AMAT vs. IONQ: A Head-to-Head Stock Comparison

Updated on July 7, 2025

Here’s a clear look at AMAT and IONQ, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AMAT’s market capitalization of 153.32 billion USD is substantially larger than IONQ’s 11.61 billion USD, indicating a significant difference in their market valuations.

IONQ carries a higher beta at 2.59, indicating it’s more sensitive to market moves, while AMAT (beta: 1.66) exhibits greater stability.

Symbol	AMAT	IONQ
Company Name	Applied Materials, Inc.	IonQ, Inc.
Country	US	US
Sector	Technology	Technology
Industry	Semiconductors	Computer Hardware
CEO	Gary E. Dickerson	Niccolo Mcleod de Masi
Price	191.05 USD	44.39 USD
Market Cap	153.32 billion USD	11.61 billion USD
Beta	1.66	2.59
Exchange	NASDAQ	NYSE
IPO Date	March 17, 1980	January 4, 2021
ADR	No	No

Historical Performance

This chart compares the performance of AMAT and IONQ by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AMAT vs. IONQ: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AMAT

35.84%

Semiconductors Industry

Max: 41.84%
Q3: 15.81%
Median: 6.31%
Q1: -5.54%
Min: -30.12%

In the upper quartile for the Semiconductors industry, AMAT’s Return on Equity of 35.84% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

IONQ

-63.35%

Computer Hardware Industry

Max: 123.03%
Q3: 15.78%
Median: -13.44%
Q1: -119.16%
Min: -227.95%

IONQ has a negative Return on Equity of -63.35%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

AMAT vs. IONQ: A comparison of their ROE against their respective Semiconductors and Computer Hardware industry benchmarks.

Return on Invested Capital

AMAT

25.68%

Semiconductors Industry

Max: 30.91%
Q3: 11.34%
Median: 4.08%
Q1: -2.17%
Min: -19.59%

In the upper quartile for the Semiconductors industry, AMAT’s Return on Invested Capital of 25.68% signifies a highly effective use of its capital to generate profits when compared to its peers.

IONQ

-31.70%

Computer Hardware Industry

Max: 30.37%
Q3: 20.44%
Median: 7.03%
Q1: -12.47%
Min: -31.70%

IONQ has a negative Return on Invested Capital of -31.70%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

AMAT vs. IONQ: A comparison of their ROIC against their respective Semiconductors and Computer Hardware industry benchmarks.

Net Profit Margin

AMAT

24.06%

Semiconductors Industry

Max: 51.69%
Q3: 19.67%
Median: 8.56%
Q1: -5.44%
Min: -38.60%

A Net Profit Margin of 24.06% places AMAT in the upper quartile for the Semiconductors industry, signifying strong profitability and more effective cost management than most of its peers.

IONQ

-753.20%

Computer Hardware Industry

Max: 40.72%
Q3: 10.87%
Median: 4.33%
Q1: -378.64%
Min: -753.20%

IONQ has a negative Net Profit Margin of -753.20%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

AMAT vs. IONQ: A comparison of their Net Profit Margin against their respective Semiconductors and Computer Hardware industry benchmarks.

Operating Profit Margin

AMAT

29.66%

Semiconductors Industry

Max: 58.03%
Q3: 22.12%
Median: 8.40%
Q1: -3.73%
Min: -36.14%

An Operating Profit Margin of 29.66% places AMAT in the upper quartile for the Semiconductors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

IONQ

-592.84%

Computer Hardware Industry

Max: 42.27%
Q3: 13.53%
Median: 4.56%
Q1: -295.01%
Min: -592.84%

IONQ has a negative Operating Profit Margin of -592.84%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

AMAT vs. IONQ: A comparison of their Operating Margin against their respective Semiconductors and Computer Hardware industry benchmarks.

Profitability at a Glance

Symbol	AMAT	IONQ
Return on Equity (TTM)	35.84%	-63.35%
Return on Assets (TTM)	20.09%	-38.15%
Return on Invested Capital (TTM)	25.68%	-31.70%
Net Profit Margin (TTM)	24.06%	-753.20%
Operating Profit Margin (TTM)	29.66%	-592.84%
Gross Profit Margin (TTM)	48.14%	50.07%

Financial Strength

Current Ratio

AMAT

2.46

Semiconductors Industry

Max: 9.10
Q3: 5.23
Median: 3.09
Q1: 2.49
Min: 1.02

AMAT’s Current Ratio of 2.46 falls into the lower quartile for the Semiconductors industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

IONQ

13.17

Computer Hardware Industry

Max: 20.73
Q3: 11.54
Median: 2.69
Q1: 1.40
Min: 0.73

IONQ’s Current Ratio of 13.17 is in the upper quartile for the Computer Hardware industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

AMAT vs. IONQ: A comparison of their Current Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Debt-to-Equity Ratio

AMAT

0.33

Semiconductors Industry

Max: 0.97
Q3: 0.46
Median: 0.21
Q1: 0.05
Min: 0.00

AMAT’s Debt-to-Equity Ratio of 0.33 is typical for the Semiconductors industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

IONQ

0.02

Computer Hardware Industry

Max: 1.36
Q3: 0.67
Median: 0.04
Q1: 0.03
Min: 0.00

Falling into the lower quartile for the Computer Hardware industry, IONQ’s Debt-to-Equity Ratio of 0.02 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

AMAT vs. IONQ: A comparison of their D/E Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Interest Coverage Ratio

AMAT

31.92

Semiconductors Industry

Max: 36.25
Q3: 29.12
Median: 7.01
Q1: -1.22
Min: -18.18

AMAT’s Interest Coverage Ratio of 31.92 is in the upper quartile for the Semiconductors industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

IONQ

Computer Hardware Industry

Max: 32.50
Q3: 21.85
Median: 4.98
Q1: -7.71
Min: -34.24

Interest Coverage Ratio data for IONQ is currently unavailable.

