Analysis of Profitability Ratios
Quarterly Data
Beginner level
Profitability ratios measure the company’s ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Applied Materials Inc., profitability ratios (quarterly data)
Based on: 10-Q (filing date: 2020-05-21), 10-Q (filing date: 2020-02-20), 10-K (filing date: 2019-12-13), 10-Q (filing date: 2019-08-22), 10-Q (filing date: 2019-05-23), 10-Q (filing date: 2019-02-21), 10-K (filing date: 2018-12-13), 10-Q (filing date: 2018-08-23), 10-Q (filing date: 2018-05-24), 10-Q (filing date: 2018-02-22), 10-K (filing date: 2017-12-15), 10-Q (filing date: 2017-08-24), 10-Q (filing date: 2017-05-25), 10-Q (filing date: 2017-02-23), 10-K (filing date: 2016-12-15), 10-Q (filing date: 2016-08-25), 10-Q (filing date: 2016-05-26), 10-Q (filing date: 2016-02-25), 10-K (filing date: 2015-12-09), 10-Q (filing date: 2015-08-20), 10-Q (filing date: 2015-05-21), 10-Q (filing date: 2015-02-19), 10-K (filing date: 2014-12-17), 10-Q (filing date: 2014-08-21), 10-Q (filing date: 2014-05-22), 10-Q (filing date: 2014-02-20).
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Applied Materials Inc.’s gross profit margin ratio improved from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Applied Materials Inc.’s operating profit margin ratio improved from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Applied Materials Inc.’s net profit margin ratio improved from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Applied Materials Inc.’s ROE deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
| ROA | A profitability ratio calculated as net income divided by total assets. | Applied Materials Inc.’s ROA improved from Q4 2019 to Q1 2020 but then deteriorated significantly from Q1 2020 to Q2 2020. |
Gross Profit Margin
Applied Materials Inc., gross profit margin calculation (quarterly data)
| Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | Jan 27, 2019 | Oct 28, 2018 | Jul 29, 2018 | Apr 29, 2018 | Jan 28, 2018 | Oct 29, 2017 | Jul 30, 2017 | Apr 30, 2017 | Jan 29, 2017 | Oct 30, 2016 | Jul 31, 2016 | May 1, 2016 | Jan 31, 2016 | Oct 25, 2015 | Jul 26, 2015 | Apr 26, 2015 | Jan 25, 2015 | Oct 26, 2014 | Jul 27, 2014 | Apr 27, 2014 | Jan 26, 2014 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||||||
| Gross profit | 1,749 | 1,858 | 1,634 | 1,557 | 1,530 | 1,665 | 1,780 | 2,027 | 2,090 | 1,920 | 1,787 | 1,700 | 1,600 | 1,445 | 1,399 | 1,192 | 1,004 | 916 | 959 | 1,018 | 1,016 | 959 | 959 | 992 | 1,001 | 891 | ||||||||
| Net sales | 3,957 | 4,162 | 3,754 | 3,562 | 3,539 | 3,753 | 4,014 | 4,468 | 4,567 | 4,204 | 3,969 | 3,744 | 3,546 | 3,278 | 3,297 | 2,821 | 2,450 | 2,257 | 2,368 | 2,490 | 2,442 | 2,359 | 2,264 | 2,265 | 2,353 | 2,190 | ||||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||||||
| Gross profit margin1 | 44.04% | 43.81% | 43.72% | 43.93% | 44.39% | 45.01% | 45.31% | 45.47% | 45.48% | 45.31% | 44.93% | 44.31% | 43.55% | 42.55% | 41.67% | 41.14% | 40.74% | 40.90% | 40.92% | 41.36% | 42.08% | 42.32% | 42.36% | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | 43.69% | 42.61% | 40.78% | 39.83% | 38.87% | 37.79% | 37.10% | 35.81% | 34.86% | 34.21% | 33.48% | 24.79% | 23.96% | 23.36% | 22.55% | 28.62% | 26.97% | 27.06% | — | — | — | — | — | — | — | ||||||||
