Applied Materials, Inc. logo AMAT - Applied Materials, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
1
BUY 41
HOLD 11
SELL 0
STRONG
SELL
0
| PRICE TARGET: $675.65 DETAILS
HIGH: $900.00
LOW: $530.00
MEDIAN: $650.00
CONSENSUS: $675.65
UPSIDE: 37.24%
AlphaQuality

AlphaQuality

Quantitative six-pillar business-quality grade

Platform & Compounding FCF

AlphaQuality — archetype-weighted quantitative grade

A 88.1 / 100 composite

Composite Grade

Composite of six pillars weighted for platform & compounding fcf businesses. Purely quantitative — the six pillars score only reported financials, no analyst input.

Profitability

Weight: 25%
A- 82.0
  • 5yr Avg ROIC 28.0% 100/100
  • Operating Margin Trend -0.26 pp/yr 40/100
Contributes 20.5 pts toward composite.

Capital Efficiency

Weight: 15%
A+ 97.3
  • 5yr Avg ROE 43.1% 100/100
  • 5yr Share-Count CAGR -2.6% 92/100
Contributes 14.6 pts toward composite.

Growth Quality

Weight: 25%
A 88.4
  • 5yr Revenue CAGR 10.5% 81/100
  • 5yr EPS CAGR 17.2% 91/100
  • Revenue-Growth Years (5) 5/5 100/100
Contributes 22.1 pts toward composite.

Cash Generation

Weight: 20%
A 91.5
  • 5yr FCF Margin 23.0% 93/100
  • 5yr FCF/NI Conversion 0.90x 90/100
Contributes 18.3 pts toward composite.

Balance Sheet

Weight: 10%
A+ 98.1
  • Net Debt / EBITDA -0.16x 96/100
  • Interest Coverage (EBIT/Int) 35.46x 100/100
  • Altman Z-Score 18.97 100/100
Contributes 9.8 pts toward composite.

Stability

Weight: 5%
C 55.5
  • EPS Volatility (σ/μ) 0.58 23/100
  • Negative-Revenue Years (5) 0/5 100/100
  • Piotroski F-Score 6 67/100
Contributes 2.8 pts toward composite.

Guru Flow

Curated superinvestor sentiment — not part of the AlphaQuality grade.
Dumping

6 of 6 gurus held; 1 new buy; 1 added; 4 trimmed; 2 full exits.

Holders
6 +1
Avg Δ position
-12.3%
New buys
1
Full exits
2
As of Q2 2026
How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

  • Profitability (25%) — 5yr Avg ROIC, Operating Margin Trend
  • Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
  • Growth Quality (25%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
  • Cash Generation (20%) — 5yr FCF Margin, 5yr FCF/NI Conversion
  • Balance Sheet (10%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
  • Stability (5%) — EPS Volatility (σ/μ), Negative-Revenue Years (5), Piotroski F-Score

The six pillars read only reported financial-statement fields — no analyst targets or consensus ratings. The archetype that picks which pillar formulas apply is not fully price-free, though: it can route a company to the distressed/ungradable archetype based on price vs. its 52-week high, and beta affects one classification check. A minimum of 5 fiscal years of audited statements is required. Insurers and banks are graded on their own methodology — insurers on loss ratio, its trend and stability, and premiums-to-surplus; banks on the efficiency ratio, its trend and stability, and equity-to-assets — rather than on industrial margin/ROIC signals. Distressed, highly leveraged infrastructure, asset-manager, and other financial businesses are declared ungradable rather than forced into a numeric score.