Applied Materials

Semiconductors provide the foundation for advances in technology that are reshaping the global economy, including artificial intelligence, the internet of things, robotics, electric and autonomous vehicles, and clean energy.

10-K, Dec 12, 2025

Voices · third-party opinions, not SEC data

Not investment advice. They could be wrong or outdated. See the original source and date; the view may have changed.

What do investors say about Applied Materials?

Michael BurryInvestorAug 4, 2026Skeptical

Our summary: In a Substack post Burry said a major market top and possibly a 1987-type fall are possible, and that he still holds short positions including Applied Materials.

“I continue to believe it is possible we are near a major top”

Substack post, via CNBC ›

Details ⓘ

Speaker: Michael Burry, Cassandra Unchained
Role: Investor
Source: CNBC
Format: Newsletter
Date: Aug 4, 2026
Checked: Oct 15, 2026

Voice details · not SEC data. As stated on Aug 4, 2026; the view may have changed.

Philippe LaffontInvestorJun 23, 2026Invests

Our summary: Laffont said Coatue prefers owning semiconductor-equipment suppliers because every AI chip, whether from Nvidia, Amazon or Google, needs the same fab machines, so he need not pick the winner.

“That's sort of the reasons why we own the semi caps”

CNBC article ›

Details ⓘ

Speaker: Philippe Laffont, Coatue Management
Role: Investor
Source: CNBC
Format: News article
Date: Jun 23, 2026
Checked: Oct 15, 2026

Voice details · not SEC data. As stated on Jun 23, 2026; the view may have changed.

All 2 Voices on Applied Materials ›

Business

How does Applied Materials make money?

Semiconductor Systems is 73.3% of revenue.

Semiconductor Systems73.3%

Applied Global Services22.5%

Display3.7%

What is left of every $100?

Of every $100 in revenue, $25 is net income.

Revenue$100

Gross profit$49

Operating income$29

Net income$25

Free cash flow$20

Where do customers sit?

The region figures in the latest annual report overlap (regions and countries mixed) and do not add up to total revenue, so no chart is shown (nothing estimated).

In the company’s words ›

“We are experts in the design, development, production, and servicing of the critical wafer fabrication tools our customers need to manufacture semiconductors.”

“Our customers’ products are used across personal computing devices, mobile phones, artificial intelligence (AI) and data center servers, automobiles, connected devices, industrial applications and consumer electronics.”

“We are well positioned to address the increasing complexity in manufacturing semiconductors, by leveraging the semiconductor capital equipment industry’s most comprehensive portfolio of products to connect and co-optimize our technologies.”

Item 1 · Business · 10-K · 0001628280-25-056742 · filed Dec 12, 2025

Where did the growth actually come from?

Semiconductor Systems drove 79% of growth.

Revenue FY2016$10.8B

Semiconductor Systems+$13.9B

Applied Global Services+$3.8B

Display−$146M

Revenue FY2025$28.4B

Thesis

Why do people invest?

1 reason in the company’s own words.

Position (in the company’s words)

“Through October 26, 2025, our AGS segment also manufactured and sold 200 millimeter (200mm) and other equipment to customers globally that serve non-leading-edge markets.”
Item 1 · Business · 10-K · 0001628280-25-056742 · filed Dec 12, 2025

Dependencies

How much revenue hangs on one customer?

One Applied Materials customer: $5.4B.

Customer A$5.4B

Customer B$4.3B

Customers, suppliers, stakes and mentions ›

Only what filings state. Anonymous customers stay anonymous.

Largest customers (Applied Materials annual report)

Customer A19% not named · FY2025 · share of total revenue

Customer B15% not named · FY2025 · share of total revenue

“During fiscal 2025, two customers accounted for approximately 19% and 15%, respectively, of our net revenue.”

10-K · 0001628280-25-056742 · filed Dec 12, 2025 · basis: filing text, verified verbatim

Suppliers named by Applied Materials

No supplier among the covered companies is named in the filings.

Applied Materials holds stakes in

No stake in a covered company found in SEC filings.

Others name Applied Materials

3 competitor mentions (e.g. ASML, KLA, Lam Research) · 1 customer mention (e.g. Celestica) in covered companies’ filings. Mentions, not confirmed relationships.

Risks

What could go wrong?

4 of 28 risk factors, one per theme.

Customer concentration
“We are exposed to risks associated with a highly concentrated customer base.”
Item 1A · Risk Factors · 10-K · 0001628280-25-056742 · filed Dec 12, 2025
Supply chain and manufacturing
“Supply chain disruptions, manufacturing interruptions or delays, or the failure to accurately forecast customer demand, could affect our ability to meet customer demand, lead to higher costs, or result in excess or obsolete inventory.”
Item 1A · Risk Factors · 10-K · 0001628280-25-056742 · filed Dec 12, 2025
Competition
“Global trade issues and changes in and uncertainties with respect to trade policies and export regulations, including import and export license requirements, trade sanctions, tariffs and international trade disputes, have adversely impacted and could further adversely impact our business and operations, and reduce the competitiveness of our products and services relative to local and global competitors.”
Item 1A · Risk Factors · 10-K · 0001628280-25-056742 · filed Dec 12, 2025
Trade, government policy and geopolitics
“We are exposed to risks and uncertainty related to changes in trade policies, and increased tariffs and trade disputes.”
Item 1A · Risk Factors · 10-K · 0001628280-25-056742 · filed Dec 12, 2025

Who’s invested

Who owns more than 5%?

