AMAT vs SMCI: Which Is the Better Buy?

Side-by-side comparison of Applied Materials, Inc. and Super Micro Computer, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-06.
Applied Materials, Inc. · Technology
$603.04
-45.0% upside to fair value
Grade C High Quality
VS
Super Micro Computer, Inc. · Technology
$30.66
+45.0% upside to fair value
Grade B
QuantHub Verdict
SMCI has more upside to fair value (+45.0%). SMCI trades at a lower forward P/E (14.7x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric AMAT SMCI
Current Price $603.04 $30.66
Fair Value Estimate $331.67 $44.46
Upside to Fair Value -45.0% +45.0%
Market Cap $478.8B $18.4B
Forward P/E 56.4x 14.7x
EV / EBITDA 43.0x 13.6x
Price / Sales 16.5x 0.6x
Price / FCF 80.3x -2.7x
Revenue Growth YoY +11.4% +122.7%
Gross Margin 49.0% 8.4%
Operating Margin 29.5% 4.5%
Return on Equity 39.8% 18.2%
Dividend Yield 0% 0%
FCF Yield 1.25%
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…
SMCI — Super Micro Computer, Inc.
Super Micro Computer, Inc. is a technology company specializing in server and storage systems, with a strong focus on AI infrastructure. The business quality is medium due to its founder-led management with over 30 years of tenure, a widening moat driven by systems engineering and close partnerships with Nvidia, and rapid revenue growth of 122.7% in the most recent quarter. However, the company f…
Accumulation Zones
Metric AMAT SMCI
Zone Low $248.75 $33.34
Zone High $281.92 $37.79
In Buy Zone? No Yes
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