ABBV vs AMAT: Which Is the Better Buy?
Side-by-side comparison of AbbVie Inc. and Applied Materials, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-20.
AbbVie Inc. · Healthcare
$197.69
+6.3% upside to fair value
Grade C
High Quality
VS
Applied Materials, Inc. · Technology
$406.91
-12.0% upside to fair value
Grade B-
High Quality
QuantHub Verdict
ABBV has more upside to fair value
(+6.3%).
AMAT trades at a lower forward P/E
(30.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
ABBV |
AMAT |
| Current Price |
$197.69 |
$406.91 |
| Fair Value Estimate |
$210.22 |
$358.00 |
| Upside to Fair Value |
+6.3%
|
-12.0%
|
| Market Cap |
$349.7B |
$322.9B |
| Forward P/E |
83.3x
|
30.3x
|
| EV / EBITDA |
23.4x
|
30.2x
|
| Price / Sales |
5.7x
|
10.2x
|
| Price / FCF |
18.7x
|
51.6x
|
| Revenue Growth YoY |
+10.0%
|
+11.0%
|
| Gross Margin |
70.2%
|
49.9%
|
| Operating Margin |
26.7%
|
31.9%
|
| Return on Equity |
-361.6%
|
47.0%
|
| Dividend Yield |
0% |
0.45% |
| FCF Yield |
5.35%
|
1.94%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
AbbVie Inc. is a leading healthcare company specializing in drug manufacturing with a strong focus on immunology, neuroscience, oncology, and aesthetics. The company benefits from a durable competitive moat driven by blockbuster drugs such as Skyrizi and Rinvoq, which are experiencing rapid growth and offsetting declines from Humira due to biosimilar competition. Despite a high trailing and forwa…
Applied Materials is the world's leading semiconductor and display equipment company, and the May 14 Q2 fiscal 2026 print materially strengthened the operating story. Revenue grew 11 percent year over year to a record $7.91 billion, non-GAAP earnings per share of $2.86 beat consensus of $2.68, and management guided Q3 to a record $8.95 billion in revenue with non-GAAP earnings per share of $3.36 …
Accumulation Zones
| Metric |
ABBV |
AMAT |
| Zone Low |
$157.66 |
$268.50 |
| Zone High |
$178.69 |
$304.30 |
| In Buy Zone? |
No
|
No
|