| Analog Devices Inc. | 65.56% | 66.43% | 67.00% | 67.79% | 67.95% | 68.09% | 68.27% | 67.46% | 63.96% | 61.12% | 59.94% | 59.57% | 63.11% | 65.95% | 65.10% | 64.84% | 64.86% | 65.05% | 65.77% | — | — | — | — | — | — | — | ||||||||
| Apple Inc. | 38.11% | 37.95% | 37.82% | 37.90% | 38.05% | 38.21% | 38.34% | 38.27% | 38.30% | 38.43% | 38.47% | 38.51% | 38.41% | 38.52% | 39.08% | 39.49% | 39.81% | 40.13% | 40.06% | 39.71% | 39.66% | 39.26% | 38.59% | — | — | — | ||||||||
| Broadcom Inc. | 55.21% | 55.32% | 55.24% | 55.09% | 54.33% | 53.09% | 51.48% | 50.28% | 49.42% | 48.53% | 48.25% | 49.01% | 48.78% | 44.85% | 44.86% | 43.55% | 43.52% | 52.70% | 52.07% | 50.87% | 46.71% | 45.51% | 43.97% | — | — | — | ||||||||
| Cisco Systems Inc. | 63.97% | 63.44% | 62.94% | 62.38% | 62.17% | 62.32% | 62.04% | 62.18% | 62.35% | 62.29% | 62.96% | 63.19% | 63.53% | 63.40% | 62.87% | 62.12% | 61.55% | 60.85% | 60.38% | 60.30% | 59.97% | 58.55% | 58.91% | — | — | — | ||||||||
| Intel Corp. | — | 59.51% | 58.56% | 58.92% | 60.46% | 60.83% | 61.73% | 62.50% | 61.87% | 61.93% | 62.25% | 61.86% | 62.12% | 61.52% | 60.94% | 61.59% | 61.48% | 62.33% | 62.65% | — | — | — | — | — | — | — | ||||||||
| Lam Research Corp. | 45.20% | 45.13% | 45.15% | 45.66% | 46.12% | 46.42% | 46.63% | 46.18% | 45.99% | 45.56% | 44.97% | 44.81% | 44.44% | 44.15% | 44.49% | 44.01% | 43.91% | 43.83% | 43.43% | — | — | — | — | — | — | — | ||||||||
| Micron Technology Inc. | 30.33% | 36.11% | 45.72% | 53.60% | 57.87% | 59.55% | 58.87% | 56.43% | 53.13% | 48.25% | 41.51% | 33.92% | 25.74% | 20.49% | 20.20% | 22.66% | 26.21% | 29.57% | 32.21% | 33.47% | 34.20% | 34.31% | 33.24% | — | — | — | ||||||||
| NVIDIA Corp. | 58.57% | 59.64% | 61.21% | 62.51% | 62.41% | 61.36% | 59.93% | 59.31% | 59.18% | 59.16% | 58.80% | 57.84% | 57.01% | 56.33% | 56.11% | 55.99% | 55.72% | 55.99% | 55.53% | — | — | — | — | — | — | — | ||||||||
| Qualcomm Inc. | 65.07% | 65.22% | 64.57% | 63.06% | 54.26% | 54.58% | 54.94% | 56.00% | 55.57% | 55.22% | 56.07% | 57.12% | 58.16% | 59.38% | 58.61% | 58.55% | 58.53% | 58.82% | 58.95% | 58.95% | 59.36% | 59.10% | 59.66% | — | — | — | ||||||||
| Texas Instruments Inc. | — | 63.68% | 63.71% | 64.23% | 64.51% | 64.73% | 65.11% | 65.18% | 64.84% | 64.61% | 64.26% | 63.64% | 62.97% | 62.19% | 61.63% | 60.65% | 59.62% | 58.86% | 58.15% | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (filing date: 2020-05-21), 10-Q (filing date: 2020-02-20), 10-K (filing date: 2019-12-13), 10-Q (filing date: 2019-08-22), 10-Q (filing date: 2019-05-23), 10-Q (filing date: 2019-02-21), 10-K (filing date: 2018-12-13), 10-Q (filing date: 2018-08-23), 10-Q (filing date: 2018-05-24), 10-Q (filing date: 2018-02-22), 10-K (filing date: 2017-12-15), 10-Q (filing date: 2017-08-24), 10-Q (filing date: 2017-05-25), 10-Q (filing date: 2017-02-23), 10-K (filing date: 2016-12-15), 10-Q (filing date: 2016-08-25), 10-Q (filing date: 2016-05-26), 10-Q (filing date: 2016-02-25), 10-K (filing date: 2015-12-09), 10-Q (filing date: 2015-08-20), 10-Q (filing date: 2015-05-21), 10-Q (filing date: 2015-02-19), 10-K (filing date: 2014-12-17), 10-Q (filing date: 2014-08-21), 10-Q (filing date: 2014-05-22), 10-Q (filing date: 2014-02-20).
