AMAT vs. ERIC: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AMAT and ERIC, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
AMAT dominates in value with a market cap of 131.76 billion USD, eclipsing ERIC’s 29.42 billion USD by roughly 4.48×.
AMAT’s beta of 1.71 points to much larger expected swings compared to ERIC’s calmer 0.44, suggesting both higher upside and downside potential.
ERIC is an ADR, letting U.S. buyers tap its non-U.S. business directly, unlike AMAT, which is purely domestic.
| Symbol | AMAT | ERIC |
|---|---|---|
| Company Name | Applied Materials, Inc. | Telefonaktiebolaget LM Ericsson (publ) |
| Country | US | SE |
| Sector | Technology | Technology |
| Industry | Semiconductors | Communication Equipment |
| CEO | Mr. Gary E. Dickerson | Mr. Anthony F. Bartolo |
| Price | 162.18 USD | 8.86 USD |
| Market Cap | 131.76 billion USD | 29.42 billion USD |
| Beta | 1.71 | 0.44 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | March 17, 1980 | August 24, 1981 |
| ADR | No | Yes |
Performance Comparison
This chart compares the performance of AMAT and ERIC over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of AMAT and ERIC based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- ERIC features a high P/E of 175.26, indicating strong growth expectations, compared to AMAT at 19.46, which trades at a more standard valuation based on its current earnings.
- ERIC shows a negative forward PEG of -63.14, signaling expected earnings contraction, while AMAT at 2.87 maintains analysts’ projections for stable or improved profits.
| Symbol | AMAT | ERIC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 19.46 | 175.26 |
| Forward PEG Ratio (TTM) | 2.87 | -63.14 |
| Price-to-Sales Ratio (P/S, TTM) | 4.69 | 1.13 |
| Price-to-Book Ratio (P/B, TTM) | 6.94 | 3.28 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 22.20 | 6.70 |
| EV-to-EBITDA (TTM) | 15.04 | 6.10 |
| EV-to-Sales (TTM) | 4.69 | 1.12 |
| EV-to-Free Cash Flow (TTM) | 22.22 | 6.64 |
Dividend Comparison
ERIC stands out with a 3.28% dividend yield—around 233% above AMAT’s 0.99%—highlighting its emphasis on generous payouts.
| Symbol | AMAT | ERIC |
|---|---|---|
| Dividend Yield (TTM) | 0.99% | 3.28% |
Financial Strength Metrics Comparison
Explore the financial strength details for AMAT and ERIC in the table below.
| Symbol | AMAT | ERIC |
|---|---|---|
| Current Ratio (TTM) | 2.46 | 1.09 |
| Quick Ratio (TTM) | 1.76 | 0.88 |
| Debt-to-Equity Ratio (TTM) | 0.33 | 0.49 |
| Debt-to-Assets Ratio (TTM) | 0.19 | 0.15 |
| Interest Coverage Ratio (TTM) | 31.92 | 6.76 |