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AMAT vs ASX
Which Stock Would AI Choose? Applied Materials (AMAT) vs. ASE Technology Holding (ASX) Stock Comparison
Key Takeaways
- Different links in the AI supply chain: AMAT supplies wafer fabrication equipment (WFE) used to make chips, while ASX provides outsourced semiconductor assembly and test (OSAT) services, including advanced packaging.
- Both benefit from AI demand, at different stages: AMAT sees strong demand for deposition, etch, and inspection tools, while ASX rides accelerating demand for leading-edge advanced packaging (LEAP) and testing services.
- Momentum has favored ASX recently: ASE Technology has posted sharper share-price gains over recent months, outpacing the broader semiconductor equipment segment.
- Profitability profile differs: AMAT generates higher gross margins (above 50%) typical of equipment leaders, while ASX operates a lower-margin, higher-volume packaging and test model that is expanding margins on richer LEAP mix.
- Different risk profiles: AMAT faces cyclical equipment-order sensitivity and AI-spending concerns, while ASX carries execution risk tied to a large, rapid capacity-expansion program.
- Valuation expectations diverge: ASX trades at a premium forward earnings multiple reflecting high growth expectations, while AMAT sits at a relatively lower multiple despite record results.
- For more detail on each company, explore AMAT Major News and AMAT Today's Price Move, as well as ASX Major News and ASX Today's Price Move.
- To see how AI evaluates opportunities like these in real time, explore Trending AI Robots.
Introduction
Applied Materials and ASE Technology Holding are two influential names in the semiconductor ecosystem, yet they occupy very different roles. This stock comparison is relevant for investors and traders seeking to understand how a leading chip-equipment maker and a leading outsourced assembly and test provider perform against the same underlying driver: surging artificial intelligence (AI) infrastructure demand. Both companies have delivered record results in recent quarters, but their relative performance, margin structures, and risk profiles have diverged. Examining their market positioning side by side can help readers assess which business model aligns more closely with their own view of the AI cycle and its durability.
AMAT Overview and Recent Performance
AMAT, or Applied Materials, is a global leader in materials engineering solutions that underpin virtually every advanced semiconductor and display. The company sells wafer fabrication equipment (WFE) spanning deposition, etch, and increasingly process control and inspection tools. In recent quarters, AMAT has reported record revenue and non-GAAP earnings per share (EPS), driven by strong demand across leading-edge foundry-logic, DRAM (dynamic random-access memory), and advanced packaging. Management has repeatedly raised its revenue-growth outlook, citing unusually high customer visibility.
Despite strong fundamentals, AMAT's share price has been volatile in recent market activity. Investor concerns about the sustainability of AI-related capital spending, along with supply-chain commentary from peers, triggered broad pullbacks in chip-equipment names. AMAT has also increased its quarterly dividend by 15%, reflecting confidence in cash generation. Sentiment remains constructive on fundamentals but sensitive to any signals of slowing equipment orders.
ASX Overview and Recent Performance
ASX, or ASE Technology Holding, is one of the world's largest providers of outsourced semiconductor assembly and test (OSAT) services. Its Assembly, Testing and Materials (ATM) segment packages and tests chips, and its leading-edge advanced packaging (LEAP) business has become a primary growth engine as AI chips demand more complex packaging, chiplet integration, and high-bandwidth memory assembly.
ASX's relative performance has been notably strong in recent months, with shares rising sharply on the back of accelerating LEAP demand. The company has raised its 2026 LEAP revenue outlook and its full-year capital expenditure plan, signaling confidence in sustained growth. ATM revenue and gross margin have expanded year over year, aided by higher factory utilization and a richer product mix. However, the stock's rapid ascent also reflects elevated growth expectations, and execution of a large multi-year capacity build remains a key factor for investors to watch.
Trending AI Robots
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Head-to-Head Comparison
The clearest contrast between these two stocks is business model. AMAT sells high-value capital equipment with gross margins above 50% and benefits from multi-year technology roadmaps, but its revenue is tied to the cyclical timing of fab equipment purchases. ASX operates a higher-volume, lower-margin packaging and test model that is now expanding profitability as advanced packaging becomes a larger share of revenue.
On growth drivers, both are leveraged to AI, but ASX's LEAP franchise sits closer to the final assembly of AI accelerators, while AMAT supplies the tools that build the underlying chips and memory. In terms of recent momentum and market sentiment, ASX has outperformed, reflecting enthusiasm around packaging demand that is outpacing available capacity. AMAT, by contrast, has faced intermittent selling pressure tied to broader equipment-cycle worries.
Risk factors also differ. AMAT carries exposure to customer capital-expenditure cycles and geopolitical trade restrictions. ASX faces execution and depreciation risks from an aggressive capacity expansion across numerous new facilities, as well as a richer valuation that leaves less room for disappointment.
