AMAT vs AMZN: Which Is the Better Buy?

Side-by-side comparison of Applied Materials, Inc. and Amazon.com, 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
Amazon.com, Inc. · Consumer Cyclical
$250.56
+32.0% upside to fair value
Grade B High Quality
QuantHub Verdict
AMZN has more upside to fair value (+32.0%). AMZN trades at a lower forward P/E (34.5x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric AMAT AMZN
Current Price $394.33 $250.56
Fair Value Estimate $162.08 $330.77
Upside to Fair Value -58.9% +32.0%
Market Cap $312.9B $2,689.7B
Forward P/E 39.9x 34.5x
EV / EBITDA 31.6x 16.7x
Price / Sales 11.1x 3.8x
Price / FCF 50.5x 349.5x
Revenue Growth YoY -2.1% +13.6%
Gross Margin 48.7% 50.3%
Operating Margin 29.1% 11.2%
Return on Equity 38.9% 21.9%
Dividend Yield 0% 0%
FCF Yield 1.98% 0.29%
Analyst Consensus Strong Buy Strong Buy
Investment Thesis
AMAT — Applied Materials, Inc.
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,…
AMZN — Amazon.com, Inc.
Amazon.com, Inc. operates as a global leader in e-commerce and cloud computing, generating $716.9 billion in net sales for fiscal 2025 with a strong presence in North America, International markets, and AWS. The company benefits from durable competitive moats in e-commerce, where it is America’s largest online retailer with over four times the sales of its nearest rival as of 2015, and in cloud c…
Accumulation Zones
Metric AMAT AMZN
Zone Low $121.56 $248.08
Zone High $137.77 $281.15
In Buy Zone? No Yes
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