1 Q2 2020 Calculation
Gross profit margin = 100
× (Gross profitQ2 2020
+ Gross profitQ1 2020
+ Gross profitQ4 2019
+ Gross profitQ3 2019)
÷ (Net salesQ2 2020
+ Net salesQ1 2020
+ Net salesQ4 2019
+ Net salesQ3 2019)
= 100
× (1,749 + 1,858 + 1,634 + 1,557)
÷ (3,957 + 4,162 + 3,754 + 3,562)
= 44.04%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Applied Materials Inc.’s gross profit margin ratio improved from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
Operating Profit Margin
Applied Materials Inc., operating profit margin calculation (quarterly data)
| Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | Jan 27, 2019 | Oct 28, 2018 | Jul 29, 2018 | Apr 29, 2018 | Jan 28, 2018 | Oct 29, 2017 | Jul 30, 2017 | Apr 30, 2017 | Jan 29, 2017 | Oct 30, 2016 | Jul 31, 2016 | May 1, 2016 | Jan 31, 2016 | Oct 25, 2015 | Jul 26, 2015 | Apr 26, 2015 | Jan 25, 2015 | Oct 26, 2014 | Jul 27, 2014 | Apr 27, 2014 | Jan 26, 2014 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||||||
| Income from operations | 932 | 1,042 | 864 | 802 | 776 | 908 | 1,016 | 1,257 | 1,327 | 1,196 | 1,098 | 1,023 | 940 | 807 | 777 | 596 | 425 | 354 | 423 | 396 | 416 | 458 | 412 | 391 | 387 | 330 | ||||||||
| Net sales | 3,957 | 4,162 | 3,754 | 3,562 | 3,539 | 3,753 | 4,014 | 4,468 | 4,567 | 4,204 | 3,969 | 3,744 | 3,546 | 3,278 | 3,297 | 2,821 | 2,450 | 2,257 | 2,368 | 2,490 | 2,442 | 2,359 | 2,264 | 2,265 | 2,353 | 2,190 | ||||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||||||
| Operating profit margin1 | 23.58% | 23.20% | 22.93% | 23.55% | 25.09% | 26.83% | 27.80% | 28.35% | 28.17% | 27.53% | 26.61% | 25.58% | 24.11% | 21.99% | 19.88% | 18.17% | 16.71% | 16.63% | 17.53% | 17.60% | 17.97% | 17.83% | 16.75% | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | 10.63% | 9.37% | 5.16% | 4.68% | 6.05% | 6.97% | 7.73% | 7.37% | 5.89% | 3.83% | 2.40% | -6.49% | -7.53% | -8.71% | -10.14% | -7.30% | -10.86% | -12.05% | — | — | — | — | — | — | — | ||||||||
| Analog Devices Inc. | 25.30% | 26.56% | 28.55% | 30.69% | 31.07% | 31.05% | 30.35% | 29.56% | 25.18% | 21.17% | 20.66% | 21.09% | 25.91% | 30.23% | 30.05% | 22.96% | 22.90% | 23.83% | 24.19% | — | — | — | — | — | — | — | ||||||||
| Apple Inc. | 24.48% | 24.71% | 24.57% | 24.87% | 25.34% | 25.98% | 26.69% | 26.60% | 26.70% | 26.87% | 26.76% | 26.84% | 26.91% | 27.15% | 27.84% | 28.55% | 29.39% | 30.28% | 30.48% | 30.21% | 30.15% | 29.67% | 28.72% | — | — | — | ||||||||
| Broadcom Inc. | 14.85% | 15.90% | 15.24% | 18.15% | 20.70% | 22.28% | 24.63% | 20.93% | 18.05% | 14.98% | 13.51% | 11.87% | 6.75% | -2.42% | -3.09% | -2.52% | 3.23% | 24.51% | 23.92% | 21.59% | 15.68% | 13.47% | 10.26% | — | — | — | ||||||||
