AMAT
Applied Materials, Inc.
AMAT's fundamentals are mixed: it turned 18% of its revenue into free cash flow, while its operating margin held steady at 30%. Its PE isn't a useful guide right now because of how its recent earnings were reported.
AMAT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Healthy | |
| Strong |
AMAT's revenue, profitability, cash flow and balance sheet are all currently healthy.
AMAT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 16x | $188 | -51% |
| Forward | 20x | $381 | — |
| Fair | 21x | $241 | -37% |
| Expensive | 29x | $335 | -12% |
| Current | 30x | $381 | — |
Historical ranges are pointers, not guarantees.
AMAT's PE is 30x, but its earnings don't support one, so it isn't a reliable read right now.
AMAT Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Moderate | |
| Moderate |
Analysts expect strong earnings and revenue growth for AMAT, with profitability improving.
AMAT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $18.83 | +63% |
| Q3 2026 | $11.58 | +38% |
| Q2 2026 | $10.63 | +29% |
| Q1 2026 | $9.75 | +27% |
| Q4 2025 | $8.66 | +0.6% |
| Q3 2025 | $8.39 | -5.7% |
| Q2 2025 | $8.22 | -5.5% |
| Q1 2025 | $7.65 | -10% |
| Q4 2024 | $8.61 | +6.2% |
AMAT earned $11.58 per share over the past year, up 38% from the year before. Its recent earnings include one-off gains.
AMAT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $9.1B | +25% |
| Q2 2026 | $7.9B | +11% |
| Q1 2026 | $7B | -2.1% |
| Q4 2025 | $6.8B | -3.5% |
| Q3 2025 | $7.3B | +7.7% |
| Q2 2025 | $7.1B | +6.8% |
| Q1 2025 | $7.2B | +6.8% |
| Q4 2024 | $7B | +4.8% |
AMAT's revenue has picked up after two years of holding roughly level: $9.1B last quarter, up 25% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 34% | +3.2 points |
| Q2 2026 | 32% | +1.3 points |
| Q1 2026 | 26% | -4.2 points |
| Q4 2025 | 25% | -3.9 points |
| Q3 2025 | 31% | +1.9 points |
| Q2 2025 | 31% | +1.8 points |
| Q1 2025 | 30% | +1 points |
| Q4 2024 | 29% | -0.3 points |
AMAT's operating margin was 34% last quarter, up 3.2 points from the same quarter a year ago, near the top of its range since 2019.
AMAT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $2.3B | +14% |
| Q2 2026 | $210M | -80% |
| Q1 2026 | $1B | +91% |
| Q4 2025 | $2B | -5.8% |
| Q3 2025 | $2.1B | -1.8% |
| Q2 2025 | $1.1B | -6.5% |
| Q1 2025 | $544M | -74% |
| Q4 2024 | $2.2B | +74% |
AMAT's free cash flow has been positive every quarter for seven years: $5.6B over the past year, down 3.4% from the year before.
AMAT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | +0.1% | +1M shares |
| 1 year | -0.2% | -2M shares |
| 3 years | -5.1% | -43M shares |
| 5 years | -13% | -118M shares |
| Available history | -15% | -145M shares |
AMAT has 800M diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | $440M |
| Q2 2026 | $400M |
| Q1 2026 | $337M |
| Q4 2025 | $851M |
| Q3 2025 | $1.1B |
| Q2 2025 | $1.7B |
| Q1 2025 | $1.3B |
| Q4 2024 | $1.4B |
AMAT spent $2B buying back its own shares over the past year, down 63% from the year before.
AMAT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.1x | Very low |
| Q2 2026 | 0.2x | Very low |
| Q1 2026 | -0.1x | Net Cash |
| Q4 2025 | -0.1x | Net Cash |
| Q3 2025 | 0.2x | Very low |
| Q2 2025 | 0.1x | Very low |
| Q1 2025 | 0.1x | Very low |
| Q4 2024 | -0.1x | Net Cash |
AMAT's net debt is less than a year of its operating earnings (EBITDA).
AMAT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 42.8 | Neutral |
| Stochastic | 13.8 | Oversold |
AMAT's weekly RSI is 43 (neutral) and its Stochastic is 14 (oversold).
AMAT PE vs Technology Sector
| Metric | AMAT | Sector median | Relative |
|---|---|---|---|
| PE | 30x | 28x | 8.4% above |
| PE % | 85 | 35 | 50 pts above |
AMAT is trading at 30x earnings, in line with the Technology sector's median of 28x, though its earnings don't support one.
AMAT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $427.8 | 11% below |
| 20 week MA | $477.9 | 20% below |
| 50 week MA | $418.0 | 8.9% below |
| 100 week MA | $298.5 | 28% above |
| 200 week MA | $232.1 | 64% above |
AMAT has pulled back, but its long-term trend is still up: it's below its 8-, 20- and 50-week averages, but 64% above its 200-week average.
AMAT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $61.2 | $85.3 | +39% |
| 2021 | $85.3 | $155.5 | +82% |
| 2022 | $155.5 | $97.2 | -37% |
| 2023 | $97.2 | $162.1 | +67% |
| 2024 | $162.1 | $166.8 | +2.9% |
| 2025 | $166.8 | $261.9 | +57% |
| 2026 YTD | $261.9 | $381.0 | +45% |
AMAT has finished higher in five of the last six years, three of them by more than 50%. It's up 45% so far in 2026.