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AMAT vs AVGO
Which Stock Would AI Choose? Applied Materials (AMAT) vs. Broadcom (AVGO) Stock Comparison
Key Takeaways
- AMAT is a leading semiconductor manufacturing equipment supplier, while AVGO is a diversified semiconductor and infrastructure software company; they occupy different parts of the AI chip supply chain.
- Both stocks have pulled back in recent weeks amid a broader semiconductor sell-off, but AVGO retains a much larger market capitalization and a more direct exposure to AI accelerator demand.
- AMAT is deepening its advanced packaging bet by raising its stake in BE Semiconductor Industries (Besi) to roughly 20%, signaling confidence in next-generation AI chip integration.
- AVGO has secured major AI financing arrangements tied to Anthropic, reinforcing its custom AI accelerator (XPU) growth roadmap into 2027 and 2028.
- Analyst sentiment is broadly constructive on both names, though AMAT currently trades at a lower forward valuation multiple than AVGO.
- For more detail on each ticker's major news and today's price moves, explore AMAT Major News, AMAT Today's Price Move, AVGO Major News, and AVGO Today's Price Move.
- To see how automated systems are positioning across this and other tickers, explore Trending AI Robots.
Introduction
Applied Materials and Broadcom are two of the most closely watched names in the semiconductor ecosystem, yet they play very different roles. Applied Materials supplies the manufacturing equipment used to build advanced chips, while Broadcom designs custom AI processors and networking silicon while also running a sizable infrastructure software business. This stock comparison is relevant for investors weighing how to gain exposure to artificial intelligence infrastructure spending, as the two companies sit at different points along the AI supply chain. Their recent price behavior also highlights how sentiment can diverge even among highly correlated semiconductor stocks, making their relative performance and market positioning a useful lens for both long-term investors and active traders.
AMAT Overview and Recent Performance
Applied Materials, Inc. (AMAT) designs and sells the deposition, etch, and inspection equipment used to fabricate semiconductor chips. As a result, its business is closely tied to capital spending by foundries and memory makers, with revenue concentrated among customers in China, Taiwan, and Korea. In recent weeks, AMAT shares have weakened alongside the broader semiconductor sector, and the stock has underperformed the S&P 500 over the past month. The company's fiscal second-quarter results showed revenue growth and improved operating margins, supported by strong demand tied to AI-related capacity additions. Sentiment has also been shaped by Applied Materials' decision to raise its stake in BE Semiconductor Industries (Besi), a Dutch advanced packaging equipment maker, to approximately 20%. The move underscores Applied's emphasis on hybrid bonding and next-generation interconnect technologies, which are increasingly important for energy-efficient AI compute. Analyst coverage remains constructive, with a consensus leaning toward "Strong Buy" and price targets well above recent trading levels.
AVGO Overview and Recent Performance
Broadcom Inc. (AVGO) is a diversified technology company whose semiconductor segment centers on custom AI accelerators, or XPUs, and networking hardware, complemented by an infrastructure software portfolio built through acquisitions such as VMware. Broadcom's recent performance has been shaped by its deepening ties to artificial intelligence hyperscalers. In recent weeks, the company announced financing structures totaling roughly $63 billion to fund AI chips for Anthropic, which has also disclosed substantial noncancelable orders to Broadcom. These arrangements reinforce Broadcom's expectation that AI semiconductor revenue will scale sharply over the next two fiscal years. Despite this, AVGO shares have also traded lower in the recent semiconductor pullback and remain below their 52-week highs. Wall Street remains largely bullish, with a majority of analysts maintaining buy-equivalent ratings, while some caution focuses on customer concentration and the profitability mix of custom AI processors.
Trending AI Robots
Tickeron operates hundreds of AI trading bots that collectively trade thousands of different tickers, each with its own trading style, strategy, timeframe, performance history, and statistical profile. Because market conditions shift constantly, only a small subset of these bots are well suited to the current environment at any given moment. That is the purpose of the Trending AI Robots page: it curates the bots that are currently performing most effectively and are best aligned with prevailing market dynamics. Bots in this section vary widely in their approach, from short-term momentum strategies to longer-horizon trend models, allowing traders to review statistics and historical performance before following any signal. For investors monitoring names such as AMAT and AVGO, exploring Trending AI Robots can provide an additional, data-driven perspective on positioning.
