Applied Materials Inc (AMAT)vsAdvanced Micro Devices Inc (AMD)
AMAT
Applied Materials Inc
$435.44
+6.04%
TECHNOLOGY · Cap: $325.89B
AMD
Advanced Micro Devices Inc
$455.19
+11.44%
TECHNOLOGY · Cap: $666.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Advanced Micro Devices Inc generates 33% more annual revenue ($37.45B vs $28.21B). AMAT leads profitability with a 27.8% profit margin vs 13.4%. AMD appears more attractively valued with a PEG of 1.05. AMAT earns a higher WallStSmart Score of 64/100 (C+).
AMAT
Buy64
out of 100
Grade: C+
AMD
Buy61
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 39 in profit
Earnings expanding 75.2% YoY
Safe zone — low bankruptcy risk
Keeps 28 of every $100 in revenue as profit
Strong operational efficiency at 29.9%
Mega-cap, among the largest globally
Revenue surging 37.8% year-over-year
Earnings expanding 91.2% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Generating 2.6B in free cash flow
Areas to Watch
Expensive relative to growth rate
Trading at 15.9x book value
Premium valuation, high expectations priced in
Revenue declined 2.1%
Trading at 11.8x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : AMAT
The strongest argument for AMAT centers on Market Cap, Return on Equity, EPS Growth. Profitability is solid with margins at 27.8% and operating margin at 29.9%.
Bull Case : AMD
The strongest argument for AMD centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 37.8% demonstrates continued momentum. PEG of 1.05 suggests the stock is reasonably priced for its growth.
Bear Case : AMAT
The primary concerns for AMAT are PEG Ratio, Price/Book, P/E Ratio. A P/E of 42.2x leaves little room for execution misses.
Bear Case : AMD
The primary concerns for AMD are Price/Book, P/E Ratio. A P/E of 137.1x leaves little room for execution misses.
Key Dynamics to Monitor
AMAT profiles as a declining stock while AMD is a growth play — different risk/reward profiles.
AMD carries more volatility with a beta of 2.40 — expect wider price swings.
AMD is growing revenue faster at 37.8% — sustainability is the question.
AMD generates stronger free cash flow (2.6B), providing more financial flexibility.
Bottom Line
AMAT scores higher overall (64/100 vs 61/100), backed by strong 27.8% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Applied Materials Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
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 and 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, in Silicon Valley.
Visit Website →Advanced Micro Devices Inc
TECHNOLOGY · SEMICONDUCTORS · USA
Advanced Micro Devices, Inc. (AMD) is an American multinational semiconductor company based in Santa Clara, California, that develops computer processors and related technologies for business and consumer markets. AMD's main products include microprocessors, motherboard chipsets, embedded processors and graphics processors for servers, workstations, personal computers and embedded system applications.
Visit Website →Compare with Other SEMICONDUCTOR EQUIPMENT & MATERIALS Stocks
Want to dig deeper into these stocks?