Applied Materials, Inc. (AMAT) vs Amkor Technology, Inc. (AMKR)

Applied Materials, Inc. and Amkor Technology, Inc. are both Semiconductor Equipment & Materials companies. Applied Materials, Inc. is the larger, with a market value of $382.9B against $13.3B — 28.7× the size. Amkor Technology, Inc. trades at the lower P/E: 23.9× against 41.6×. Amkor Technology, Inc. grew revenue faster over the last twelve months: 17.9% against 7.77%. Applied Materials, Inc. has the higher net margin (30.1% vs 7.45%) and the higher return on invested capital (24.9% vs 8.64%). Both pay a dividend; Amkor Technology, Inc. yields more (1.16% vs 0.71%). Across the 22 metrics below, Applied Materials, Inc. leads on 12 and Amkor Technology, Inc. on 10.

Valuation

Metric AMAT AMKR Semiconductor Equipment & Materials median
P/E 41.56 23.93 54.39
P/S 12.49 1.78 6.08
P/B 15.03 2.84 4.89
Price to free cash flow 66.95 n/m 60.92
EV/EBITDA 39.55 9.99 39.95
EV/Sales 12.40 1.78 6.36
Earnings yield 2.41% 4.18% 1.14%
Free cash flow yield 1.49% (0.23%) 1.28%

Profitability

Metric AMAT AMKR Semiconductor Equipment & Materials median
Gross margin 49.40% 15.51% 43.95%
Operating margin 29.64% 8.64% 10.32%
Net margin 30.05% 7.45% 7.45%
Free cash flow margin 18.25% (0.42%) 6.77%
Return on equity 41.07% 12.46% 4.78%
Return on assets 23.84% 6.38% 3.62%
Return on invested capital 24.91% 8.64% 6.10%

Growth

Metric AMAT AMKR Semiconductor Equipment & Materials median
Revenue growth (TTM) 7.77% 17.93% 14.60%
EPS growth (last fiscal year) 0.58% 4.90% —
Revenue growth, 5-year CAGR 10.52% 5.84% 8.85%
Net income growth, 5-year CAGR 14.10% 2.03% 0.00%

Health

Metric AMAT AMKR Semiconductor Equipment & Materials median
Debt to equity 0.26 0.53 0.09
Current ratio 2.42 2.17 3.66
Net debt to EBITDA (0.23) (0.49) (0.49)

Dividend

Metric AMAT AMKR Semiconductor Equipment & Materials median
Dividend yield 0.71% 1.16% 0.85%
Payout ratio 0.15 0.12 0.00

Size

Metric AMAT AMKR Semiconductor Equipment & Materials median
Market cap 382.88b 13.32b 4.63b

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