Vanguard Capital Management LLC holds 7.49%.

Vanguard Capital Management LLC7.49%
13G · as of Mar 31, 2026 · filed Apr 29, 2026
BlackRock Inc.9.2% (then)
13G/A · filed Feb 2, 2024 · older than 18 months, current position unknown

13F holders and insider trades ›

Largest institutional holders, 13F, quarter ending Jun 30, 2026

BlackRock, Inc.12.1%
80.2M shares · 13F filed Aug 7, 2026 · share of 13F-reported
Vanguard Capital Management LLC7.8%
51.8M shares · 13F filed Aug 13, 2026 · share of 13F-reported
State Street Corp5.8%
38.2M shares · 13F filed Aug 7, 2026 · share of 13F-reported
Invesco Ltd.4.3%
28.3M shares · 13F filed Aug 14, 2026 · share of 13F-reported
Capital Research Global Investors3.3%
22.2M shares · 13F filed Aug 12, 2026 · share of 13F-reported

3,497 13F filers report positions. 13F covers managers with over $100M in US equities; it is not a full shareholder list, and shares are not a percentage of shares outstanding. 1 large filing with inconsistent reported value per share left out.

Insiders, last 12 months (Form 4, open market)

0 purchases · 45 sales · $181M sold

Grants, gifts and tax withholding counted separately · window Oct 13, 2025 – Oct 13, 2026

All metrics

All metrics · 39 SEC metrics, FY2016–FY2025

Income statement 12

Metric	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025
Cost of revenue

D&A

G&A

Gross profit

Income taxes

Interest expense

Net income

Operating income

Research and development

Revenue

SG&A

Sales & marketing

Balance sheet 9

Metric	FY2021	FY2022
Cash and equivalents

Current liabilities

Current portion of long-term debt	not reported	not reported

Equity

Equity incl. NCI

Long-term debt

Total assets

Total debt calc.

Total liabilities & equity

Cash flow 7

Metric	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025
Buybacks

Capex

Dividends

Free cash flow calc.

Interest paid

Operating cash flow

Stock-based compensation

Per share & shares 4

Metric	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025
EPS basic

EPS diluted

Wtd. shares basic

Wtd. shares diluted

Segments 3

Metric	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025
Revenue Applied Global Services

Revenue Display

Revenue Semiconductor Systems

Other 4

Metric	FY2017	FY2020	FY2021
Other income (incl. interest) calc.

Pretax income

Short-term borrowings / commercial paper	not reported	not reported	not reported

Total liabilities

Applied Materials

Source and method

What do investors say about Applied Materials?

Business

Semiconductor Systems is 73.3% of revenue. i

Source and method

Of every $100 in revenue, $25 is net income. i

Source and method

The region figures in the latest annual report overlap (regions and countries mixed) and do not add up to total revenue, so no chart is shown (nothing estimated).

Semiconductor Systems drove 79% of growth.

Thesis

1 reason in the company’s own words. i

Source and method

KPIs

Revenue grew 4.4% to $28.4B.

Revenue grew 25% YoY to $9.1B.

Per share, revenue grew 19.4%.

29.2% operating margin, up from 28.9%.

48.7% gross margin, up from 47.5%.

Operating income grew 5.4% to $8.3B.

Net income fell 2.5% to $7.0B.

R&D grew 10% to $3.6B.

SG&A fell 1.6% to $1.8B.

EPS diluted grew 0.6% to $8.66.

33.7% operating margin, up from 30.6%.

50.3% gross margin, up from 48.8%.

Operating income grew 38% YoY to $3.1B.

Net income grew 43% YoY to $2.5B.

R&D grew 22% YoY to $1.1B.

SG&A fell 4.0% YoY to $411M.

EPS diluted grew 43% YoY to $3.17.

Keeps $20 of every $100 as free cash.

Operating cash flow fell 8.3% to $8.0B.

Capex grew 90% to $2.3B.

Buybacks grew 28% to $4.9B.

Dividends grew 16% to $1.4B.

Stock-based compensation grew 16% to $668M.

Free cash flow grew 14% YoY to $2.3B.

Operating cash flow grew 15% YoY to $3.0B.

Capex grew 21% YoY to $707M.

Buybacks fell 58% YoY to $440M.

Dividends grew 14% YoY to $420M.

Stock-based compensation grew 7.0% YoY to $169M.

$7.2B cash vs $6.6B debt.

Total debt fell 5.8% to $6.6B.

Interest expense grew 8.9% to $269M.

Total assets grew 5.5% to $36.3B.

Equity grew 7.4% to $20.4B.

Cash grew 31% YoY to $7.0B.

Total debt grew 11% YoY to $7.7B.

Interest expense grew 3.0% YoY to $68.0M.

Total assets grew 27% YoY to $43.5B.

Equity grew 31% YoY to $25.6B.

Semiconductor Systems revenue grew 4.5%.

Applied Global Services revenue grew 2.6%.

Semiconductor Systems revenue fell 8.1% YoY.

Applied Global Services revenue fell 0.9% YoY.

Dependencies

One Applied Materials customer: $5.4B.

Risks

4 of 28 risk factors, one per theme. i

Source and method

Who’s invested

Vanguard Capital Management LLC holds 7.49%. i

Source and method

All metrics

Method

Semiconductor Systems is 73.3% of revenue.

Of every $100 in revenue, $25 is net income.

1 reason in the company’s own words.

4 of 28 risk factors, one per theme.

Vanguard Capital Management LLC holds 7.49%.