ADBE vs AMAT: Which Is the Better Buy?
Side-by-side comparison of Adobe Inc. and Applied Materials, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-22.
Adobe Inc. · Technology
$248.16
+163.1% upside to fair value
High Conviction
Grade B
VS
Applied Materials, Inc. · Technology
$394.33
-58.9% upside to fair value
Grade C
High Quality
QuantHub Verdict
ADBE has more upside to fair value
(+163.1%).
ADBE trades at a lower forward P/E
(14.1x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
ADBE |
AMAT |
| Current Price |
$248.16 |
$394.33 |
| Fair Value Estimate |
$653.00 |
$162.08 |
| Upside to Fair Value |
+163.1%
|
-58.9%
|
| Market Cap |
$101.2B |
$312.9B |
| Forward P/E |
14.1x
|
39.9x
|
| EV / EBITDA |
—
|
31.6x
|
| Price / Sales |
4.1x
|
11.1x
|
| Price / FCF |
9.8x
|
50.5x
|
| Revenue Growth YoY |
+3.3%
|
-2.1%
|
| Gross Margin |
89.1%
|
48.7%
|
| Operating Margin |
36.6%
|
29.1%
|
| Return on Equity |
62.3%
|
38.9%
|
| Dividend Yield |
— |
0% |
| FCF Yield |
10.2%
|
1.98%
|
| Analyst Consensus |
Hold
|
Strong Buy
|
Investment Thesis
Adobe Inc. develops industry-leading creative software, digital experience platforms, and publishing tools, powering digital content creation and marketing for professionals worldwide. The business excels with high gross margins above 89%, a sticky subscription model driving recurring revenue over $17B ARR, and dominant moats in digital media, though it faces intensifying AI competition and slowi…
Applied Materials, Inc. is a leading global provider of semiconductor and display equipment, specializing in materials engineering solutions critical to chip manufacturing. The company benefits from a durable competitive moat supported by its market leadership, innovation engine with over 8,500 patents since 2013, and a strong management team led by CEO Gary E. Dickerson. Despite these strengths,…
Accumulation Zones
| Metric |
ADBE |
AMAT |
| Zone Low |
$490.00 |
$121.56 |
| Zone High |
$555.00 |
$137.77 |
| In Buy Zone? |
Yes
|
No
|