Tickeron AI Verdict
Based on observable trend consistency, relative momentum, and catalyst positioning, Tickeron's AI would likely favor ASX in the current environment. ASX has demonstrated stronger and more consistent upward price momentum, backed by accelerating LEAP revenue growth and expanding margins, factors that algorithmic models typically reward. AMAT's record fundamentals remain compelling, but its more volatile recent price action and sensitivity to equipment-cycle sentiment suggest a comparatively less stable trend profile. This assessment is probabilistic and reflects current data rather than a definitive forecast; the balance could shift as capacity expansions progress and equipment-order trends become clearer.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is AMAT is a Buy and ASX is a Buy.
AMAT in upward trend: price may ascend as a result of having broken its lower Bollinger Band on October 14, 2026
AMAT may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 30 of 35 cases where AMAT's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 86%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where AMAT's RSI Oscillator exited the oversold zone, 24 of 29 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 83%.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 45 of 56 cases where AMAT's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 80%.
Following a +6.50% 3-day Advance, the price is estimated to grow further. Considering data from situations where AMAT advanced for three days, in 253 of 318 cases, the price rose further within the following month. The odds of a continued upward trend are 80%.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 13, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on AMAT as a result. In 64 of 87 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 74%.
The Moving Average Convergence Divergence Histogram (MACD) for AMAT turned negative on October 13, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 45 similar instances when the indicator turned negative. In 36 of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at 80%.
AMAT moved below its 50-day moving average on October 13, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AMAT crossed bearishly below the 50-day moving average on October 19, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 12 of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 80%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AMAT declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 66%.
The Aroon Indicator for AMAT entered a downward trend on October 30, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is 22 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 25 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 54 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 73, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 60 (best 1 - 100 worst), indicating steady price growth. AMAT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 76 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (12.080) is normal, around the industry mean (6.452). P/E Ratio (33.398) is within average values for comparable stocks, (89.445). Projected Growth (PEG Ratio) (0.967) is also within normal values, averaging (0.801). Dividend Yield (0.005) settles around the average of (0.009) among similar stocks. P/S Ratio (10.764) is also within normal values, averaging (27.897).
ASX in upward trend: price may ascend as a result of having broken its lower Bollinger Band on October 15, 2026
ASX may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 30 of 32 cases where ASX's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 90%.
Technical Analysis (Indicators)
Bullish Trend Analysis
Following a +5.92% 3-day Advance, the price is estimated to grow further. Considering data from situations where ASX advanced for three days, in 271 of 353 cases, the price rose further within the following month. The odds of a continued upward trend are 77%.
Bearish Trend Analysis
The 10-day RSI Indicator for ASX moved out of overbought territory on October 06, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 45 similar instances where the indicator moved out of overbought territory. In 32 of the 45 cases, the stock moved lower in the following days. This puts the odds of a move lower at 71%.
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
The Momentum Indicator moved below the 0 level on October 30, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on ASX as a result. In 53 of 88 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 60%.
The Moving Average Convergence Divergence Histogram (MACD) for ASX turned negative on October 14, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In 33 of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at 67%.
ASX moved below its 50-day moving average on October 30, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for ASX crossed bearishly below the 50-day moving average on October 27, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 9 of 17 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 53%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ASX declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 58%.
The Aroon Indicator for ASX entered a downward trend on October 30, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 13 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock better than average.
The Tickeron Valuation Rating of 19 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.264) is normal, around the industry mean (6.106). P/E Ratio (1.433) is within average values for comparable stocks, (17.186). Projected Growth (PEG Ratio) (0.210) is also within normal values, averaging (3.803). ASX has a moderately high Dividend Yield (0.036) as compared to the industry average of (0.012). P/S Ratio (3.791) is also within normal values, averaging (46.468).
The Tickeron Price Growth Rating for this company is 37 (best 1 - 100 worst), indicating steady price growth. ASX’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 50 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of 50 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is 97 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
AMAT | ASX | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 50 | 50 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 76 Overvalued | 19 Undervalued | |
PROFIT vs RISK RATING 1..100 | 54 | 13 | |
SMR RATING 1..100 | 25 | 50 | |
PRICE GROWTH RATING 1..100 | 60 | 37 | |
P/E GROWTH RATING 1..100 | 22 | 97 | |
SEASONALITY SCORE 1..100 | n/a | 50 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
ASX's Valuation (19) in the Semiconductors industry is somewhat better than the same rating for AMAT (76) in the Electronic Production Equipment industry. This means that ASX’s stock grew somewhat faster than AMAT’s over the last 12 months.
ASX's Profit vs Risk Rating (13) in the Semiconductors industry is somewhat better than the same rating for AMAT (54) in the Electronic Production Equipment industry. This means that ASX’s stock grew somewhat faster than AMAT’s over the last 12 months.
AMAT's SMR Rating (25) in the Electronic Production Equipment industry is in the same range as ASX (50) in the Semiconductors industry. This means that AMAT’s stock grew similarly to ASX’s over the last 12 months.
ASX's Price Growth Rating (37) in the Semiconductors industry is in the same range as AMAT (60) in the Electronic Production Equipment industry. This means that ASX’s stock grew similarly to AMAT’s over the last 12 months.
