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AMAT vs COHU
Which Stock Would AI Choose? Applied Materials (AMAT) vs. Cohu (COHU) Stock Comparison
Key Takeaways
- Scale contrast: AMAT is the world's largest semiconductor wafer-fabrication-equipment maker, while COHU is a smaller supplier of back-end semiconductor test and handling equipment.
- Profitability gap: Applied Materials generated record annual revenue and strong margins in its latest fiscal year, whereas Cohu is still reporting net losses even as revenue recovers.
- Growth drivers differ: AMAT is leveraged to AI-driven spending on advanced logic and memory, while COHU is tied to a cyclical recovery in semiconductor test utilization and new AI-related inspection opportunities.
- Risk profiles diverge: AMAT carries meaningful China concentration and export-restriction exposure; COHU has low direct China exposure but faces cyclicality and a longer path to consistent profitability.
- Both are in uptrends: Each stock delivered sizable year-to-date gains over the past year, but their market positioning and risk-reward profiles remain very different.
Introduction
Applied Materials and Cohu both operate in the semiconductor equipment supply chain, yet they serve fundamentally different stages of chip production. Comparing them offers a useful lens for investors weighing a large-cap, AI-focused equipment leader against a smaller, more cyclical test-and-handling specialist. This stock comparison is most relevant to traders and investors evaluating relative performance, growth durability, and market positioning across two very different risk profiles. Because the two companies respond to different demand signals—front-end wafer fabrication versus back-end test and assembly—their divergence in recent quarters illustrates how the current semiconductor cycle is rewarding scale and AI exposure differently.
AMAT Overview and Recent Performance
AMAT, or Applied Materials, Inc., is the largest supplier of wafer-fabrication equipment globally, providing deposition, etch, metrology, and inspection systems used to manufacture advanced logic, memory, and specialty chips. In its most recent fiscal year, the company reported record annual revenue of roughly $28.4 billion and free cash flow near $5.7 billion, with non-GAAP gross margin expanding about 120 basis points year over year to roughly 48.8%.
Recent market activity has been shaped by robust demand for AI and high-performance-computing chips, with leading-edge DRAM customers posting notable revenue growth. The stock has risen sharply over the past year, outperforming the broader semiconductor industry for much of the period. Sentiment has been supported by a series of analyst price-target increases, though concerns persist around China concentration—management noted that China fell to roughly 28% of systems and services sales due to trade restrictions—and intensifying competition from peers such as Lam Research and ASML.
COHU Overview and Recent Performance
COHU, or Cohu, Inc., supplies test, automation, inspection, and metrology equipment and services used in the back-end of semiconductor manufacturing—the testing and handling of finished chips. Its business is built around a recurring-revenue base of service contracts, consumables, and spares that management reports at roughly 60% of quarterly revenue.
In its most recent fiscal year, Cohu grew revenue approximately 13% year over year to about $453 million, with fourth-quarter sales up roughly 30% year over year. Bookings rose about 29% for the full year, and management pointed to higher test-utilization rates across computing and automotive end markets. Despite this momentum, the company remained unprofitable on a GAAP basis, reporting a net loss of roughly $74 million for the year. Recent developments include a $287.5 million convertible-notes offering that strengthened its balance sheet and an expanding pipeline in high-bandwidth memory (HBM) inspection and AI-related handling systems. Analysts' consensus remains generally constructive, with an average rating near "Strong Buy."
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Head-to-Head Comparison
The most fundamental contrast between AMAT and COHU is where each sits in the semiconductor supply chain. AMAT dominates the front-end, where capital intensity is high and AI-related investment in leading-edge logic and memory has driven record results. COHU competes in the back-end, where demand is more cyclical and closely tied to test-utilization rates across automotive, industrial, mobile, and computing customers.
Profitability is another clear differentiator. AMAT is consistently profitable with expanding margins and substantial free-cash-flow generation, while COHU is in the earlier stages of a recovery and still reporting losses. Risk exposure also differs: AMAT's significant historical China revenue creates sensitivity to export controls, whereas COHU cites low direct China exposure, a potential relative advantage amid trade-policy uncertainty. In exchange for its cyclicality, COHU offers a smaller-capitalization, higher-beta profile with a tangible recovery and AI-related catalyst path, while AMAT provides scale, stability, and direct leverage to the AI data-center buildout.