| Cisco Systems Inc. | 27.47% | 26.91% | 27.39% | 27.04% | 26.55% | 26.57% | 24.95% | 24.68% | 25.02% | 24.80% | 24.94% | 25.24% | 24.82% | 25.47% | 25.71% | 24.75% | 24.56% | 23.20% | 21.91% | 21.72% | 21.19% | 19.52% | 19.82% | — | — | — | ||||||||
| Intel Corp. | — | 32.88% | 30.62% | 30.48% | 31.77% | 32.49% | 32.91% | 32.48% | 30.58% | 29.37% | 28.58% | 27.49% | 26.60% | 22.99% | 21.68% | 21.83% | 21.86% | 24.80% | 25.29% | — | — | — | — | — | — | — | ||||||||
| Lam Research Corp. | 25.20% | 25.40% | 25.53% | 26.90% | 28.19% | 28.47% | 29.01% | 27.84% | 26.96% | 25.73% | 23.74% | 22.22% | 19.70% | 17.82% | 18.25% | 16.42% | 17.04% | 16.74% | 14.98% | — | — | — | — | — | — | — | ||||||||
| Micron Technology Inc. | 13.36% | 20.04% | 31.51% | 41.16% | 46.84% | 49.70% | 49.34% | 46.71% | 43.04% | 37.17% | 28.88% | 19.16% | 9.12% | 2.27% | 1.35% | 4.91% | 9.35% | 14.33% | 18.52% | 20.21% | 21.28% | 21.44% | 18.87% | — | — | — | ||||||||
| NVIDIA Corp. | 22.40% | 26.72% | 32.47% | 36.89% | 37.21% | 35.97% | 33.05% | 31.97% | 31.33% | 29.74% | 27.99% | 23.64% | 19.43% | 15.80% | 14.91% | 14.98% | 14.57% | 16.57% | 16.21% | — | — | — | — | — | — | — | ||||||||
| Qualcomm Inc. | 32.49% | 32.59% | 31.59% | 24.99% | 9.05% | 6.62% | 3.26% | 7.57% | 6.98% | 8.34% | 11.73% | 18.09% | 21.09% | 23.50% | 27.57% | 25.55% | 24.22% | 22.53% | 22.85% | 24.99% | 27.16% | 30.12% | 28.50% | — | — | — | ||||||||
| Texas Instruments Inc. | — | 39.58% | 39.79% | 40.61% | 41.59% | 41.98% | 42.53% | 42.74% | 42.18% | 41.56% | 40.66% | 39.92% | 38.40% | 36.93% | 35.89% | 35.16% | 34.04% | 33.32% | 32.88% | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (filing date: 2020-05-21), 10-Q (filing date: 2020-02-20), 10-K (filing date: 2019-12-13), 10-Q (filing date: 2019-08-22), 10-Q (filing date: 2019-05-23), 10-Q (filing date: 2019-02-21), 10-K (filing date: 2018-12-13), 10-Q (filing date: 2018-08-23), 10-Q (filing date: 2018-05-24), 10-Q (filing date: 2018-02-22), 10-K (filing date: 2017-12-15), 10-Q (filing date: 2017-08-24), 10-Q (filing date: 2017-05-25), 10-Q (filing date: 2017-02-23), 10-K (filing date: 2016-12-15), 10-Q (filing date: 2016-08-25), 10-Q (filing date: 2016-05-26), 10-Q (filing date: 2016-02-25), 10-K (filing date: 2015-12-09), 10-Q (filing date: 2015-08-20), 10-Q (filing date: 2015-05-21), 10-Q (filing date: 2015-02-19), 10-K (filing date: 2014-12-17), 10-Q (filing date: 2014-08-21), 10-Q (filing date: 2014-05-22), 10-Q (filing date: 2014-02-20).
