AMAT vs DE: Which Is the Better Buy?

Side-by-side comparison of Applied Materials, Inc. and Deere & Company — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-09.
Applied Materials, Inc. · Technology
$603.04
-45.0% upside to fair value
Grade C High Quality
VS
Deere & Company · Industrials
$596.74
-29.8% upside to fair value
Grade C High Quality
QuantHub Verdict
DE has more upside to fair value (-29.8%). DE trades at a lower forward P/E (33.7x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric AMAT DE
Current Price $603.04 $596.74
Fair Value Estimate $331.67 $418.72
Upside to Fair Value -45.0% -29.8%
Market Cap $478.8B $161.1B
Forward P/E 56.4x 33.7x
EV / EBITDA 43.0x 19.0x
Price / Sales 16.5x 3.4x
Price / FCF 80.3x 42.8x
Revenue Growth YoY +11.4% +6.7%
Gross Margin 49.0% 35.4%
Operating Margin 29.5% 18.4%
Return on Equity 39.8% 18.3%
Dividend Yield 0% 0%
FCF Yield 1.25% 2.34%
Analyst Consensus Strong Buy Hold
Investment Thesis
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…
DE — Deere & Company
Deere & Company operates in the agricultural machinery sector, providing durable equipment critical to farming and construction industries. The business quality is high, supported by a strong 18.3% return on equity and solid gross and operating margins of 35.4% and 18.4%, respectively. However, the stock is currently overvalued, trading approximately 30% above its fair value estimate of $418.72, …
Accumulation Zones
Metric AMAT DE
Zone Low $248.75 $314.04
Zone High $281.92 $355.91
In Buy Zone? No No
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