Applied Materials Inc (AMAT)vsNova Ltd (NVMI)
AMAT
Applied Materials Inc
$369.34
-1.24%
TECHNOLOGY · Cap: $293.11B
NVMI
Nova Ltd
$481.28
-0.85%
TECHNOLOGY · Cap: $15.30B
Smart Verdict
WallStSmart Research — data-driven comparison
Applied Materials Inc generates 3104% more annual revenue ($28.21B vs $880.58M). NVMI leads profitability with a 29.4% profit margin vs 27.8%. NVMI appears more attractively valued with a PEG of 1.46. NVMI earns a higher WallStSmart Score of 68/100 (B-).
AMAT
Buy64
out of 100
Grade: C+
NVMI
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+19.1%
Fair Value
$456.30
Current Price
$369.34
$86.96 discount
Margin of Safety
-40.5%
Fair Value
$338.56
Current Price
$481.28
$142.72 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%
Safe zone — low bankruptcy risk
Every $100 of equity generates 23 in profit
Keeps 29 of every $100 in revenue as profit
Strong operational efficiency at 27.7%
Earnings expanding 22.4% YoY
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 13.5x book value
Revenue declined 2.1%
Trading at 11.6x book value
Premium valuation, high expectations priced in
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 : NVMI
The strongest argument for NVMI centers on Altman Z-Score, Return on Equity, Profit Margin. Profitability is solid with margins at 29.4% and operating margin at 27.7%. Revenue growth of 14.3% demonstrates continued momentum.
Bear Case : AMAT
The primary concerns for AMAT are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : NVMI
The primary concerns for NVMI are Price/Book, P/E Ratio. A P/E of 60.6x leaves little room for execution misses.
Key Dynamics to Monitor
AMAT profiles as a declining stock while NVMI is a mature play — different risk/reward profiles.
NVMI carries more volatility with a beta of 1.83 — expect wider price swings.
NVMI is growing revenue faster at 14.3% — sustainability is the question.
AMAT generates stronger free cash flow (1.0B), providing more financial flexibility.
Bottom Line
NVMI scores higher overall (68/100 vs 64/100), backed by strong 29.4% margins and 14.3% revenue growth. AMAT offers better value entry with a 19.1% margin of safety. 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 →Nova Ltd
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Nova Measuring Instruments Ltd. designs, develops, produces, and sells process control systems used in semiconductor manufacturing in Israel, Taiwan, the United States, China, Korea, and internationally. The company is headquartered in Rehovot, Israel.
Visit Website →Compare with Other SEMICONDUCTOR EQUIPMENT & MATERIALS Stocks
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