1 Q2 2020 Calculation
Operating profit margin = 100
× (Income from operationsQ2 2020
+ Income from operationsQ1 2020
+ Income from operationsQ4 2019
+ Income from operationsQ3 2019)
÷ (Net salesQ2 2020
+ Net salesQ1 2020
+ Net salesQ4 2019
+ Net salesQ3 2019)
= 100 × (932 + 1,042 + 864 + 802)
÷ (3,957 + 4,162 + 3,754 + 3,562)
= 23.58%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Applied Materials Inc.’s operating profit margin ratio improved from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
Net Profit Margin
Applied Materials Inc., net profit margin calculation (quarterly data)
| Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | Jan 27, 2019 | Oct 28, 2018 | Jul 29, 2018 | Apr 29, 2018 | Jan 28, 2018 | Oct 29, 2017 | Jul 30, 2017 | Apr 30, 2017 | Jan 29, 2017 | Oct 30, 2016 | Jul 31, 2016 | May 1, 2016 | Jan 31, 2016 | Oct 25, 2015 | Jul 26, 2015 | Apr 26, 2015 | Jan 25, 2015 | Oct 26, 2014 | Jul 27, 2014 | Apr 27, 2014 | Jan 26, 2014 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||||||
| Net income | 755 | 892 | 698 | 571 | 666 | 771 | 876 | 1,173 | 1,129 | 135 | 982 | 925 | 824 | 703 | 610 | 505 | 320 | 286 | 336 | 329 | 364 | 348 | 256 | 301 | 262 | 253 | ||||||||
| Net sales | 3,957 | 4,162 | 3,754 | 3,562 | 3,539 | 3,753 | 4,014 | 4,468 | 4,567 | 4,204 | 3,969 | 3,744 | 3,546 | 3,278 | 3,297 | 2,821 | 2,450 | 2,257 | 2,368 | 2,490 | 2,442 | 2,359 | 2,264 | 2,265 | 2,353 | 2,190 | ||||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||||||
| Net profit margin1 | 18.89% | 18.83% | 18.52% | 19.40% | 22.10% | 23.50% | 19.20% | 19.87% | 19.24% | 18.53% | 23.62% | 22.08% | 20.41% | 18.05% | 15.90% | 14.62% | 13.29% | 13.76% | 14.26% | 13.57% | 13.60% | 12.63% | 11.82% | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | ||||||||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | 6.72% | 5.07% | 3.47% | 3.25% | 4.46% | 5.20% | 5.51% | 5.04% | 3.29% | 0.81% | -1.39% | -11.82% | -10.42% | -11.63% | -13.29% | -8.74% | -15.53% | -16.54% | — | — | — | — | — | — | — | ||||||||
| Analog Devices Inc. | 20.05% | 21.06% | 22.75% | 24.71% | 25.18% | 25.42% | 24.12% | 22.95% | 17.72% | 13.80% | 14.24% | 14.79% | 20.90% | 25.14% | 25.18% | 19.49% | 19.11% | 19.89% | 20.29% | — | — | — | — | — | — | — | ||||||||
| Apple Inc. | 21.35% | 21.49% | 21.24% | 21.50% | 22.12% | 22.72% | 22.41% | 21.98% | 21.55% | 21.12% | 21.09% | 20.87% | 20.74% | 20.73% | 21.19% | 21.70% | 22.27% | 22.87% | 22.85% | 22.62% | 22.53% | 22.25% | 21.61% | — | — | — | ||||||||
