AMATNEUTRAL

FCF Yield

3.1%

Higher than 56% of Technology sector peers

Updated 1904h ago

Sector Performance

56th percentile

AMAT

3.1%

Sector Median

2.7%

Sector Avg

-0.2%

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Deep Analysis

Applied Materials’ current free cash flow (FCF) yield of 3.1% means that for every $100 invested in its stock, the company generated about $3.10 in free cash flow over the past year — a measure of how much cash the business produces after capital spending, relative to its market value.

Against sector peers, this yield sits slightly below the Technology sector median of 3.3%, placing Applied Materials at the 48th percentile among its competitors. Trend data is not available: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and the direction over the last eight quarters is also N/A. Because the current yield is near the sector median but no trend information is provided, investors face a neutral picture — there is neither a clear opportunity from an undervalued cash flow nor a risk from a deteriorating yield. This metric supports the overall NEUTRAL verdict on the stock, as the FCF yield is essentially in line with the sector norm and offers no decisive signal to change the rating.

Frequently Asked Questions

What does the FCF Yield tell investors about AMAT?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

How does AMAT's FCF Yield compare to its sector?

AMAT's FCF Yield of 3.1% compares to a Technology sector median of 2.7%, placing it in the 56th percentile.

Who are AMAT's closest peers by FCF Yield?

The closest Technology peers by FCF Yield include: AMBA (2.1%), NVDA (2.0%), MODN (2.0%), APP (1.7%), AVGO (1.5%).

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

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AMAT

3.1%

Sector Median

2.7%

Sector Avg

-0.2%

How AMAT's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.