AMAT vs NVDA: Which Is the Better Buy?
Side-by-side comparison of Applied Materials, Inc. and NVIDIA Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-21.
Applied Materials, Inc. · Technology
$406.91
-12.0% upside to fair value
Grade B-
High Quality
VS
NVIDIA Corporation · Technology
$219.76
+45.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
NVDA has more upside to fair value
(+45.0%).
AMAT trades at a lower forward P/E
(30.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AMAT |
NVDA |
| Current Price |
$406.91 |
$219.76 |
| Fair Value Estimate |
$358.00 |
$318.65 |
| Upside to Fair Value |
-12.0%
|
+45.0%
|
| Market Cap |
$322.9B |
$5,322.7B |
| Forward P/E |
30.3x
|
33.4x
|
| EV / EBITDA |
30.2x
|
27.6x
|
| Price / Sales |
10.2x
|
21.0x
|
| Price / FCF |
51.6x
|
44.7x
|
| Revenue Growth YoY |
+11.0%
|
+85.2%
|
| Gross Margin |
49.9%
|
74.1%
|
| Operating Margin |
31.9%
|
64.0%
|
| Return on Equity |
47.0%
|
111.7%
|
| Dividend Yield |
0.45% |
0% |
| FCF Yield |
1.94%
|
2.24%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
Applied Materials is the world's leading semiconductor and display equipment company, and the May 14 Q2 fiscal 2026 print materially strengthened the operating story. Revenue grew 11 percent year over year to a record $7.91 billion, non-GAAP earnings per share of $2.86 beat consensus of $2.68, and management guided Q3 to a record $8.95 billion in revenue with non-GAAP earnings per share of $3.36 …
NVIDIA Corporation is a leading technology company specializing in semiconductors, primarily known for its GPUs and AI accelerators that power gaming, data center, and professional visualization markets. The company benefits from a durable competitive moat driven by its founder-led management, strong insider alignment, and dominant market share in AI data center chips. NVIDIA's business quality i…
Accumulation Zones
| Metric |
AMAT |
NVDA |
| Zone Low |
$268.50 |
$238.99 |
| Zone High |
$304.30 |
$270.85 |
| In Buy Zone? |
No
|
Yes
|