Question 1

What is Applied Materials's P/B ratio?

Accepted Answer

Applied Materials (AMAT) P/B ratio is 18.5× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by book value of equity, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/B ratio calculated?

Accepted Answer

P/B = Market Capitalisation ÷ Book Value of Equity (most recent quarterly shareholders' equity), or equivalently Share Price ÷ Book Value Per Share. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/B ratio?

Accepted Answer

The price-to-book (P/B) ratio compares a company's market capitalisation to its book value of equity (total shareholders' equity) on the most recent quarterly balance sheet. It is calculated as market cap ÷ book value of equity (equivalent to share price ÷ book value per share). A P/B below 1× implies the market values the business below its accounting net worth; values well above 1× reflect intangible assets, brand value, or a high return on equity.

Question 4

What is a good P/B ratio for Applied Materials?

Accepted Answer

A "good" P/B depends on the business model. Banks, insurers, and other capital-heavy financials typically trade near 1×; asset-light technology and consumer-brand companies can sustainably trade at 5×+ because much of their value is intangible. P/B is most informative when paired with return on equity (ROE). For Applied Materials specifically, the relevant sector benchmark is the current sector median of 5.6×.

Question 5

Is Applied Materials's P/B ratio high or low?

Accepted Answer

Applied Materials's P/B ratio of 18.5× is above its own 5-year average of 8.6× and above the sector median of 5.6×. That places the current reading at the 98th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Applied Materials's historical P/B ratio range?

Accepted Answer

In the available daily series, Applied Materials (AMAT) P/B ratio has ranged from a low of 1.6× in 2012 to a high of 24.2× in 2026. The 5-year average is 8.6× and the 5-year median is 8.2×.

Question 7

What was Applied Materials's P/B ratio in 2025?

Accepted Answer

Applied Materials (AMAT) P/B ratio at the end of 2025 was 9.0×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month book value figure available at that date.

Question 8

Why does Applied Materials's P/B ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (book value). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$184B	$20.4B	9.0×	+1.0×	Oct 26, 2025
2024	$152B	$19B	8.0×	+1.3×	Oct 27, 2024
2023	$110B	$16.3B	6.7×	+0.5×	Oct 29, 2023
2022	$75.4B	$12.2B	6.2×	-4.0×	Oct 30, 2022
2021	$125B	$12.2B	10.2×	+5.1×	Oct 31, 2021
2020	$54.4B	$10.6B	5.1×	-1.2×	Oct 25, 2020
2019	$52.4B	$8.21B	6.4×	+1.9×	Oct 27, 2019
2018	$30.3B	$6.84B	4.4×	-1.9×	Oct 28, 2018
2017	$59.5B	$9.35B	6.4×	+2.0×	Oct 29, 2017
2016	$31.4B	$7.22B	4.4×	+1.8×	Oct 30, 2016
2015	$19.4B	$7.61B	2.6×	-0.7×	Oct 25, 2015
2014	$25.7B	$7.87B	3.3×	+0.2×	Oct 26, 2014
2013	$21.7B	$7.09B	3.1×	+1.3×	Oct 27, 2013
2012	$13B	$7.24B	1.8×	-0.1×	Oct 28, 2012
2011	$16.3B	$8.8B	1.8×	-0.4×	Oct 30, 2011
2010	$16.6B	$7.54B	2.2×	-0.2×	Oct 31, 2010
2009	$17.2B	$7.09B	2.4×	+0.4×	Oct 25, 2009
2008	$15.3B	$7.45B	2.1×	-1.4×	Oct 26, 2008
2007	$26.7B	$7.82B	3.4×	-0.6×	Oct 28, 2007
2006	$26.9B	$6.65B	4.0×	+1.0×	Oct 29, 2006
2005	$26.9B	$8.93B	3.0×	+0.1×	Oct 30, 2005
2004	$27B	$9.26B	2.9×	-1.3×	Oct 31, 2004
2003	$34.4B	$8.07B	4.3×	+1.2×	Oct 26, 2003
2002	$24.9B	$8.02B	3.1×	—	Oct 27, 2002


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P/B Ratio for Applied Materials (AMAT) 2002-2026

P/B Ratio daily chart for Applied Materials (AMAT)

Historical P/B Ratio for Applied Materials (AMAT) from 2002 to 2025

About P/B Ratio at Applied Materials (AMAT)

Applied Materials P/B Ratio by Year

Applied Materials P/B Ratio 2025: 9.0×

Applied Materials P/B Ratio 2024: 8.0×

Applied Materials P/B Ratio 2023: 6.7×

Applied Materials P/B Ratio 2022: 6.2×

Applied Materials P/B Ratio 2021: 10.2×

Sector peers by P/B Ratio — chart

Sector peers by P/B Ratio — table

Frequently asked questions

Applied Materials (AMAT) Key Financials