Applied Materials Inc (AMAT)vsSonos Inc (SONO)
AMAT
Applied Materials Inc
$539.14
+2.21%
TECHNOLOGY · Cap: $433.99B
SONO
Sonos Inc
$15.64
+1.23%
TECHNOLOGY · Cap: $1.73B
Smart Verdict
WallStSmart Research — data-driven comparison
Applied Materials Inc generates 1847% more annual revenue ($29.02B vs $1.49B). AMAT leads profitability with a 29.3% profit margin vs 3.8%. SONO trades at a lower P/E of 32.6x. AMAT earns a higher WallStSmart Score of 74/100 (B).
AMAT
Strong Buy74
out of 100
Grade: B
SONO
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AMAT.
Margin of Safety
-31.5%
Fair Value
$12.55
Current Price
$15.64
$3.09 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Strong operational efficiency at 31.9%
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Trading at 17.9x book value
Premium valuation, high expectations priced in
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of 6.2% — below average capital efficiency
3.8% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : AMAT
The strongest argument for AMAT centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 29.3% and operating margin at 31.9%. Revenue growth of 11.4% demonstrates continued momentum.
Bull Case : SONO
The strongest argument for SONO centers on EPS Growth, Debt/Equity.
Bear Case : AMAT
The primary concerns for AMAT are Price/Book, P/E Ratio. A P/E of 51.5x leaves little room for execution misses.
Bear Case : SONO
The primary concerns for SONO are P/E Ratio, Market Cap, Return on Equity. Thin 3.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
AMAT profiles as a mature stock while SONO is a value play — different risk/reward profiles.
SONO carries more volatility with a beta of 1.96 — expect wider price swings.
AMAT is growing revenue faster at 11.4% — sustainability is the question.
AMAT generates stronger free cash flow (208M), providing more financial flexibility.
Bottom Line
AMAT scores higher overall (74/100 vs 51/100), backed by strong 29.3% margins and 11.4% revenue growth. 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 →Sonos Inc
TECHNOLOGY · CONSUMER ELECTRONICS · USA
Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.
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