AMAT vs. MCHP: Applied Materials vs. Microchip Stock Comparison

November 11, 2026

How do Applied Materials (AMAT) and Microchip (MCHP) 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 Microchip (MCHP) both belong to the Semiconductors & Semiconductor Equipment industry, though AMAT is classified under Semiconductor Materials & Equipment while MCHP falls under Semiconductors.

Company profile comparison for Applied Materials (AMAT) and Microchip (MCHP)
Profile Item	AMAT	MCHP
Name	Applied Materials Inc.	Microchip Technology Inc.
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	Semiconductors
Market Capitalization	264.04 billion USD	31.76 billion USD
Currency	USD	USD
Exchange	Nasdaq	Nasdaq
Listing Date	March 17, 1980	March 19, 1993
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

AMAT

MCHP

GSPC

Applied Materials (AMAT) vs. Microchip (MCHP), 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 Microchip (MCHP). Returns over one year are annualized.

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for Applied Materials (AMAT) and Microchip (MCHP)
Metric	AMAT	MCHP
Total Return (1Y)	62.12%	11.53%
Total Return (3Y, Annualized)	38.42%	-3.63%
Total Return (5Y, Annualized)	19.86%	-3.83%

Risk Profile

Drawdown History

AMAT

MCHP

GSPC

Applied Materials (AMAT) vs. Microchip (MCHP), 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 Microchip (MCHP). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Applied Materials (AMAT) and Microchip (MCHP)
Metric	AMAT	MCHP
Volatility (1Y, Annualized)	63.72%	52.96%
Beta (5Y)	1.68	1.91
Max Drawdown (5Y)	-55.80%	-63.77%
Avg. Volume (3M)	7.16M	10.34M

Risk-Adjusted Performance

Risk-Return Positioning

AMAT and MCHP 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 Microchip (MCHP)
Metric	AMAT	MCHP
Sharpe Ratio (1Y)	0.91	0.14
Sortino Ratio (1Y)	1.35	0.21

Profitability

ROE (TTM)

Applied Materials (AMAT) at 41.07% sits in the top ROE quartile, while Microchip (MCHP) at 12.57% is closer to the peer norm — stronger capital efficiency for AMAT.

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%

MCHP

Semiconductors & Semiconductor Equipment industry group

12.57%

Max: 52.82%
Q3: 22.26%
MCHP: 12.57%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

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

Net Margin (TTM)

Applied Materials (AMAT) at 30.05% retains a top-quartile share of revenue as profit, ahead of Microchip (MCHP) at 14.96%, which keeps about the industry-typical share.

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%

MCHP

Semiconductors & Semiconductor Equipment industry group

14.96%

Max: 63.80%
Q3: 28.36%
MCHP: 14.96%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

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

Operating Margin (TTM)

Applied Materials (AMAT) at 33.74% operates in the top operating margin quartile, ahead of Microchip (MCHP) at 29.13%, which runs around its industry’s norm.

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%

MCHP

Semiconductors & Semiconductor Equipment industry group

29.13%

Max: 58.66%
Q3: 30.23%
MCHP: 29.13%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

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

Profitability Metrics

Profitability metrics for Applied Materials (AMAT) and Microchip (MCHP)
Metric	AMAT	MCHP
ROE (TTM)	41.07%	12.57%
ROA (TTM)	15.48%	5.19%
Net Margin (TTM)	30.05%	14.96%
Operating Margin (TTM)	33.74%	29.13%
Gross Margin (TTM)	49.40%	62.70%

Growth

Revenue Growth

Both Applied Materials (AMAT) at 4.39% and Microchip (MCHP) at 7.08% 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. Microchip (MCHP): A comparison of their Revenue Growth across different time periods.

EPS Growth

Only one side can be read here: Applied Materials (AMAT) reports EPS growth of 0.58%, ranked against its industry; Microchip (MCHP) has no EPS growth figure this period.

