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Applied Materials Inc
NASDAQ:AMAT

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Applied Materials Inc
NASDAQ:AMAT
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Price: 381.11 USD -5.87% Market Closed
Market Cap: $302.5B

P/S

10.7
Current
104%
More Expensive
vs 3-y average of 5.2

Price to Sales (P/S) ratio shows how much investors pay for each dollar of a company`s sales. It`s calculated by dividing the company`s market value by its total revenue.

P/S
10.7
=
Market Cap
$279.8B
/
Revenue
$28.2B

Price to Sales (P/S) ratio shows how much investors pay for each dollar of a company`s sales. It`s calculated by dividing the company`s market value by its total revenue.

P/S
10.7
=
Market Cap
$279.8B
/
Revenue
$28.2B

Valuation Scenarios

Applied Materials Inc is trading above its 3-year average

If P/S returns to its 3-Year Average (5.2), the stock would be worth $186.64 (51% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-77%
Maximum Upside
No Upside Scenarios
Average Downside
52%
Scenario P/S Value Implied Price Upside/Downside
Current Multiple 10.7 $381.11
0%
3-Year Average 5.2 $186.64
-51%
5-Year Average 5.2 $184.78
-52%
Industry Average 7.8 $278.38
-27%
Country Average 2.4 $86.59
-77%

Forward P/S
Today’s price vs future revenue

Today's Market Cap Revenue Forward P/S
$279.8B
/
Jan 2026
$28.2B
=
10.7
Current
$279.8B
/
Oct 2026
$32B
=
8.8
Forward
$279.8B
/
Oct 2027
$38.4B
=
7.3
Forward
$279.8B
/
Oct 2028
$41.6B
=
6.7
Forward
$279.8B
/
Oct 2029
$46.3B
=
6
Forward
$279.8B
/
Oct 2030
$50B
=
5.6
Forward

Forward P/S shows whether today’s P/S still looks high or low once future revenue are taken into account.

Peer Comparison

All Multiples
P/S
P/E
All Countries
Close
Market Cap P/S P/E
US
Applied Materials Inc
NASDAQ:AMAT
302.5B USD 10.7 38.6
NL
ASML Holding NV
AEX:ASML
451.6B EUR 13.8 44.2
US
Lam Research Corp
NASDAQ:LRCX
314.2B USD 14.5 46.8
US
KLA Corp
NASDAQ:KLAC
237.2B USD 18.6 52
US
Brooks Automation Inc
LSE:0HQ1
224.7B USD 377.8 -3 884.7
JP
Advantest Corp
TSE:6857
21.6T JPY 20.9 74.9
JP
Tokyo Electron Ltd
TSE:8035
20.7T JPY 8.7 41.1
US
Teradyne Inc
NASDAQ:TER
59.3B USD 18.6 107
CN
NAURA Technology Group Co Ltd
SZSE:002371
374.1B CNY 9.5 67.7
JP
Disco Corp
TSE:6146
8.3T JPY 19 61.2
NL
ASM International NV
AEX:ASM
39.7B EUR 12.4 40
P/E Multiple
Earnings Growth PEG
US
Applied Materials Inc
NASDAQ:AMAT
Average P/E: 57.4
38.6
20%
1.9
NL
ASML Holding NV
AEX:ASML
44.2
20%
2.2
US
Lam Research Corp
NASDAQ:LRCX
46.8
24%
2
US
KLA Corp
NASDAQ:KLAC
52
22%
2.4
US
B
Brooks Automation Inc
LSE:0HQ1
Negative Multiple: -3 884.7 N/A N/A
JP
Advantest Corp
TSE:6857
74.9
50%
1.5
JP
Tokyo Electron Ltd
TSE:8035
41.1
13%
3.2
US
Teradyne Inc
NASDAQ:TER
107
44%
2.4
CN
NAURA Technology Group Co Ltd
SZSE:002371
67.7
N/A N/A
JP
Disco Corp
TSE:6146
61.2
N/A N/A
NL
ASM International NV
AEX:ASM
40
23%
1.7

Market Distribution

Higher than 90% of companies in the United States of America
Percentile
90th
Based on 11 520 companies
90th percentile
10.7
Low
0 — 1.2
Typical Range
1.2 — 4.1
High
4.1 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 1.2
Median 2.4
70th Percentile 4.1
Max 4 613 274.2

Applied Materials Inc
Glance View

In the dynamic world of semiconductor manufacturing, Applied Materials Inc. stands as a pivotal player, knitting together the intricate tapestry of technology that powers our digital age. Born in the heart of Silicon Valley in 1967, Applied Materials has evolved into a cornerstone of the chip-making industry, delivering essential equipment and services that enable the production of virtually every kind of advanced semiconductor. The company specializes in making complex systems for processes such as chemical vapor deposition, etching, and wafer inspection – all critical steps in the creation of integrated circuits that serve as the brains of myriad electronic devices. With state-of-the-art technology, Applied Materials helps manufacturers achieve ever-higher levels of chip efficiency and performance, driving the progression from traditional semiconductors to advanced, next-generation chips. Monetizing this technological prowess, Applied Materials generates revenue by selling its sophisticated equipment and offering maintenance and optimization services that ensure these high-tech machines continue to function at peak performance. Furthermore, the company has strategically positioned itself to capitalize on the relentless pace of innovation in electronics, regularly introducing upgraded tools and technologies that cater to the constant demand for smaller, faster, and more energy-efficient semiconductors. By maintaining close relationships with industry giants like Intel and Samsung, Applied Materials not only anticipates technological trends but also ensures its offerings are precisely aligned with the evolving needs of its clients. This symbiotic relationship between product innovation and customer alignment is what propels Applied Materials’ sustained financial success in the hyper-competitive semiconductor ecosystem.

AMAT Intrinsic Value
189.28 USD
Overvaluation 50%
Intrinsic Value
Price $381.11
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