Applied Materials, Inc. (AMAT) Stock

About Applied Materials, Inc.

Applied Materials, Inc. engages in provision of materials engineering solutions used to produce semiconductors. The firm also focuses on design, development, production, and servicing of the critical wafer fabrication tools used for customers to manufacture semiconductors. It operates through the following segments: Semiconductor Systems and Applied Global Services (AGS). The Semiconductor Systems segment includes designing, development, manufacturing and sale of equipment used to fabricate semiconductor chips referred to as integrated circuits. The AGS segment engages in provision of services, spares, and factory automation software to customer fabrication plants globally. The company was founded on November 10, 1967 and is headquartered in Santa Clara, CA.

Applied Materials, Inc. is led by CEO Gary E. Dickerson, employs 36,000 people, headquartered in Santa Clara, US, publicly traded since 1980.

Applied Materials, Inc. (AMAT) stock trades at $436.45 with a market capitalization of $346.52B. The stock is valued at a price-to-earnings (P/E) ratio of 44.18, price-to-book of 15.76, price-to-sales of 15.54. Over the past 52 weeks the stock has ranged between $154.47 and $738.13, and currently trades 40.9% below its 52-week high. It pays a dividend yielding 0.34%.

On profitability, Applied Materials, Inc. generates a return on equity (ROE) of 38.86% — well above the market average, a sign of a high-quality business, return on capital employed of 40.60%, an operating margin of 29.10%, a net profit margin of 29.31%.

In its most recent fiscal year, Applied Materials, Inc. reported annual revenue of $28.4B, net profit of $7.0B, revenue has compounded at 10.5% a year over the last five years, profit at 14.1% a year. Profit growing faster than revenue points to expanding margins.

The balance sheet shows a debt-to-equity ratio of 0.27 — a conservative balance sheet with little leverage risk, a current ratio of 2.61, total assets of $36.3B, $7.2B in cash and equivalents.

AMAT has an average daily trading volume of 9,738,467 shares, a beta of 1.67 (more volatile than the overall market).

Official website: www.appliedmaterials.com