Applied Materials Inc (AMAT)vsMedtronic PLC (MDT)
AMAT
Applied Materials Inc
$369.34
-1.24%
TECHNOLOGY · Cap: $293.11B
MDT
Medtronic PLC
$87.89
+1.51%
HEALTHCARE · Cap: $110.62B
Smart Verdict
WallStSmart Research — data-driven comparison
Medtronic PLC generates 26% more annual revenue ($35.48B vs $28.21B). AMAT leads profitability with a 27.8% profit margin vs 13.0%. MDT appears more attractively valued with a PEG of 1.50. AMAT earns a higher WallStSmart Score of 64/100 (C+).
AMAT
Buy64
out of 100
Grade: C+
MDT
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+19.1%
Fair Value
$456.30
Current Price
$369.34
$86.96 discount
Margin of Safety
-255.7%
Fair Value
$24.34
Current Price
$87.89
$63.55 premium
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%
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 20.0%
Generating 2.3B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 13.5x book value
Revenue declined 2.1%
Earnings declined 11.8%
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 : MDT
The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin.
Bear Case : AMAT
The primary concerns for AMAT are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : MDT
The primary concerns for MDT are EPS Growth.
Key Dynamics to Monitor
AMAT profiles as a declining stock while MDT is a value play — different risk/reward profiles.
AMAT carries more volatility with a beta of 1.63 — expect wider price swings.
MDT is growing revenue faster at 8.7% — sustainability is the question.
MDT generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
AMAT scores higher overall (64/100 vs 56/100), 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 →Medtronic PLC
HEALTHCARE · MEDICAL DEVICES · USA
Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.
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