AMAT vs PLTR: Which Is the Better Buy?
Side-by-side comparison of Applied Materials, Inc. and Palantir Technologies 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
Palantir Technologies Inc. · Technology
$142.76
-24.3% upside to fair value
Med Conviction
Grade C
QuantHub Verdict
PLTR has more upside to fair value
(-24.3%).
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 |
PLTR |
| Current Price |
$394.33 |
$142.76 |
| Fair Value Estimate |
$162.08 |
$108.00 |
| Upside to Fair Value |
-58.9%
|
-24.3%
|
| Market Cap |
$312.9B |
$327.1B |
| Forward P/E |
39.9x
|
209.7x
|
| EV / EBITDA |
31.6x
|
—
|
| Price / Sales |
11.1x
|
73.1x
|
| Price / FCF |
50.5x
|
155.7x
|
| Revenue Growth YoY |
-2.1%
|
+19.1%
|
| Gross Margin |
48.7%
|
82.4%
|
| Operating Margin |
29.1%
|
31.6%
|
| Return on Equity |
38.9%
|
25.7%
|
| Dividend Yield |
0% |
— |
| FCF Yield |
1.98%
|
0.6%
|
| Analyst Consensus |
Strong Buy
|
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,…
Palantir Technologies develops data analytics and AI software platforms like Gotham and Foundry for government and commercial clients. The business excels with high margins (gross 82.4%, net 36.3%), accelerating growth (Q4 FY2025 revenue up 70% YoY to $1.41B, 2026 guidance $7.19B implying 61% growth), and strong moats in defense and enterprise AI, but trades expensively at 73x P/S versus 5-year m…
Accumulation Zones
| Metric |
AMAT |
PLTR |
| Zone Low |
$121.56 |
$81.00 |
| Zone High |
$137.77 |
$92.00 |
| In Buy Zone? |
No
|
No
|