Head to head · SEC data as of July 18, 2026

KLA vs Applied Materials: which has the stronger fundamentals?

KLA

94

Quality score · out of 100

Applied Materials

85

Quality score · out of 100

KLA comes in ahead: a quality score of 94 versus 85 for Applied Materials. KLA wins on net margin (35.7% vs 29.3%), ROE (80.1% vs 35.6%) and cash generation (FCF) (30.7% vs 18.4%). Applied Materials doesn't take a single major metric today.

The metrics, head to head

MetricKLAApplied Materials
Quality score (0-100)9485
Net margin35.7%29.3%
Gross margin49%
ROE80.1%35.6%
Net debt/EBITDA0.02×
FCF margin30.7%18.4%
Revenue growth (annualized)15.2%10%
Earnings growth (annualized)26.4%19.9%

TTM metrics with official SEC data, refreshed daily. Bold green marks the winner of each metric. A dash means the metric doesn't apply or isn't reliable.

What each one does

KLA. KLA makes the equipment that inspects and measures chips during manufacturing: it detects nanometer-scale defects so fabs don't waste wafers. The more advanced the chips, the more quality control is needed — and there KLA is the undisputed leader.

Applied Materials. Applied Materials is the world's largest maker of the machines that make chips. It sells the equipment that semiconductor fabs (like TSMC, Intel or Samsung) need to produce microchips. It's a critical 'picks and shovels' supplier to the whole industry.

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What this comparison doesn't tell you

The score measures business quality, not whether the stock is cheap or expensive: the better company can be the worse investment if you overpay. For the valuation verdict, enter each one's current price in the analyzer:

Analyze KLA →Analyze Applied Materials →

Frequently asked questions

Who has the stronger fundamentals today, KLA or Applied Materials?

By the StockSemáforo model (profitability, growth and financial strength, built on official SEC data), KLA scores higher: 94 versus 85 out of 100. The score is recomputed nightly with the latest filings.

Does that make KLA the better investment?

No. The score measures business quality, not valuation: an excellent company can trade at an excessive price and be a poor investment at that price. To find out whether it's cheap or expensive, enter its current quote in the StockSemáforo analyzer.

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