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 2026-07-06.
AbbVie Inc. · Healthcare
$261.07
+1.2% upside to fair value
Grade C High Quality
VS
Applied Materials, Inc. · Technology
$603.04
-45.0% upside to fair value
Grade C High Quality
QuantHub Verdict
ABBV has more upside to fair value (+1.2%). AMAT trades at a lower forward P/E (56.4x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric ABBV AMAT
Current Price $261.07 $603.04
Fair Value Estimate $264.30 $331.67
Upside to Fair Value +1.2% -45.0%
Market Cap $461.3B $478.8B
Forward P/E 128.0x 56.4x
EV / EBITDA 31.0x 43.0x
Price / Sales 7.3x 16.5x
Price / FCF 22.1x 80.3x
Revenue Growth YoY +12.4% +11.4%
Gross Margin 70.7% 49.0%
Operating Margin 27.6% 29.5%
Return on Equity 68.0% 39.8%
Dividend Yield 0% 0%
FCF Yield 4.52% 1.25%
Analyst Consensus Strong Buy Strong Buy
Investment Thesis
ABBV — AbbVie Inc.
AbbVie Inc. is a leading healthcare company specializing in drug manufacturing with a strong focus on immunology and aesthetics. The company is transitioning from its historical Humira dominance, which has faced loss of exclusivity, toward high-growth assets like Skyrizi and Rinvoq that are driving robust revenue growth of 12.4% in the most recent quarter. Despite strong revenue growth and a dura…
AMAT — Applied Materials, Inc.
Applied Materials, Inc. is a leading semiconductor equipment company with a strong competitive moat in multiple wafer fab equipment segments, driven by its scale, infrastructure, and technology leadership in AI-critical process steps. The company benefits from a seasoned management team led by CEO Gary Dickerson, who has over 12 years at the helm and a track record of strong revenue and profitabi…
Accumulation Zones
Metric ABBV AMAT
Zone Low $198.23 $248.75
Zone High $224.66 $281.92
In Buy Zone? No No
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