As AEIS Surges 16% in a Week, AMAT’s Story Stands Out
Applied Materials (AMAT) offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Advanced Energy Industries (AEIS), suggesting you may be better off investing in AMAT
- AMAT’s Last 12 Months revenue growth was 6.0%, vs. AEIS’s 0.1%.
- In addition, its Last 3-Year Average revenue growth came in at 4.2%, ahead of AEIS’s 2.7%.
- AMAT leads on profitability over both periods – LTM margin of 29.7% and 3-year average of 29.3%.
AEIS designs and supplies precision power conversion, control solutions, plasma power supplies, and thermal instrumentation for applications in rapid thermal processing, chemical vapor deposition, and crystal growth. AMAT provides manufacturing equipment, services, and software for semiconductor chip fabrication and display technologies, including LCDs, OLEDs, and other devices used in TVs, monitors, and electronics.
Valuation & Performance Overview
| AEIS | AMAT | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 62.5 | 18.5 | AMAT |
| Revenue Growth | |||
| Last Quarter | 23.5% | 6.8% | AEIS |
| Last 12 Months | 0.1% | 6.0% | AMAT |
| Last 3 Year Average | 2.7% | 4.2% | AMAT |
| Operating Margins | |||
| Last 12 Months | 6.3% | 29.7% | AMAT |
| Last 3 Year Average | 8.4% | 29.3% | AMAT |
| Momentum | |||
| Last 3 Year Return | 73.1% | 76.9% | AMAT |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: AEIS Revenue Comparison | AMAT Revenue Comparison
See more margin details: AEIS Operating Income Comparison | AMAT Operating Income Comparison
But do these numbers tell the full story? Read Buy or Sell AMAT Stock to see if Applied Materials’s edge holds up under the hood or if Advanced Energy Industries still has cards to play (see Buy or Sell AEIS Stock).
That is one way to look at stocks. Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risk while giving upside exposure
Historical Market Performance
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| AEIS Return | 36% | -6% | -5% | 27% | 7% | 38% | 116% | ||
| AMAT Return | 43% | 84% | -38% | 68% | 1% | 16% | 219% | <=== | |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 10% | 98% | ||
| Monthly Win Rates [3] | |||||||||
| AEIS Win Rate | 67% | 58% | 50% | 67% | 58% | 71% | 62% | ||
| AMAT Win Rate | 58% | 67% | 33% | 75% | 50% | 57% | 57% | ||
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 57% | 62% | <=== | |
| Max Drawdowns [4] | |||||||||
| AEIS Max Drawdown | -50% | -14% | -24% | -2% | -18% | -32% | -23% | ||
| AMAT Max Drawdown | -38% | 0% | -52% | -1% | -8% | -22% | -20% | ||
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | -12% | <=== | |
[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year till date (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read AMAT Dip Buyer Analyses and AEIS Dip Buyer Analyses to see how these stocks have fallen and recovered in the past.