AMAT vs. IONQ: A comparison of their Interest Coverage against their respective Semiconductors and Computer Hardware industry benchmarks.

Financial Strength at a Glance

Symbol	AMAT	IONQ
Current Ratio (TTM)	2.46	13.17
Quick Ratio (TTM)	1.76	12.67
Debt-to-Equity Ratio (TTM)	0.33	0.02
Debt-to-Asset Ratio (TTM)	0.19	0.02
Net Debt-to-EBITDA Ratio (TTM)	0.01	0.61
Interest Coverage Ratio (TTM)	31.92	--

Growth

The following charts compare key year-over-year (YoY) growth metrics for AMAT and IONQ. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AMAT vs. IONQ: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AMAT vs. IONQ: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AMAT vs. IONQ: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AMAT

0.87%

Semiconductors Industry

Max: 6.48%
Q3: 0.93%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

AMAT’s Dividend Yield of 0.87% is consistent with its peers in the Semiconductors industry, providing a dividend return that is standard for its sector.

IONQ

0.00%

Computer Hardware Industry

Max: 9.24%
Q3: 1.58%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

IONQ currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

AMAT vs. IONQ: A comparison of their Dividend Yield against their respective Semiconductors and Computer Hardware industry benchmarks.

Dividend Payout Ratio

AMAT

18.53%

Semiconductors Industry

Max: 204.29%
Q3: 31.85%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

AMAT’s Dividend Payout Ratio of 18.53% is within the typical range for the Semiconductors industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

IONQ

-0.01%

Computer Hardware Industry

Max: 193.79%
Q3: 30.72%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

IONQ has a negative Dividend Payout Ratio of -0.01%. This typically means the company paid a dividend despite reporting a net loss, a situation that may signal financial instability.

AMAT vs. IONQ: A comparison of their Payout Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Dividend at a Glance

Symbol	AMAT	IONQ
Dividend Yield (TTM)	0.87%	0.00%
Dividend Payout Ratio (TTM)	18.53%	-0.01%

Valuation

Price-to-Earnings Ratio

AMAT

22.93

Semiconductors Industry

Max: 86.15
Q3: 47.38
Median: 27.87
Q1: 18.89
Min: 4.73

AMAT’s P/E Ratio of 22.93 is within the middle range for the Semiconductors industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

IONQ

-31.31

Computer Hardware Industry

Max: 24.60
Q3: 24.01
Median: 20.31
Q1: 18.24
Min: 13.38

IONQ has a negative P/E Ratio of -31.31. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

AMAT vs. IONQ: A comparison of their P/E Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Forward P/E to Growth Ratio

AMAT

3.41

Semiconductors Industry

Max: 4.73
Q3: 2.80
Median: 1.11
Q1: 0.68
Min: 0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

IONQ

13.67

Computer Hardware Industry

Max: 9.77
Q3: 5.18
Median: 1.77
Q1: 1.17
Min: 0.02

The Forward PEG Ratio is often not a primary valuation metric in the Computer Hardware industry.

AMAT vs. IONQ: A comparison of their Forward PEG Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Price-to-Sales Ratio

AMAT

5.46

Semiconductors Industry

Max: 21.96
Q3: 10.21
Median: 4.45
Q1: 2.32
Min: 0.48

AMAT’s P/S Ratio of 5.46 aligns with the market consensus for the Semiconductors industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

IONQ

269.73

Computer Hardware Industry

Max: 57.61
Q3: 47.40
Median: 3.37
Q1: 1.56
Min: 0.43

With a P/S Ratio of 269.73, IONQ trades at a valuation that eclipses even the highest in the Computer Hardware industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AMAT vs. IONQ: A comparison of their P/S Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Price-to-Book Ratio

AMAT

8.17

Semiconductors Industry

Max: 13.12
Q3: 6.49
Median: 3.31
Q1: 1.74
Min: 0.23

AMAT’s P/B Ratio of 8.17 is in the upper tier for the Semiconductors industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

IONQ

13.27

Computer Hardware Industry

Max: 21.21
Q3: 14.71
Median: 9.28
Q1: 3.74
Min: 0.43

IONQ’s P/B Ratio of 13.27 is within the conventional range for the Computer Hardware industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

AMAT vs. IONQ: A comparison of their P/B Ratio against their respective Semiconductors and Computer Hardware industry benchmarks.

Valuation at a Glance

Symbol	AMAT	IONQ
Price-to-Earnings Ratio (P/E, TTM)	22.93	-31.31
Forward PEG Ratio (TTM)	3.41	13.67
Price-to-Sales Ratio (P/S, TTM)	5.46	269.73
Price-to-Book Ratio (P/B, TTM)	8.17	13.27
Price-to-Free Cash Flow Ratio (P/FCF, TTM)	25.83	-59.29
EV-to-EBITDA (TTM)	17.57	-49.02
EV-to-Sales (TTM)	5.46	266.43