AMAT vs. KLAC: Applied Materials vs. KLA Stock Comparison

November 11, 2026

How do Applied Materials (AMAT) and KLA (KLAC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Applied Materials (AMAT) and KLA (KLAC) are both classified in the Semiconductor Materials & Equipment sub-industry within the broader Semiconductors & Semiconductor Equipment industry, placing them in the closest GICS peer bucket.

Company profile comparison for Applied Materials (AMAT) and KLA (KLAC)
Profile Item	AMAT	KLAC
Name	Applied Materials Inc.	KLA Corporation
Country/Region	United States	United States
GICS Sector	Information Technology	Information Technology
GICS Industry Group	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Industry	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Sub-Industry	Semiconductor Materials & Equipment	Semiconductor Materials & Equipment
Market Capitalization	264.04 billion USD	180.45 billion USD
Currency	USD	USD
Exchange	Nasdaq	Nasdaq
Listing Date	March 17, 1980	October 8, 1980
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

AMAT

KLAC

GSPC

Applied Materials (AMAT) vs. KLA (KLAC), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Applied Materials (AMAT) and KLA (KLAC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Applied Materials (AMAT) and KLA (KLAC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
Total Return (1Y)	62.12%	26.92%
Total Return (3Y, Annualized)	38.42%	44.97%
Total Return (5Y, Annualized)	19.86%	30.55%

Risk Profile

Drawdown History

AMAT

KLAC

GSPC

Applied Materials (AMAT) vs. KLA (KLAC), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Applied Materials (AMAT) and KLA (KLAC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
Volatility (1Y, Annualized)	63.72%	63.92%
Beta (5Y)	1.68	1.51
Max Drawdown (5Y)	-55.80%	-56.93%
Avg. Volume (3M)	7.16M	10.66M

Risk-Adjusted Performance

Risk-Return Positioning

AMAT and KLAC are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
Sharpe Ratio (1Y)	0.91	0.35
Sortino Ratio (1Y)	1.35	0.50

Profitability

ROE (TTM)

Both companies show strong equity returns, but KLA (KLAC) at 91.38% is the standout with ROE above its industry range; Applied Materials (AMAT) at 41.07% also sits in the top quartile.

AMAT

Semiconductors & Semiconductor Equipment industry group

41.07%

Max: 52.82%
AMAT: 41.07%
Q3: 22.26%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

KLAC

Semiconductors & Semiconductor Equipment industry group

91.38%

KLAC: 91.38%
Max: 52.82%
Q3: 22.26%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their ROE against the Semiconductors & Semiconductor Equipment industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Applied Materials (AMAT) at 30.05% and KLA (KLAC) at 36.25% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

AMAT

Semiconductors & Semiconductor Equipment industry group

30.05%

Max: 63.80%
AMAT: 30.05%
Q3: 28.36%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

KLAC

Semiconductors & Semiconductor Equipment industry group

36.25%

Max: 63.80%
KLAC: 36.25%
Q3: 28.36%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their net margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Operating Margin (TTM)

Both Applied Materials (AMAT) at 33.74% and KLA (KLAC) at 45.01% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

AMAT

Semiconductors & Semiconductor Equipment industry group

33.74%

Max: 58.66%
AMAT: 33.74%
Q3: 30.23%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

KLAC

Semiconductors & Semiconductor Equipment industry group

45.01%

Max: 58.66%
KLAC: 45.01%
Q3: 30.23%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their operating margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Profitability Metrics

Profitability metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
ROE (TTM)	41.07%	91.38%
ROA (TTM)	15.48%	22.27%
Net Margin (TTM)	30.05%	36.25%
Operating Margin (TTM)	33.74%	45.01%
Gross Margin (TTM)	49.40%	61.47%

Growth

Revenue Growth

Both Applied Materials (AMAT) at 4.39% and KLA (KLAC) at 11.71% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Applied Materials (AMAT) at 0.58% and KLA (KLAC) at 20.51% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
Revenue Growth (YoY)	4.39%	11.71%
Revenue Growth (3Y CAGR)	3.23%	8.96%
EPS Growth (YoY)	0.58%	20.51%
EPS Growth (3Y CAGR)	5.19%	14.87%

Financial Strength

Current Ratio (MRQ)

Both Applied Materials (AMAT) at 2.42 and KLA (KLAC) at 2.76 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

AMAT

Semiconductors & Semiconductor Equipment industry group

2.42

Max: 10.33
Q3: 5.62
Median: 3.33
AMAT: 2.42
Q1: 2.35
Min: 1.03

KLAC

Semiconductors & Semiconductor Equipment industry group

2.76

Max: 10.33
Q3: 5.62
Median: 3.33
KLAC: 2.76
Q1: 2.35
Min: 1.03

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their current ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Debt / Equity (MRQ)

Applied Materials (AMAT) at 0.29 carries an industry-typical debt-to-equity mix, while KLA (KLAC) at 0.92 uses more debt funding than most peers.

