WallStSmart

Applied Materials Inc (AMAT)vsQuanta Services Inc (PWR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Quanta Services Inc generates 7% more annual revenue ($30.12B vs $28.21B). AMAT leads profitability with a 27.8% profit margin vs 3.7%. AMAT appears more attractively valued with a PEG of 1.82. AMAT earns a higher WallStSmart Score of 64/100 (C+).

AMAT

Buy

64

out of 100

Grade: C+

Growth: 5.3Profit: 9.5Value: 4.3Quality: 8.0
Piotroski: 4/9Altman Z: 4.98

PWR

Buy

54

out of 100

Grade: C-

Growth: 8.7Profit: 5.0Value: 3.7Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AMAT6 strengths · Avg: 9.5/10
Market CapQuality
$313.07B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
38.9%10/10

Every $100 of equity generates 39 in profit

EPS GrowthGrowth
75.2%10/10

Earnings expanding 75.2% YoY

Altman Z-ScoreHealth
4.9810/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
27.8%9/10

Keeps 28 of every $100 in revenue as profit

Operating MarginProfitability
29.9%8/10

Strong operational efficiency at 29.9%

PWR3 strengths · Avg: 9.0/10
EPS GrowthGrowth
51.0%10/10

Earnings expanding 51.0% YoY

Market CapQuality
$113.65B9/10

Large-cap with strong market position

Revenue GrowthGrowth
26.3%8/10

Revenue surging 26.3% year-over-year

Areas to Watch

AMAT4 concerns · Avg: 3.0/10
PEG RatioValuation
1.824/10

Expensive relative to growth rate

Price/BookValuation
15.7x4/10

Trading at 15.7x book value

P/E RatioValuation
40.4x2/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
-2.1%2/10

Revenue declined 2.1%

PWR4 concerns · Avg: 3.5/10
PEG RatioValuation
2.434/10

Expensive relative to growth rate

Price/BookValuation
13.1x4/10

Trading at 13.1x book value

Profit MarginProfitability
3.7%3/10

3.7% margin — thin

Operating MarginProfitability
4.2%3/10

Operating margin of 4.2%

Comparative Analysis Report

WallStSmart Research

Bull 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 : PWR

The strongest argument for PWR centers on EPS Growth, Market Cap, Revenue Growth. Revenue growth of 26.3% demonstrates continued momentum.

Bear Case : AMAT

The primary concerns for AMAT are PEG Ratio, Price/Book, P/E Ratio. A P/E of 40.4x leaves little room for execution misses.

Bear Case : PWR

The primary concerns for PWR are PEG Ratio, Price/Book, Profit Margin. A P/E of 102.1x leaves little room for execution misses. Thin 3.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

AMAT profiles as a declining stock while PWR is a growth play — different risk/reward profiles.

AMAT carries more volatility with a beta of 1.64 — expect wider price swings.

PWR is growing revenue faster at 26.3% — sustainability is the question.

AMAT generates stronger free cash flow (1.0B), providing more financial flexibility.

Bottom Line

AMAT scores higher overall (64/100 vs 54/100), 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.

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Quanta Services Inc

INDUSTRIALS · ENGINEERING & CONSTRUCTION · USA

Quanta Services is an American corporation that provides infrastructure services for electric power, pipeline, industrial and communications industries. Capabilities include the planning, design, installation, program management, maintenance and repair of most types of network infrastructure.

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