Head-to-Head Comparison
The clearest contrast between these two companies is their position in the value chain. AMAT is a capital-equipment "picks and shovels" play whose revenue depends on customer fab expansion cycles, giving it cyclical exposure to memory pricing and foundry spending. AVGO is a direct beneficiary of AI accelerator demand, but it carries higher customer concentration and a heavier software mix that diversifies its revenue. In terms of growth drivers, Broadcom's AI roadmap and financing commitments point to rapid near-term scaling, while Applied Materials' growth is more incremental and tied to technology transitions such as advanced packaging and gate-all-around nodes. On risk, AMAT faces geopolitical and China-exposure considerations, whereas AVGO faces execution risk around its ambitious AI revenue targets and its financial backstops for customers. From a valuation standpoint, AMAT currently trades at a lower forward price-to-earnings ratio than AVGO, reflecting differences in growth expectations and market positioning.
Tickeron AI Verdict
Based on observable factors, Tickeron's AI would likely express a nuanced view rather than a decisive winner. AVGO currently benefits from clearer near-term catalysts, including the Anthropic financing arrangements and a well-defined AI revenue trajectory, which may support stronger trend consistency once the semiconductor sell-off stabilizes. AMAT, by contrast, offers a more moderate valuation and a broad, diversified equipment franchise, but its momentum has been comparatively weaker in recent weeks. On balance, the AI would likely favor AVGO for its stronger catalyst visibility and direct AI exposure, while noting that AMAT may appeal to investors seeking relative value and diversification across the semiconductor supply chain. These assessments reflect probabilities based on current data rather than certainties.
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 Hold and AVGO is a StrongBuy.
AMAT in upward trend: price may jump up because it broke its lower Bollinger Band on November 05, 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 28 of 34 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 82%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
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 61 of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 71%.
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 11 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 73%.
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 November 06, 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 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 PE Growth Rating for this company is 42 (best 1 - 100 worst), pointing to consistent 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 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 Price Growth Rating for this company is 64 (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 Profit vs. Risk Rating rating for this company is 64 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 79, placing this stock slightly better than average.
The Tickeron Valuation Rating of 74 (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 (10.304) is normal, around the industry mean (5.670). P/E Ratio (28.486) is within average values for comparable stocks, (68.795). Projected Growth (PEG Ratio) (0.967) is also within normal values, averaging (0.801). Dividend Yield (0.006) settles around the average of (0.009) among similar stocks. P/S Ratio (10.764) is also within normal values, averaging (27.897).
AVGO in upward trend: price expected to rise as it breaks its lower Bollinger Band on November 05, 2026
AVGO may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 26 of 28 cases where AVGO'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
The RSI Indicator demonstrates that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a +6.88% 3-day Advance, the price is estimated to grow further. Considering data from situations where AVGO advanced for three days, in 268 of 341 cases, the price rose further within the following month. The odds of a continued upward trend are 79%.
Bearish Trend Analysis
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 AVGO as a result. In 55 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 62%.
The Moving Average Convergence Divergence Histogram (MACD) for AVGO turned negative on November 02, 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 56 similar instances when the indicator turned negative. In 30 of the 56 cases the stock turned lower in the days that followed. This puts the odds of success at 54%.
AVGO moved below its 50-day moving average on October 08, 2026 date and that indicates a change from an upward trend to a downward trend.
The 50-day moving average for AVGO moved below the 200-day moving average on October 15, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AVGO 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 62%.
The Aroon Indicator for AVGO entered a downward trend on November 06, 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 SMR rating for this company is 23 (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 29 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 80, placing this stock better than average.
The Tickeron Seasonality Score of 36 (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 Price Growth Rating for this company is 64 (best 1 - 100 worst), indicating steady price growth. AVGO’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 77 (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: AVGO's P/B Ratio (14.063) is slightly higher than the industry average of (5.443). P/E Ratio (36.393) is within average values for comparable stocks, (15.640). Projected Growth (PEG Ratio) (0.346) is also within normal values, averaging (3.803). Dividend Yield (0.009) settles around the average of (0.014) among similar stocks. P/S Ratio (18.622) is also within normal values, averaging (46.468).
