAT | Rating | Context |
|---|---|---|---|
| P/E Ratio | 32.9x | Adequate | Premium valuation |
| EV/Sales | 9.1x | Adequate | Growth premium priced in |
| FCF Yield | 2.4% | Adequate | Lower cash yield |
| Dividend Yield | 0.6% | Adequate | Growth focus over income |
Capital Allocation: APPLIED MATERIALS INC /DE returns 2.1% shareholder yield
Total shareholder yield 2.1% (div 0.6% + buyback 1.5%). Capital returned $5.4B TTM. Source: 10-K filed 2025-12-12.
| Metric | AMAT | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 2.1% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 1.5% | Adequate | Minimal buyback activity |
| Total Capital Returned (TTM) | $5.4B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 24.7% | Top 25% | 5.0x above |
| Free Cash Flow Margin | 22.0% | Top 25% | 2.6x above |
| Gross Margin | 48.7% | Bottom 50% | 0.9x below |
| Operating Margin | 28.2% | Top 25% | 5.8x above |
| Return on Equity (ROE) | 39.7% | Top 25% | 8.1x above |
| P/E Ratio | 32.9x | N/A | - |
Financial Scorecard
| Metric | AMAT | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 24.7% | Excellent | Top 25% of sector (median: 5.0%) |
| Free Cash Flow Margin | 22.0% | Excellent | Top 25% of sector (median: 8.6%) |
| Gross Margin | 48.7% | Good | Bottom 50% of sector (median: 51.6%) |
| Debt to Equity Ratio | 30.2% | Good | Moderate leverage |
| P/E Ratio (Price-to-Earnings) | 32.9x | Adequate | Growth premium |
| Free Cash Flow Yield | 2.4% | Warning | Growth-focused valuation |
Frequently Asked Questions
Q: What is APPLIED MATERIALS INC /DE's Return on Invested Capital (ROIC)?
APPLIED MATERIALS INC /DE (AMAT) has a trailing twelve-month Return on Invested Capital (ROIC) of 24.7%. Sector median 5.0%. Source: 10-K filed 2025-12-12.
Q: What is APPLIED MATERIALS INC /DE's Free Cash Flow Margin?
APPLIED MATERIALS INC /DE (AMAT) has a free cash flow margin of 22.0%, generating $6.2 billion in free cash flow over the trailing twelve months. Source: 10-K filed 2025-12-12.
Q: What is APPLIED MATERIALS INC /DE's P/E ratio and how does it compare to peers?
APPLIED MATERIALS INC /DE (AMAT) trades at a P/E ratio of 32.9x, which is above the sector median of N/A. EV/Sales 9.1x. FCF yield 2.4%. Source: 10-K filed 2025-12-12.
Q: Does APPLIED MATERIALS INC /DE pay a dividend?
APPLIED MATERIALS INC /DE (AMAT) currently pays a dividend yield of 0.6%. Total shareholder yield (dividend + buybacks) 2.1%. Source: 10-K filed 2025-12-12.
Q: What is APPLIED MATERIALS INC /DE's revenue and earnings growth?
APPLIED MATERIALS INC /DE (AMAT) grew revenue by 2.1% year-over-year. EPS +27.6% YoY. Source: 10-K filed 2025-12-12.
Q: Is APPLIED MATERIALS INC /DE buying back stock?
APPLIED MATERIALS INC /DE (AMAT) repurchased $3.9 billion of stock over the trailing twelve months. This represents a buyback yield of 1.5%. Source: 10-K filed 2025-12-12.
Q: How does APPLIED MATERIALS INC /DE compare to competitors in Technology?
Compared to other companies in Technology, APPLIED MATERIALS INC /DE (AMAT) shows: ROIC 24.7%, sector median 5.0% (Top 25%). FCF margin 22.0%, sector median 8.6% (Top 25%). Gross margin 48.7%, 2.9pp below sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with APPLIED MATERIALS INC /DE?
Quantitative warning flags for APPLIED MATERIALS INC /DE (AMAT): 1) ROIC declining -6.0% over 8 quarters. Source: 10-K filed 2025-12-12.
Data Source: Data sourced from 10-K filed 2025-12-12. TTM metrics as of Q1 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.