Applied Materials (AMAT) fundamentals: P/E, valuation, undervalued?

Applied Materials · Information Technology · ref. ETF XLK · price $482.36
Logo Applied MaterialsSee the full Applied Materials (AMAT) profile
In short — Applied Materials trades at 41.3× earnings (P/E), 26.1× forward, with a net margin of 30.1 % and revenue growth of +25 %. Read: Cheap for the growth (P/E 26 for ~43% growth (PEG 0.6)).

Is Applied Materials stock cheap or undervalued? A good time to buy? Here are its fundamentals — P/E, PEG, margin and income statement — to judge its valuation.

📈 1-year price
$482.36+191.9% over range
Aug 28, 25low $156.25 · high $723Aug 27, 26
📏 Click 2 points (left → right) to measure the change · click again to clear.
SellBuy
Buy
96% recommend buying · 26 analysts
Valuation : Cheap for the growth — P/E 26 for ~43% growth (PEG 0.6)

Valuation

41.3
P/E (price/earnings)
26.1
Forward P/E
0.97
PEG
14.9
Price/book (P/B)
$382.8B
Market cap
11.67
EPS

Profitability & growth

30.1 %
Net margin
+25 %
Revenue growth
+43 %
Earnings growth
$7.3B
Total debt

Applied Materials income statement

Fiscal yearRevenueNet incomeMargin
2022$25.8B$6.5B25.3 %
2023$26.5B$6.9B25.9 %
2024$27.2B$7.2B26.4 %
2025$28.4B$7.0B24.7 %
⚠️ Indicative financial data (Yahoo Finance), not investment advice. Amounts in $.

Frequently asked questions

What is Applied Materials's P/E and is the stock undervalued? What's a good P/E?

Applied Materials's P/E is 41.3 (forward 26.1). Below ~15 = fairly cheap, above ~30 = expensive. Our valuation verdict: "Cheap for the growth".

Is Applied Materials profitable?

Applied Materials has a net margin of 30.1 % (EPS 11.67). The company is profitable.

Is AMAT stock expensive?

Our read: "Cheap for the growth" — P/E 26 for ~43% growth (PEG 0.6). Cross-check with growth and sector.

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