Quick verdict: AMAT vs MU in 2026

Overall, Micron Technology (MU) appears to hold a significant edge over Applied Materials (AMAT) in this 2026 stock comparison. MU demonstrates superior performance across key growth, value, and profitability metrics, making it a compelling option for investors focused on these areas. While AMAT presents a higher analyst-projected upside, MU’s stronger fundamentals and more attractive valuation metrics position it favorably. This is not investment advice.

AMAT vs MU: key metrics side by side

Full side-by-side comparison of AMAT and MU across valuation, profitability, growth and analyst sentiment. Data updated 2026-04-14.

AMAT vs MU valuation comparison

AMAT’s P/E ratio stands at 39.86x, significantly higher than MU’s P/E of 20.5x, suggesting that investors are paying a premium for Applied Materials’ earnings compared to Micron Technology. This stark difference in the price-to-earnings multiple indicates that MU is trading at a much more attractive valuation based on its current earnings. When considering the AMAT vs MU valuation, the lower P/E for Micron Technology signals a potentially better entry point for value-oriented investors seeking to avoid overvalued assets within the semiconductor sector.

Beyond the P/E ratio, the price-to-book (P/B) ratio further reinforces Micron’s valuation advantage, with MU at 6.82x compared to AMAT’s 14.39x. This indicates that MU’s stock price is less inflated relative to its book value. Furthermore, the discounted cash flow (DCF) analysis suggests a negative upside for both, but MU’s -85.9% is considerably less negative than AMAT’s -195.4%, implying that Micron is less overvalued by this intrinsic valuation method. In terms of amat vs mu fundamentals and valuation, Micron Technology clearly emerges as the cheaper stock based on these key multiples and intrinsic value indicators.

AMAT vs MU growth comparison

When examining the AMAT vs MU growth comparison, Micron Technology (MU) exhibits significantly stronger momentum. MU reported a remarkable year-over-year revenue growth of +48.9%, dwarfing Applied Materials’ (AMAT) growth of +4.4%. This substantial difference highlights MU’s robust expansion and its ability to capitalize on current market conditions, likely driven by strong demand in the memory and storage sectors it serves. For investors prioritizing top-line expansion, MU presents a much more dynamic growth profile.

Furthermore, MU’s superior growth is complemented by higher operational efficiency, as indicated by its impressive EBITDA margin of 63.91% compared to AMAT’s 35.04%. While both companies operate in capital-intensive industries, Micron’s ability to convert a higher percentage of its revenue into operating profit demonstrates strong leverage and scalability. This robust revenue growth combined with superior margins indicates that MU not only has stronger momentum but also more efficient operations to support its expansion within the competitive technology landscape.

AMAT vs MU profitability

In the AMAT vs MU profitability analysis, Micron Technology (MU) demonstrates a clear advantage in converting revenue into profit. MU boasts a net margin of 41.49%, significantly higher than AMAT’s net margin of 27.78%. This indicates that for every dollar of revenue, Micron retains considerably more as profit, reflecting superior cost management or higher-margin product offerings. While Return on Equity (ROE) data is not available for either company, the net margin provides a strong signal of operational efficiency and financial health.

Beyond net margins, Micron Technology also leads in Free Cash Flow (FCF) generation. MU’s FCF yield stands at an impressive 4.45%, more than double AMAT’s FCF yield of 1.98%. A higher FCF yield signifies that MU generates more cash relative to its market capitalization, which is crucial for funding future growth, reducing debt, or returning capital to shareholders. This strong FCF generation, combined with healthier net margins, indicates that Micron Technology generates more cash and demonstrates overall better profitability than Applied Materials.

Analyst ratings: AMAT vs MU

Diving into the analyst ratings for AMAT vs MU, both companies generally receive positive sentiment from the investment community. Applied Materials (AMAT) has a “Buy” consensus from analysts, with 79.3% of 53 analysts recommending a buy. Their consensus price target for AMAT is $426.39, which represents an attractive upside of +8.2% from its current price of $394.0415. This suggests that analysts see a decent potential for appreciation in AMAT’s stock price.

Micron Technology (MU) also carries a strong “Buy” consensus, with a slightly higher percentage of analysts, 80.9% out of 68 analysts, recommending a buy. However, despite the higher percentage of buy ratings, MU’s consensus price target of $428.65 implies a -2.5% downside from its current price of $439.49. This indicates that while analysts generally like MU, they believe its current stock price may already reflect or even exceed its near-term fair value. Therefore, when comparing AMAT vs MU analyst ratings and recommendations, AMAT currently offers more projected upside according to the consensus price targets.

Should I buy AMAT or MU stock in 2026?

For growth investors asking should I buy AMAT or MU stock in 2026, Micron Technology (MU) appears to be the more compelling choice. MU’s remarkable year-over-year revenue growth of +48.9% dramatically outperforms AMAT’s +4.4%. This robust top-line expansion, coupled with superior net margins (41.49% vs 27.78%) and EBITDA margins (63.91% vs 35.04%), indicates a company with strong market momentum and efficient operations, making it highly attractive for those seeking aggressive growth opportunities in the semiconductor sector.

Value investors evaluating amat vs mu fundamentals and valuation will likely find Micron Technology (MU) more appealing. MU trades at a significantly lower P/E ratio of 20.5x compared to AMAT’s 39.86x, and a much lower P/B ratio of 6.82x versus AMAT’s 14.39x. Additionally, while both stocks have negative DCF upsides, MU’s -85.9% is substantially better than AMAT’s -195.4%, suggesting MU is less overvalued by intrinsic metrics. These valuation metrics point to MU offering more value for its current financial performance.

When considering income potential, neither AMAT nor MU currently stands out. Both companies have a dividend yield of 0.0%. Investors looking for regular dividend income from their investments will need to look elsewhere, as both Applied Materials and Micron Technology appear to be prioritizing reinvestment into their businesses or other capital allocation strategies over direct shareholder distributions. This is not investment advice; investors should always conduct their own thorough research.

More AMAT and MU comparisons

AMAT full stock analysis · MU full stock analysis · All stock comparisons

FAQ: AMAT vs MU