AMAT

Semiconductors & Semiconductor Equipment industry group

0.29

Max: 1.46
Q3: 0.65
AMAT: 0.29
Median: 0.27
Q1: 0.04
Min: 0.00

KLAC

Semiconductors & Semiconductor Equipment industry group

0.92

Max: 1.46
KLAC: 0.92
Q3: 0.65
Median: 0.27
Q1: 0.04
Min: 0.00

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their debt-to-equity ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
Current Ratio (MRQ)	2.42	2.76
Debt / Equity (MRQ)	0.29	0.92
Net Debt / EBITDA	-0.19	0.19

Dividends

Dividend Yield (TTM)

Both Applied Materials (AMAT) at 0.62% and KLA (KLAC) at 0.65% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.

AMAT

Semiconductors & Semiconductor Equipment industry group

0.62%

Max: 1.37%
Q3: 0.65%
AMAT: 0.62%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

KLAC

Semiconductors & Semiconductor Equipment industry group

0.65%

Max: 1.37%
Q3: 0.65%
KLAC: 0.65%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their dividend yield against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Payout Ratio (TTM)

Both Applied Materials (AMAT) at 16.48% and KLA (KLAC) at 21.03% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.

AMAT

Semiconductors & Semiconductor Equipment industry group

16.48%

Max: 49.64%
Q3: 21.71%
AMAT: 16.48%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

KLAC

Semiconductors & Semiconductor Equipment industry group

21.03%

Max: 49.64%
Q3: 21.71%
KLAC: 21.03%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their payout ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Metrics

Dividend metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
Dividend Yield (TTM)	0.62%	0.65%
Dividend Payout Ratio (TTM)	16.48%	21.03%

Valuation

P/E Ratio (TTM)

Both Applied Materials (AMAT) at 28.71 and KLA (KLAC) at 34.71 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

AMAT

Semiconductors & Semiconductor Equipment industry group

28.71

Max: 110.34
Q3: 66.81
Median: 37.02
AMAT: 28.71
Q1: 23.96
Min: 8.12

KLAC

Semiconductors & Semiconductor Equipment industry group

34.71

Max: 110.34
Q3: 66.81
Median: 37.02
KLAC: 34.71
Q1: 23.96
Min: 8.12

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their P/E ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/S Ratio (TTM)

Applied Materials (AMAT) at 8.56 is priced about in line with its industry on P/S ratio, while KLA (KLAC) at 12.44 sits in the pricier quartile — KLAC costs more per dollar of sales.

AMAT

Semiconductors & Semiconductor Equipment industry group

8.56

Max: 21.42
Q3: 12.27
AMAT: 8.56
Median: 5.76
Q1: 2.73
Min: 0.00

KLAC

Semiconductors & Semiconductor Equipment industry group

12.44

Max: 21.42
KLAC: 12.44
Q3: 12.27
Median: 5.76
Q1: 2.73
Min: 0.00

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their P/S ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Applied Materials (AMAT) at 10.30 sits in the upper P/B ratio quartile, and KLA (KLAC) at 27.67 prices even higher, above its industry range.

AMAT

Semiconductors & Semiconductor Equipment industry group

10.30

Max: 14.06
AMAT: 10.30
Q3: 7.44
Median: 4.29
Q1: 2.30
Min: 0.20

KLAC

Semiconductors & Semiconductor Equipment industry group

27.67

KLAC: 27.67
Max: 14.06
Q3: 7.44
Median: 4.29
Q1: 2.30
Min: 0.20

Applied Materials (AMAT) vs. KLA (KLAC): A comparison of their P/B ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Valuation Metrics

Valuation metrics for Applied Materials (AMAT) and KLA (KLAC)
Metric	AMAT	KLAC
P/E Ratio (TTM)	28.71	34.71
P/S Ratio (TTM)	8.56	12.44
P/B Ratio (MRQ)	10.30	27.67
Free Cash Flow Yield (TTM)	1.16%	1.56%