AMAT's P/E Growth Rating (22) in the Electronic Production Equipment industry is significantly better than the same rating for ASX (97) in the Semiconductors industry. This means that AMAT’s stock grew significantly faster than ASX’s over the last 12 months.
| AMAT | ASX | |
|---|---|---|
| RSI ODDS (%) | 3 days ago 83% | 3 days ago 71% |
| Stochastic ODDS (%) | 3 days ago 80% | 3 days ago 64% |
| Momentum ODDS (%) | 3 days ago 74% | 3 days ago 60% |
| MACD ODDS (%) | 3 days ago 80% | 3 days ago 67% |
| TrendWeek ODDS (%) | 3 days ago 77% | 3 days ago 77% |
| TrendMonth ODDS (%) | 3 days ago 70% | 3 days ago 54% |
| Advances ODDS (%) | 4 days ago 80% | 4 days ago 77% |
| Declines ODDS (%) | 17 days ago 66% | 17 days ago 58% |
| BollingerBands ODDS (%) | 3 days ago 86% | 3 days ago 90% |
| Aroon ODDS (%) | 3 days ago 71% | 3 days ago 51% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
AMAT’s FA Score shows that 2 FA rating(s) are green while ASX’s FA Score has 2 green FA rating(s).
- AMAT’s FA Score: 2 green, 3 red.
- ASX’s FA Score: 2 green, 3 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
AMAT’s TA Score shows that 4 TA indicator(s) are bullish while ASX’s TA Score has 2 bullish TA indicator(s).
- AMAT’s TA Score: 4 bullish, 6 bearish.
- ASX’s TA Score: 2 bullish, 8 bearish.
Price Growth
AMAT (@Electronic Production Equipment) experienced а +3.41% price change this week, while ASX (@Semiconductors) price change was +2.09% for the same time period.
The average weekly price growth across all stocks in the @Electronic Production Equipment industry was -0.42%. For the same industry, the average monthly price growth was -24.06%, and the average quarterly price growth was -28.86%.
The average weekly price growth across all stocks in the @Semiconductors industry was -0.34%. For the same industry, the average monthly price growth was -18.87%, and the average quarterly price growth was -16.09%.
Reported Earning Dates
AMAT is expected to report earnings on Nov 12, 2026.
ASX is expected to report earnings on Feb 11, 2027.
Industries' Descriptions
@Electronic Production Equipment (-0.42% weekly)The electronic production equipment industry makes equipment used to produce semiconductors. Such equipment includes wafer fabrication, plasma etching and photo-resist processing equipment. The industry also makes chemical vapor deposition processing systems and photomasks, which are high-purity quartz plates that contain patterns to define integrated circuits layouts. Applied Materials, Inc., Lam Research Corporation, and KLA-Tencor Corporation are examples of electronic production equipment manufacturing companies.
@Semiconductors (-0.34% weekly)The semiconductor industry manufacturers all chip-related products, including research and development. These chips are used in innumerable electronic devices, including computers, cell phones, smartphones, and GPSs. Intel Corporation, NVIDIA Corp., and Broadcomm are some of the prominent players in this industry. Semiconductor companies usually tend to do well during periods of healthy economic growth, thereby inducing further research and development in the industry – which in turn augurs well for productivity and growth in the economy. In the near future, demand for semiconductor products (and possibly innovation within the segment) should only expand further, with the proliferation of 5G, autonomous vehicles, IoT, and various AI-driven electronics set to herald a new, advanced chapter in the technology-driven world as we know it. With burgeoning prospects comes great competition. In 2015, SIA estimated that U.S. semiconductor industry ranks as the second most competitive U.S. industry out of 2882 U.S. industries designated manufacturers by the U.S. Census Bureau.
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AMAT and
Correlation & Price change
A.I.dvisor indicates that over the last year, AMAT has been closely correlated with LRCX. These tickers have moved in lockstep 91% of the time. This A.I.-generated data suggests there is a high statistical probability that if AMAT jumps, then LRCX could also see price increases.
| Ticker / NAME | Correlation To AMAT | 1D Price Change % | ||
|---|---|---|---|---|
| AMAT | 100% | -7.49% | ||
| LRCX - AMAT | 91% Closely correlated | -6.01% | ||
| KLAC - AMAT | 88% Closely correlated | -5.69% | ||
| ONTO - AMAT | 84% Closely correlated | -9.16% | ||
| ASML - AMAT | 82% Closely correlated | -6.55% | ||
| NVMI - AMAT | 81% Closely correlated | -6.68% | ||
More | ||||
ASX and
Correlation & Price change
A.I.dvisor indicates that over the last year, ASX has been closely correlated with LRCX. These tickers have moved in lockstep 75% of the time. This A.I.-generated data suggests there is a high statistical probability that if ASX jumps, then LRCX could also see price increases.
| Ticker / NAME | Correlation To ASX | 1D Price Change % | ||
|---|---|---|---|---|
| ASX | 100% | -11.34% | ||
| LRCX - ASX | 75% Closely correlated | -6.01% | ||
| AMKR - ASX | 74% Closely correlated | -4.15% | ||
| KLAC - ASX | 74% Closely correlated | -5.69% | ||
| AMAT - ASX | 73% Closely correlated | -7.49% | ||
| TSM - ASX | 73% Closely correlated | -5.95% | ||
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