| Broadcom Inc. | 10.97% | 11.64% | 12.05% | 13.44% | 15.92% | 30.50% | 58.80% | 57.66% | 55.79% | 40.81% | 9.59% | 3.12% | -1.54% | -12.03% | -13.13% | -6.20% | -1.58% | 19.97% | 19.99% | 16.28% | 10.90% | 9.24% | 6.16% | — | — | — | ||||||||
| Cisco Systems Inc. | 21.44% | 21.15% | 22.39% | 25.76% | 25.31% | 2.52% | 0.22% | -2.61% | -3.00% | 20.26% | 20.02% | 20.61% | 20.24% | 21.73% | 21.81% | 20.72% | 20.84% | 19.32% | 18.27% | 18.30% | 18.00% | 16.25% | 16.66% | — | — | — | ||||||||
| Intel Corp. | — | 30.02% | 29.25% | 27.46% | 28.05% | 29.04% | 29.72% | 21.91% | 20.06% | 17.32% | 15.30% | 22.31% | 20.60% | 18.57% | 17.37% | 17.90% | 17.84% | 20.39% | 20.63% | — | — | — | — | — | — | — | ||||||||
| Lam Research Corp. | 21.67% | 22.38% | 22.70% | 25.64% | 26.70% | 21.26% | 21.49% | 18.32% | 17.60% | 22.85% | 21.19% | 19.82% | 15.67% | 15.02% | 15.53% | 13.51% | 14.39% | 14.07% | 12.47% | — | — | — | — | — | — | — | ||||||||
| Micron Technology Inc. | 11.72% | 17.01% | 26.97% | 37.36% | 43.56% | 46.82% | 46.51% | 43.36% | 38.68% | 32.77% | 25.04% | 14.66% | 4.68% | -2.32% | -2.23% | 2.86% | 7.80% | 14.04% | 17.90% | 21.27% | 22.97% | 21.85% | 18.61% | — | — | — | ||||||||
| NVIDIA Corp. | 26.92% | 30.67% | 35.34% | 37.79% | 36.22% | 34.45% | 31.37% | 28.78% | 27.41% | 26.05% | 24.11% | 19.86% | 16.97% | 13.32% | 12.26% | 12.33% | 11.01% | 13.28% | 13.47% | — | — | — | — | — | — | — | ||||||||
| Qualcomm Inc. | 16.36% | 17.31% | 18.07% | 13.41% | 11.57% | 10.03% | -21.40% | -18.40% | -20.15% | -18.64% | 11.06% | 17.26% | 19.25% | 20.56% | 24.22% | 22.64% | 21.70% | 20.02% | 20.85% | 23.02% | 26.04% | 29.91% | 30.08% | — | — | — | ||||||||
| Texas Instruments Inc. | — | 35.23% | 34.88% | 35.16% | 34.98% | 34.84% | 35.35% | 29.62% | 28.08% | 26.39% | 24.61% | 29.98% | 29.03% | 28.20% | 26.89% | 25.74% | 24.53% | 23.65% | 22.97% | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (filing date: 2020-05-21), 10-Q (filing date: 2020-02-20), 10-K (filing date: 2019-12-13), 10-Q (filing date: 2019-08-22), 10-Q (filing date: 2019-05-23), 10-Q (filing date: 2019-02-21), 10-K (filing date: 2018-12-13), 10-Q (filing date: 2018-08-23), 10-Q (filing date: 2018-05-24), 10-Q (filing date: 2018-02-22), 10-K (filing date: 2017-12-15), 10-Q (filing date: 2017-08-24), 10-Q (filing date: 2017-05-25), 10-Q (filing date: 2017-02-23), 10-K (filing date: 2016-12-15), 10-Q (filing date: 2016-08-25), 10-Q (filing date: 2016-05-26), 10-Q (filing date: 2016-02-25), 10-K (filing date: 2015-12-09), 10-Q (filing date: 2015-08-20), 10-Q (filing date: 2015-05-21), 10-Q (filing date: 2015-02-19), 10-K (filing date: 2014-12-17), 10-Q (filing date: 2014-08-21), 10-Q (filing date: 2014-05-22), 10-Q (filing date: 2014-02-20).
