Applied Materials, Inc. (AMAT): one to watch?

Fundamentals are excellent, but the drop is mostly a valuation correction after a huge run-up, not a screaming bargain yet.

👀 WATCH Fundamentals77/100

Fell 20% in 9 trading day(s) — now $576.50

Why AMAT dropped

The stock fell after a parabolic ~140% run in 2026 as investors took profits across the whole chip sector; the decline was worsened by a known, already-quantified $600-710M China export-restriction revenue hit, an SK Hynix/memory-led semiconductor selloff, heavy insider selling by the CEO and other executives, and reports of a DOJ/SEC probe into shipments to a sanctioned Chinese customer (SMIC).

Fwd P/E 34.4Op margin 31.9%Rev growth 11.4%Debt/equity 30.4%Analyst upside 6.2%

How this scored 77/100

✅ Passes all 4 hard checks — profitable, cash-generative, and financially survivable.

✅ Makes money Net profit margin 29.3%

✅ Generates cash Free cash flow $3.0B

✅ Not drowning in debt Debt/equity 30.4% (limit 200%)

✅ Can pay its bills Current ratio 2.5 (needs 1+)

Bar length shows how much each metric is worth — a 10-point metric is twice as wide as a 5-point one. Hover any row for what it means.

Profitability Does it actually make money? 25/25

Operating margin 31.9% 9/9

Net profit margin 29.3% 8/8

Return on equity 39.7% 8/8

Growth Is it getting bigger, or dying? 21/25

Revenue growth 11.4% 5/9

Earnings growth 33.5% 8/8

Expected profit change 58.0% 8/8

Value Is it cheap right now? 7/25

Forward P/E 34.4 2/10

PEG ratio 1.5 5/8

Analyst target upside 6.2% 1/7

Balance sheet Will it survive? 24/25

Debt / equity 30.4% 9/10

Current ratio 2.5 8/8

Free cash flow $3.0B 7/7

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Analysis generated by NormieStonks's AI from public fundamentals and news, first flagged 2026-07-15. Research only — not financial advice.