Applied Materials Inc (AMAT)vsWestern Digital Corporation (WDC)
AMAT
Applied Materials Inc
$453.01
+4.08%
TECHNOLOGY · Cap: $465.09B
WDC
Western Digital Corporation
$575.50
+4.79%
TECHNOLOGY · Cap: $225.26B
Smart Verdict
WallStSmart Research — data-driven comparison
Applied Materials Inc generates 146% more annual revenue ($29.02B vs $11.78B). WDC leads profitability with a 55.3% profit margin vs 29.3%. WDC appears more attractively valued with a PEG of 0.58. WDC earns a higher WallStSmart Score of 80/100 (A-).
AMAT
Strong Buy72
out of 100
Grade: B
WDC
Exceptional Buy80
out of 100
Grade: A-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Strong operational efficiency at 31.9%
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Mega-cap, among the largest globally
Every $100 of equity generates 67 in profit
Keeps 55 of every $100 in revenue as profit
Strong operational efficiency at 37.0%
Revenue surging 45.5% year-over-year
Earnings expanding 482.9% YoY
Areas to Watch
Expensive relative to growth rate
Trading at 15.0x book value
Premium valuation, high expectations priced in
Premium valuation, high expectations priced in
Distress zone — elevated risk
Trading at 27.5x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : AMAT
The strongest argument for AMAT centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 29.3% and operating margin at 31.9%. Revenue growth of 11.4% demonstrates continued momentum.
Bull Case : WDC
The strongest argument for WDC centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 55.3% and operating margin at 37.0%. Revenue growth of 45.5% demonstrates continued momentum.
Bear Case : AMAT
The primary concerns for AMAT are PEG Ratio, Price/Book, P/E Ratio. A P/E of 55.3x leaves little room for execution misses.
Bear Case : WDC
The primary concerns for WDC are P/E Ratio, Altman Z-Score, Price/Book.
Key Dynamics to Monitor
AMAT profiles as a mature stock while WDC is a growth play — different risk/reward profiles.
WDC carries more volatility with a beta of 2.20 — expect wider price swings.
WDC is growing revenue faster at 45.5% — sustainability is the question.
WDC generates stronger free cash flow (978M), providing more financial flexibility.
Bottom Line
WDC scores higher overall (80/100 vs 72/100), backed by strong 55.3% margins and 45.5% revenue growth. Both earn "Exceptional Buy" and "Strong 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 →Western Digital Corporation
TECHNOLOGY · COMPUTER HARDWARE · USA
Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.
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