WallStSmart

Applied Materials Inc (AMAT)vsVerizon Communications Inc (VZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Verizon Communications Inc generates 393% more annual revenue ($139.15B vs $28.21B). AMAT leads profitability with a 27.8% profit margin vs 12.5%. VZ appears more attractively valued with a PEG of 0.89. VZ earns a higher WallStSmart Score of 68/100 (B-).

AMAT

Buy

64

out of 100

Grade: C+

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

VZ

Strong Buy

68

out of 100

Grade: B-

Growth: 4.0Profit: 7.5Value: 7.3Quality: 3.8
Piotroski: 2/9Altman Z: 1.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for AMAT.

VZFair Value (-4.4%)

Margin of Safety

-4.4%

Fair Value

$45.11

Current Price

$47.22

$2.11 premium

UndervaluedFair: $45.11Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AMAT6 strengths · Avg: 9.5/10
Market CapQuality
$325.89B10/10

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%

VZ6 strengths · Avg: 8.5/10
P/E RatioValuation
11.5x10/10

Attractively priced relative to earnings

Market CapQuality
$196.65B9/10

Large-cap with strong market position

PEG RatioValuation
0.898/10

Growing faster than its price suggests

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.2%8/10

Strong operational efficiency at 25.2%

Free Cash FlowQuality
$3.78B8/10

Generating 3.8B in free cash flow

Areas to Watch

AMAT4 concerns · Avg: 3.0/10
PEG RatioValuation
1.964/10

Expensive relative to growth rate

Price/BookValuation
15.9x4/10

Trading at 15.9x book value

P/E RatioValuation
42.2x2/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
-2.1%2/10

Revenue declined 2.1%

VZ4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

EPS GrowthGrowth
4.3%4/10

4.3% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.112/10

Distress zone — elevated risk

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 : VZ

The strongest argument for VZ centers on P/E Ratio, Market Cap, PEG Ratio. PEG of 0.89 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 : VZ

The primary concerns for VZ are Revenue Growth, EPS Growth, Piotroski F-Score.

Key Dynamics to Monitor

AMAT profiles as a declining stock while VZ is a value play — different risk/reward profiles.

AMAT carries more volatility with a beta of 1.65 — expect wider price swings.

VZ is growing revenue faster at 2.9% — sustainability is the question.

VZ generates stronger free cash flow (3.8B), providing more financial flexibility.

Bottom Line

VZ scores higher overall (68/100 vs 64/100). Both earn "Strong 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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Verizon Communications Inc

COMMUNICATION SERVICES · TELECOM SERVICES · USA

Verizon Communications Inc. is an American multinational telecommunications conglomerate and a corporate component of the Dow Jones Industrial Average. The company is headquartered at 1095 Avenue of the Americas in Midtown Manhattan, New York City, but is incorporated in Delaware.

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