Tickeron AI Verdict
Based on observable factors—trend consistency, profitability, scale, and the durability of demand catalysts—Tickeron's AI would likely favor AMAT in the current environment. Applied Materials has demonstrated a steadier uptrend supported by record revenue, expanding margins, and strong positioning in AI-driven wafer-fabrication-equipment spending. COHU, by contrast, exhibits a more volatile recovery profile with meaningful upside potential but less consistent profitability. The AI framework would probably assign AMAT a higher relative score on trend stability and fundamental momentum, while recognizing that COHU's cyclical recovery and AI-related inspection catalysts could support faster percentage gains if the back-end cycle strengthens further.
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 StrongBuy and COHU is a Buy.
AMAT's RSI Oscillator is remaining in oversold zone for 5 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 uptrend is expected.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 7 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 +2.45% 3-day Advance, the price is estimated to grow further. Considering data from situations where AMAT advanced for three days, in 251 of 316 cases, the price rose further within the following month. The odds of a continued upward trend are 79%.
AMAT may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
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 66 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 76%.
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 29 of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at 64%.
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 September 25, 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 18 (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 Price Growth Rating for this company is 57 (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 58 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock slightly better than average.
The Tickeron Valuation Rating of 75 (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 (11.631) is normal, around the industry mean (6.371). P/E Ratio (32.156) is within average values for comparable stocks, (86.229). Projected Growth (PEG Ratio) (0.967) is also within normal values, averaging (0.801). Dividend Yield (0.006) settles around the average of (0.008) among similar stocks. P/S Ratio (10.764) is also within normal values, averaging (27.897).
The Tickeron Seasonality Score of 95 (best 1 - 100 worst) indicates that the company is significantly overvalued 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.
COHU's RSI Indicator descending into oversold zone
The RSI Indicator for COHU moved into overbought territory on October 22, 2026. Be on the watch for a price drop or consolidation in the future -- when this happens, think about selling the stock or exploring put options.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 8 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 +4.82% 3-day Advance, the price is estimated to grow further. Considering data from situations where COHU advanced for three days, in 237 of 315 cases, the price rose further within the following month. The odds of a continued upward trend are 75%.
COHU may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In 185 of 230 cases where COHU Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 80%.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 12, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on COHU as a result. In 70 of 96 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 73%.
The Moving Average Convergence Divergence Histogram (MACD) for COHU turned negative on October 12, 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 54 similar instances when the indicator turned negative. In 40 of the 54 cases the stock turned lower in the days that followed. This puts the odds of success at 74%.
COHU moved below its 50-day moving average on October 15, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for COHU crossed bearishly below the 50-day moving average on October 22, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 13 of 19 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 68%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where COHU 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 70%.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 10 (best 1 - 100 worst) indicates that the company is seriously 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 (2.827) is normal, around the industry mean (6.371). P/E Ratio (-55.735) is within average values for comparable stocks, (86.229). COHU's Projected Growth (PEG Ratio) (0.040) is slightly lower than the industry average of (0.801). Dividend Yield (0.005) settles around the average of (0.008) among similar stocks. P/S Ratio (4.589) is also within normal values, averaging (27.897).
The Tickeron PE Growth Rating for this company is 29 (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 Price Growth Rating for this company is 39 (best 1 - 100 worst), indicating steady price growth. COHU’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 73 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. COHU’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock better than average.
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued 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 SMR rating for this company is 92 (best 1 - 100 worst), indicating weak sales and an unprofitable 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.
AMAT | COHU | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 67 | 67 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 75 Overvalued | 10 Undervalued | |
PROFIT vs RISK RATING 1..100 | 58 | 73 | |
SMR RATING 1..100 | 25 | 92 | |
PRICE GROWTH RATING 1..100 | 57 | 39 | |
P/E GROWTH RATING 1..100 | 18 | 29 | |
SEASONALITY SCORE 1..100 | 90 | 85 |
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.
COHU's Valuation (10) in the Electronic Production Equipment industry is somewhat better than the same rating for AMAT (75). This means that COHU’s stock grew somewhat faster than AMAT’s over the last 12 months.