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

Growth Metrics

Growth metrics for Applied Materials (AMAT) and Microchip (MCHP)
Metric	AMAT	MCHP
Revenue Growth (YoY)	4.39%	7.08%
Revenue Growth (3Y CAGR)	3.23%	-17.65%
EPS Growth (YoY)	0.58%	--
EPS Growth (3Y CAGR)	5.19%	-62.03%

Financial Strength

Current Ratio (MRQ)

Applied Materials (AMAT) at 2.42 keeps current ratio within its industry’s typical mid-range, while Microchip (MCHP) at 2.24 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for MCHP.

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

MCHP

Semiconductors & Semiconductor Equipment industry group

2.24

Max: 10.33
Q3: 5.62
Median: 3.33
Q1: 2.35
MCHP: 2.24
Min: 1.03

Applied Materials (AMAT) vs. Microchip (MCHP): 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 Microchip (MCHP) at 0.84 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

MCHP

Semiconductors & Semiconductor Equipment industry group

0.84

Max: 1.46
MCHP: 0.84
Q3: 0.65
Median: 0.27
Q1: 0.04
Min: 0.00

Applied Materials (AMAT) vs. Microchip (MCHP): 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 Microchip (MCHP)
Metric	AMAT	MCHP
Current Ratio (MRQ)	2.42	2.24
Debt / Equity (MRQ)	0.29	0.84
Net Debt / EBITDA	-0.19	2.73

Dividends

Dividend Yield (TTM)

Applied Materials (AMAT) at 0.62% pays an industry-typical yield; Microchip (MCHP) at 2.81% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.

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%

MCHP

Semiconductors & Semiconductor Equipment industry group

2.81%

MCHP: 2.81%
Max: 1.37%
Q3: 0.65%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

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

Dividend Payout Ratio (TTM)

Microchip (MCHP) reports payout ratio above 100% at 136.84%, meaning dividends exceeded current-period earnings and sustainability needs extra context. Meanwhile Applied Materials (AMAT) reports 16.48%, ranking against industry peers normally.

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%

MCHP

Semiconductors & Semiconductor Equipment industry group

136.84%

MCHP: 136.84%
Max: 49.64%
Q3: 21.71%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

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

Dividend Metrics

Dividend metrics for Applied Materials (AMAT) and Microchip (MCHP)
Metric	AMAT	MCHP
Dividend Yield (TTM)	0.62%	2.81%
Dividend Payout Ratio (TTM)	16.48%	136.84%

Valuation

P/E Ratio (TTM)

Both Applied Materials (AMAT) at 28.71 and Microchip (MCHP) at 43.87 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

MCHP

Semiconductors & Semiconductor Equipment industry group

43.87

Max: 110.34
Q3: 66.81
MCHP: 43.87
Median: 37.02
Q1: 23.96
Min: 8.12

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

P/S Ratio (TTM)

On P/S ratio, both Applied Materials (AMAT) at 8.56 and Microchip (MCHP) at 5.67 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

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

MCHP

Semiconductors & Semiconductor Equipment industry group

5.67

Max: 21.42
Q3: 12.27
Median: 5.76
MCHP: 5.67
Q1: 2.73
Min: 0.00

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

P/B Ratio (MRQ)

Microchip (MCHP) at 4.78 is valued about in line with its industry on P/B ratio, while Applied Materials (AMAT) at 10.30 carries an above-peer premium to book — AMAT is pricier on assets.

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

MCHP

Semiconductors & Semiconductor Equipment industry group

4.78

Max: 14.06
Q3: 7.44
MCHP: 4.78
Median: 4.29
Q1: 2.30
Min: 0.20

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

Valuation Metrics

Valuation metrics for Applied Materials (AMAT) and Microchip (MCHP)
Metric	AMAT	MCHP
P/E Ratio (TTM)	28.71	43.87
P/S Ratio (TTM)	8.56	5.67
P/B Ratio (MRQ)	10.30	4.78
Free Cash Flow Yield (TTM)	1.16%	4.85%