1 Q2 2020 Calculation
Net profit margin = 100
× (Net incomeQ2 2020
+ Net incomeQ1 2020
+ Net incomeQ4 2019
+ Net incomeQ3 2019)
÷ (Net salesQ2 2020
+ Net salesQ1 2020
+ Net salesQ4 2019
+ Net salesQ3 2019)
= 100 × (755 + 892 + 698 + 571)
÷ (3,957 + 4,162 + 3,754 + 3,562)
= 18.89%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Applied Materials Inc.’s net profit margin ratio improved from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
Return on Equity (ROE)
Applied Materials Inc., ROE calculation (quarterly data)
| Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | Jan 27, 2019 | Oct 28, 2018 | Jul 29, 2018 | Apr 29, 2018 | Jan 28, 2018 | Oct 29, 2017 | Jul 30, 2017 | Apr 30, 2017 | Jan 29, 2017 | Oct 30, 2016 | Jul 31, 2016 | May 1, 2016 | Jan 31, 2016 | Oct 25, 2015 | Jul 26, 2015 | Apr 26, 2015 | Jan 25, 2015 | Oct 26, 2014 | Jul 27, 2014 | Apr 27, 2014 | Jan 26, 2014 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||||||
| Net income | 755 | 892 | 698 | 571 | 666 | 771 | 876 | 1,173 | 1,129 | 135 | 982 | 925 | 824 | 703 | 610 | 505 | 320 | 286 | 336 | 329 | 364 | 348 | 256 | 301 | 262 | 253 | ||||||||
| Stockholders’ equity | 9,024 | 8,660 | 8,214 | 8,116 | 8,201 | 8,209 | 6,839 | 6,825 | 7,042 | 8,506 | 9,349 | 8,716 | 8,212 | 7,687 | 7,217 | 6,819 | 6,565 | 7,168 | 7,613 | 7,977 | 8,351 | 8,072 | 7,868 | 7,684 | 7,475 | 7,241 | ||||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||||||
| ROE1 | 32.31% | 32.64% | 32.94% | 35.53% | 42.51% | 48.11% | 48.44% | 50.10% | 45.03% | 33.69% | 36.73% | 35.13% | 32.17% | 27.81% | 23.85% | 21.22% | 19.36% | 18.35% | 18.09% | 16.26% | 15.20% | 14.46% | 13.62% | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| ROE, Competitors2 | ||||||||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | 16.04% | 12.06% | 9.60% | 10.05% | 15.21% | 26.62% | 32.00% | 37.43% | 27.55% | 7.04% | -13.27% | -130.94% | -112.71% | -119.47% | -142.34% | — | — | — | — | — | — | — | — | — | — | ||||||||
| Analog Devices Inc. | 9.59% | 10.37% | 11.64% | 12.88% | 13.37% | 13.66% | 13.61% | 12.99% | 10.06% | 7.52% | 7.16% | 6.81% | 8.40% | 17.23% | 16.68% | 13.28% | 13.29% | 13.67% | 13.74% | — | — | — | — | — | — | — | ||||||||
| Apple Inc. | 72.96% | 64.25% | 61.06% | 57.74% | 54.01% | 50.41% | 55.56% | 48.82% | 42.02% | 36.04% | 36.07% | 35.23% | 34.11% | 34.15% | 35.62% | 37.77% | 38.85% | 41.89% | 44.74% | 40.37% | 37.06% | 36.05% | 35.42% | — | — | — | ||||||||
| Broadcom Inc. | 10.48% | 10.83% | 10.92% | 13.91% | 15.66% | 27.99% | 45.99% | 42.53% | 34.18% | 29.66% | 8.34% | 2.67% | -1.29% | -9.86% | -9.20% | -3.48% | -0.71% | 27.14% | 28.94% | 24.99% | 16.40% | 13.23% | 8.11% | — | — | — | ||||||||
| Cisco Systems Inc. | 31.11% | 31.95% | 34.62% | 35.91% | 31.54% | 2.88% | 0.25% | -2.72% | -2.78% | 14.77% | 14.53% | 15.29% | 15.41% | 16.77% | 16.89% | 16.43% | 16.98% | 15.98% | 15.04% | 15.15% | 14.99% | 13.55% | 13.86% | — | — | — | ||||||||