AMAT's Profit vs Risk Rating (58) in the Electronic Production Equipment industry is in the same range as COHU (73). This means that AMAT’s stock grew similarly to COHU’s over the last 12 months.
AMAT's SMR Rating (25) in the Electronic Production Equipment industry is significantly better than the same rating for COHU (92). This means that AMAT’s stock grew significantly faster than COHU’s over the last 12 months.
COHU's Price Growth Rating (39) in the Electronic Production Equipment industry is in the same range as AMAT (57). This means that COHU’s stock grew similarly to AMAT’s over the last 12 months.
AMAT's P/E Growth Rating (18) in the Electronic Production Equipment industry is in the same range as COHU (29). This means that AMAT’s stock grew similarly to COHU’s over the last 12 months.
| AMAT | COHU | |
|---|---|---|
| RSI ODDS (%) | 1 day ago 86% | 1 day ago 87% |
| Stochastic ODDS (%) | 1 day ago 78% | 1 day ago 83% |
| Momentum ODDS (%) | 1 day ago 76% | 1 day ago 73% |
| MACD ODDS (%) | 1 day ago 64% | 1 day ago 74% |
| TrendWeek ODDS (%) | 1 day ago 67% | 1 day ago 69% |
| TrendMonth ODDS (%) | 1 day ago 70% | 1 day ago 69% |
| Advances ODDS (%) | 18 days ago 79% | 18 days ago 75% |
| Declines ODDS (%) | 7 days ago 66% | 7 days ago 70% |
| BollingerBands ODDS (%) | 1 day ago 80% | 1 day ago 85% |
| Aroon ODDS (%) | 1 day ago 62% | 1 day ago 80% |
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 COHU’s FA Score has 2 green FA rating(s).
- AMAT’s FA Score: 2 green, 3 red.
- COHU’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 COHU’s TA Score has 5 bullish TA indicator(s).
- AMAT’s TA Score: 4 bullish, 6 bearish.
- COHU’s TA Score: 5 bullish, 5 bearish.
Price Growth
AMAT (@Electronic Production Equipment) experienced а -12.66% price change this week, while COHU (@Electronic Production Equipment) price change was -15.74% for the same time period.
The average weekly price growth across all stocks in the @Electronic Production Equipment industry was -10.98%. For the same industry, the average monthly price growth was -23.65%, and the average quarterly price growth was -33.54%.
Reported Earning Dates
AMAT is expected to report earnings on Nov 12, 2026.
COHU is expected to report earnings on Oct 28, 2026.
Industries' Descriptions
@Electronic Production Equipment (-10.98% 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.
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COHU and
Correlation & Price change
A.I.dvisor indicates that over the last year, COHU has been closely correlated with ONTO. These tickers have moved in lockstep 79% of the time. This A.I.-generated data suggests there is a high statistical probability that if COHU jumps, then ONTO could also see price increases.
| Ticker / NAME | Correlation To COHU | 1D Price Change % | ||
|---|---|---|---|---|
| COHU | 100% | -16.33% | ||
| ONTO - COHU | 79% Closely correlated | -10.57% | ||
| AMKR - COHU | 78% Closely correlated | -10.70% | ||
| LRCX - COHU | 78% Closely correlated | -11.76% | ||
| FORM - COHU | 78% Closely correlated | -15.29% | ||
| UCTT - COHU | 77% Closely correlated | -14.86% | ||
More | ||||
| 1 Day | |||
|---|---|---|---|
| ETFs / NAME | Price $ | Chg $ | Chg % |
| KBWP | 138.89 | 4.13 | +3.06% |
| Invesco KBW Property & Casualty Insurance ETF (KBWP) | |||
| DTF | 11.42 | 0.06 | +0.53% |
| DTF Tax-Free Income 2028 Term Fund | |||
| PCEB | 22.99 | -0.12 | -0.51% |
| Polen Euro High Yield Bond ETF (PCEB) | |||
| STXF | 49.39 | -0.60 | -1.20% |
| Strive 500 ETF (STXF) | |||
| ASUP | 2.62 | -0.31 | -10.43% |
| T-REX 2X Long ASTS Daily Target ETF (ASUP) | |||