Applied Materials Inc (AMAT)vsGlaxoSmithKline PLC ADR (GSK)
AMAT
Applied Materials Inc
$435.44
+6.04%
TECHNOLOGY · Cap: $325.89B
GSK
GlaxoSmithKline PLC ADR
$50.41
-0.18%
HEALTHCARE · Cap: $101.38B
Smart Verdict
WallStSmart Research — data-driven comparison
GlaxoSmithKline PLC ADR generates 16% more annual revenue ($32.78B vs $28.21B). AMAT leads profitability with a 27.8% profit margin vs 17.8%. GSK appears more attractively valued with a PEG of 0.50. GSK earns a higher WallStSmart Score of 66/100 (B-).
AMAT
Buy64
out of 100
Grade: C+
GSK
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AMAT.
Margin of Safety
-3.1%
Fair Value
$56.71
Current Price
$50.41
$6.30 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 39 in profit
Earnings expanding 75.2% YoY
Safe zone — low bankruptcy risk
Keeps 28 of every $100 in revenue as profit
Strong operational efficiency at 29.9%
Growing faster than its price suggests
Every $100 of equity generates 41 in profit
Strong operational efficiency at 36.3%
Large-cap with strong market position
Attractively priced relative to earnings
Areas to Watch
Expensive relative to growth rate
Trading at 15.9x book value
Premium valuation, high expectations priced in
Revenue declined 2.1%
1.5% revenue growth
Elevated debt levels
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AMAT
The strongest argument for AMAT centers on Market Cap, Return on Equity, EPS Growth. Profitability is solid with margins at 27.8% and operating margin at 29.9%.
Bull Case : GSK
The strongest argument for GSK centers on PEG Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 17.8% and operating margin at 36.3%. PEG of 0.50 suggests the stock is reasonably priced for its growth.
Bear Case : AMAT
The primary concerns for AMAT are PEG Ratio, Price/Book, P/E Ratio. A P/E of 42.2x leaves little room for execution misses.
Bear Case : GSK
The primary concerns for GSK are Revenue Growth, Debt/Equity, Altman Z-Score.
Key Dynamics to Monitor
AMAT profiles as a declining stock while GSK is a value play — different risk/reward profiles.
AMAT carries more volatility with a beta of 1.65 — expect wider price swings.
GSK is growing revenue faster at 1.5% — sustainability is the question.
AMAT generates stronger free cash flow (1.0B), providing more financial flexibility.
Bottom Line
GSK scores higher overall (66/100 vs 64/100), backed by strong 17.8% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Applied Materials Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Applied Materials, Inc. is an American corporation that supplies equipment, services and software for the manufacture of semiconductor (integrated circuit) chips for electronics, flat panel displays for computers, smartphones and televisions, and solar products. The company also supplies equipment to produce coatings for flexible electronics, packaging and other applications. The company is headquartered in Santa Clara, California, in Silicon Valley.
Visit Website →GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, the United Kingdom.
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