The Tickeron PE Growth Rating for this company is 93 (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 | AVGO | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 50 | 50 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 74 Overvalued | 77 Overvalued | |
PROFIT vs RISK RATING 1..100 | 64 | 29 | |
SMR RATING 1..100 | 25 | 23 | |
PRICE GROWTH RATING 1..100 | 64 | 64 | |
P/E GROWTH RATING 1..100 | 42 | 93 | |
SEASONALITY SCORE 1..100 | 50 | 36 |
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.
AMAT's Valuation (74) in the Electronic Production Equipment industry is in the same range as AVGO (77) in the Semiconductors industry. This means that AMAT’s stock grew similarly to AVGO’s over the last 12 months.
AVGO's Profit vs Risk Rating (29) in the Semiconductors industry is somewhat better than the same rating for AMAT (64) in the Electronic Production Equipment industry. This means that AVGO’s stock grew somewhat faster than AMAT’s over the last 12 months.
AVGO's SMR Rating (23) in the Semiconductors industry is in the same range as AMAT (25) in the Electronic Production Equipment industry. This means that AVGO’s stock grew similarly to AMAT’s over the last 12 months.
AVGO's Price Growth Rating (64) in the Semiconductors industry is in the same range as AMAT (64) in the Electronic Production Equipment industry. This means that AVGO’s stock grew similarly to AMAT’s over the last 12 months.
AMAT's P/E Growth Rating (42) in the Electronic Production Equipment industry is somewhat better than the same rating for AVGO (93) in the Semiconductors industry. This means that AMAT’s stock grew somewhat faster than AVGO’s over the last 12 months.
| AMAT | AVGO | |
|---|---|---|
| RSI ODDS (%) | 3 days ago 79% | 3 days ago 80% |
| Stochastic ODDS (%) | 3 days ago 75% | 3 days ago 79% |
| Momentum ODDS (%) | 3 days ago 71% | 3 days ago 63% |
| MACD ODDS (%) | 3 days ago 80% | 3 days ago 54% |
| TrendWeek ODDS (%) | 3 days ago 67% | 3 days ago 63% |
| TrendMonth ODDS (%) | 3 days ago 70% | 3 days ago 70% |
| Advances ODDS (%) | 11 days ago 80% | 12 days ago 79% |
| Declines ODDS (%) | 4 days ago 66% | 4 days ago 62% |
| BollingerBands ODDS (%) | 3 days ago 82% | 3 days ago 90% |
| Aroon ODDS (%) | 3 days ago 71% | 3 days ago 73% |
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 1 FA rating(s) are green while AVGO’s FA Score has 2 green FA rating(s).
- AMAT’s FA Score: 1 green, 4 red.
- AVGO’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 AVGO’s TA Score has 4 bullish TA indicator(s).
- AMAT’s TA Score: 4 bullish, 6 bearish.
- AVGO’s TA Score: 4 bullish, 6 bearish.
Price Growth
AMAT (@Electronic Production Equipment) experienced а -14.71% price change this week, while AVGO (@Semiconductors) price change was -9.93% for the same time period.
The average weekly price growth across all stocks in the @Electronic Production Equipment industry was -9.39%. For the same industry, the average monthly price growth was -31.05%, and the average quarterly price growth was -40.59%.
The average weekly price growth across all stocks in the @Semiconductors industry was -9.64%. For the same industry, the average monthly price growth was -28.16%, and the average quarterly price growth was -31.80%.
Reported Earning Dates
AMAT is expected to report earnings on Nov 12, 2026.
AVGO is expected to report earnings on Dec 10, 2026.
Industries' Descriptions
@Electronic Production Equipment (-9.39% 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 (-9.64% 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% | +4.22% | ||
| LRCX - AMAT | 91% Closely correlated | +8.23% | ||
| KLAC - AMAT | 88% Closely correlated | +6.69% | ||
| ONTO - AMAT | 86% Closely correlated | +11.08% | ||
| ASML - AMAT | 83% Closely correlated | +5.02% | ||
| NVMI - AMAT | 80% Closely correlated | +11.73% | ||
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