Applied Materials, Inc.

Applied Materials provides manufacturing equipment, services, and software to semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. Semiconductor Systems develops and sells manufacturing equipment for fabricating semiconductor chips or integrated circuits. This segment also offers various technologies such as epitaxy, ion implantation, and chemical vapor deposition. Applied Global Services provides integrated solutions to optimize equipment and fab performance and productivity. The Display and Adjacent Markets segment offers products for manufacturing liquid crystal displays and other display technologies. The company operates globally with headquarters in Santa Clara, California.

Overview

Sector

Semiconductors

Target Price

196.5 USD

Current Price

188.4 USD

Potential

Strengths

The company has low debt. Net Debt to EBITDA Ratio is -0.16 and it is lower than the sector mean.
The company has high returns. ROIC (33.89%) is higher than the sector mean (13.46%).
EV/EBIT (18.36) is lower than the sector mean.
Price to free cash flow (20.79) is lower than the sector mean.
Strong EBITDA Margin of 32.35%.

Weaknesses

No significant weaknesses identified based on the analyzed metrics.

Key Financial Data

Indicator	Value
PER	21.5
EV/EBITDA	17.4
Price/Free Cash Flow'	20.6
ROIC	33.9%
Net Debt/EBITDA	-0.2