Investment surge. Capital spending 8.0% of revenue, up from 3.1% in FY Oct 2022.
Applied Materials is spending 8.0% of revenue on facilities and equipment, up from 3.1% in FY Oct 2022. That weighs on free cash flow today; whether it pays off depends on the returns those investments earn.
Share count shrinking. Shares outstanding down 6.0% from October 2022 to July 2026.
Applied Materials had 6.0% fewer shares at July 2026 than at October 2022, mainly through buybacks, so each remaining share owns a larger slice of the business.
Annual revenue rose 5 years in a row. Fiscal-year revenue rose from $17.2B in FY Oct 2020 to $28.4B in FY Oct 2025.
Applied Materials's fiscal-year revenue rose in each of the five years to FY Oct 2025, from $17.2B to $28.4B.
Wide margins.Operating margin 30% (12 months to Jul 2026) vs a peer median of 6.3%.Operating margin 30% vs peers 6.3%.
Applied Materials keeps 30% of revenue as operating profit, more than 94% of peers (median 6.3%).
StockQuotient Score
58/ 100▼ 1 since Oct 27 closeOct 5 57 → Nov 4 58 (+1)
Since last quarter: No major changeValuation also moves with the share price every day.
Why it changed since the Oct 27, 2026 close: Score 44 → 43
Share price -3.5%+1
Peer companies moved-2
Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.
Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.
Questions investors ask about Applied Materials
Is Applied Materials getting weaker?
Its latest SEC filing (Aug 20, 2026) showed no major changes. Its overall score is 58/100, down 1 since Oct 28, 2026.
How is Applied Materials valued vs its peers?
Priced about in line with its peers. Valuation scores 43/100 against 1,711 technology peers.
Is Applied Materials growing?
At about the same pace as its peers. Growth scores 57/100 against 1,711 technology peers.Earnings per share growth 36.2% vs a peer median of 11.1% (stronger than 70% of peers).Earnings per share growth 36.2% vs peers 11.1% (stronger than 70% of peers).
How profitable is Applied Materials?
More profitable than most of its peers. Profitability scores 94/100 against 1,711 technology peers.Return on assets 21.3% vs a peer median of 2.9% (stronger than 95% of peers).Return on assets 21.3% vs peers 2.9% (stronger than 95% of peers).
How risky is Applied Materials?
Moderate risk relative to 1,711 technology peers, judged on debt, liquidity and share-price swings.Current ratio 2.42× vs a peer median of 1.83× (stronger than 67% of peers).Current ratio 2.42× vs peers 1.83× (stronger than 67% of peers).Beta 1.59 vs a peer median of 0.87 (weaker than 86% of peers).Beta 1.59 vs peers 0.87 (weaker than 86% of peers). A relative measure, not a bankruptcy probability.
Latest filing: what changed
Quarter ended Jul 26, 2026 · filed Aug 20, 2026 · compared with the quarter ended Apr 26, 2026
No major changes
Previous quarter
Latest quarter
Change
Revenue (12 months)
29.0B USD
30.8B USD
+6.2%
Net income (12 months)
8.5B USD
9.3B USD
+8.9%
Operating margin
28.6%
29.6%
+1.0 pts
Free cash flow (12 months)
5.3B USD
5.6B USD
+5.2%
Debt
7.7B USD
7.7B USD
+1.2%
Cash
6.3B USD
7.0B USD
+11.7%
From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.
Valuations in Semiconductor Equipment & Materials are near the top of their range since Feb 2021.
84% of months since Feb 2021 were valued lower than now.
81% of companies are in the most expensive fifth of their own price-to-sales history.
Median price-to-sales is +95% vs the whole market, against a usual +84%.
Feb 2021Shaded: most expensive fifth of its range2026
This is a cyclical group: after a downturn, trailing earnings and sales fall faster than prices, which can make valuations look high near a cycle's low.
Describes valuations since Feb 2021; it does not predict prices. US companies worth $1B+, from SEC filings and month-end prices, as of Aug 2026. Today's companies and industry labels are used throughout. Measured on earnings, sales and free cash flow yields. How this works
Financials
Fiscal years from SEC annual filings · change vs the prior year
Key ratios
FY Oct 2021
FY Oct 2022
FY Oct 2023
FY Oct 2024
FY Oct 2025
Change
Gross margin
47.3%
46.5%
46.7%
47.5%
48.7%
▲ 1.2 pts
Operating margin
29.9%
30.2%
28.9%
28.9%
29.2%
▲ 0.3 pts
Net margin
25.5%
25.3%
25.9%
26.4%
24.7%
▼ 1.7 pts
Return on assets (ROA)
22.8%
24.4%
22.3%
20.9%
19.3%
▼ 1.6 pts
Return on equity (ROE)
48.1%
53.5%
41.9%
37.8%
34.3%
▼ 3.5 pts
Free cash flow margin
20.7%
17.9%
28.6%
27.6%
20.1%
▼ 7.5 pts
Current ratio
2.54×
2.16×
2.60×
2.51×
2.61×
▲ 4.2%
Quick ratio
1.86×
1.35×
1.82×
1.87×
1.87×
▲ 0.3%
Debt to equity
0.45×
0.45×
0.34×
0.37×
0.32×
▼ 12%
Interest coverage
29.19×
34.16×
32.16×
31.85×
30.81×
▼ 3.3%
AMAT price history
Price history is added with the daily price update and will appear after the next one.