AMAT vs AMD: Which Is the Better Buy?
Side-by-side comparison of Applied Materials, Inc. and Advanced Micro Devices, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-22.
Applied Materials, Inc. · Technology
$394.33
-58.9% upside to fair value
Grade C
High Quality
VS
Advanced Micro Devices, Inc. · Technology
$278.26
+40.5% upside to fair value
High Conviction
Grade B+
QuantHub Verdict
AMD has more upside to fair value
(+40.5%).
AMAT trades at a lower forward P/E
(39.9x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AMAT |
AMD |
| Current Price |
$394.33 |
$278.26 |
| Fair Value Estimate |
$162.08 |
$391.00 |
| Upside to Fair Value |
-58.9%
|
+40.5%
|
| Market Cap |
$312.9B |
$453.7B |
| Forward P/E |
39.9x
|
104.6x
|
| EV / EBITDA |
31.6x
|
—
|
| Price / Sales |
11.1x
|
13.1x
|
| Price / FCF |
50.5x
|
67.4x
|
| Revenue Growth YoY |
-2.1%
|
+11.1%
|
| Gross Margin |
48.7%
|
49.5%
|
| Operating Margin |
29.1%
|
10.7%
|
| Return on Equity |
38.9%
|
7.2%
|
| Dividend Yield |
0% |
— |
| FCF Yield |
1.98%
|
1.5%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
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,…
AMD has solidified its position as a premier challenger to NVIDIA in AI GPUs and Intel in CPUs, fueled by explosive Data Center growth reaching $16.6 billion in 2025, up 32% year-over-year, alongside robust Client and Gaming expansion to $14.6 billion, up 51%. Under CEO Lisa Su's leadership, the company achieved 34% total revenue growth to $34.6 billion in 2025 with net income of $4.3 billion, ye…
Accumulation Zones
| Metric |
AMAT |
AMD |
| Zone Low |
$121.56 |
$293.00 |
| Zone High |
$137.77 |
$332.00 |
| In Buy Zone? |
No
|
Yes
|