| Intel Corp. | — | 29.78% | 27.16% | 26.05% | 26.35% | 27.93% | 28.24% | 21.22% | 18.97% | 15.81% | 13.91% | 19.52% | 18.52% | 16.81% | 15.58% | 16.43% | 16.46% | 18.76% | 18.70% | — | — | — | — | — | — | — | ||||||||
| Lam Research Corp. | 47.26% | 43.02% | 46.89% | 50.48% | 50.17% | 43.65% | 36.62% | 27.72% | 27.38% | 27.84% | 24.90% | 21.20% | 15.62% | 14.38% | 15.51% | 13.81% | 15.29% | 14.99% | 12.85% | — | — | — | — | — | — | — | ||||||||
| Micron Technology Inc. | 6.20% | 9.62% | 17.59% | 28.53% | 37.78% | 43.55% | 43.77% | 42.51% | 38.92% | 33.68% | 27.33% | 15.78% | 4.82% | -2.45% | -2.28% | 2.99% | 8.73% | 17.09% | 23.57% | 28.72% | 31.33% | 31.60% | 28.27% | — | — | — | ||||||||
| NVIDIA Corp. | 26.53% | 33.91% | 44.33% | 49.54% | 48.91% | 49.03% | 40.78% | 40.66% | 38.29% | 32.05% | 28.91% | 22.90% | 20.60% | 16.40% | 13.74% | 13.42% | 12.57% | 13.79% | 14.27% | — | — | — | — | — | — | — | ||||||||
| Qualcomm Inc. | 132.94% | 94.02% | 89.35% | 62.00% | 63.55% | 59.64% | -524.14% | -18.22% | -19.12% | -17.43% | 8.02% | 12.45% | 14.27% | 15.66% | 17.95% | 16.86% | 16.56% | 15.86% | 16.78% | 18.38% | 18.92% | 20.77% | 20.34% | — | — | — | ||||||||
| Texas Instruments Inc. | — | 64.31% | 56.33% | 57.72% | 62.82% | 63.75% | 62.04% | 44.55% | 41.38% | 38.07% | 35.62% | 39.91% | 38.46% | 36.48% | 34.33% | 32.90% | 31.76% | 31.09% | 30.02% | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (filing date: 2020-05-21), 10-Q (filing date: 2020-02-20), 10-K (filing date: 2019-12-13), 10-Q (filing date: 2019-08-22), 10-Q (filing date: 2019-05-23), 10-Q (filing date: 2019-02-21), 10-K (filing date: 2018-12-13), 10-Q (filing date: 2018-08-23), 10-Q (filing date: 2018-05-24), 10-Q (filing date: 2018-02-22), 10-K (filing date: 2017-12-15), 10-Q (filing date: 2017-08-24), 10-Q (filing date: 2017-05-25), 10-Q (filing date: 2017-02-23), 10-K (filing date: 2016-12-15), 10-Q (filing date: 2016-08-25), 10-Q (filing date: 2016-05-26), 10-Q (filing date: 2016-02-25), 10-K (filing date: 2015-12-09), 10-Q (filing date: 2015-08-20), 10-Q (filing date: 2015-05-21), 10-Q (filing date: 2015-02-19), 10-K (filing date: 2014-12-17), 10-Q (filing date: 2014-08-21), 10-Q (filing date: 2014-05-22), 10-Q (filing date: 2014-02-20).
1 Q2 2020 Calculation
ROE = 100
× (Net incomeQ2 2020
+ Net incomeQ1 2020
+ Net incomeQ4 2019
+ Net incomeQ3 2019)
÷ Stockholders’ equity
= 100 × (755 + 892 + 698 + 571)
÷ 9,024 = 32.31%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Applied Materials Inc.’s ROE deteriorated from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020. |
Return on Assets (ROA)
Applied Materials Inc., ROA calculation (quarterly data)
| Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | Jan 27, 2019 | Oct 28, 2018 | Jul 29, 2018 | Apr 29, 2018 | Jan 28, 2018 | Oct 29, 2017 | Jul 30, 2017 | Apr 30, 2017 | Jan 29, 2017 | Oct 30, 2016 | Jul 31, 2016 | May 1, 2016 | Jan 31, 2016 | Oct 25, 2015 | Jul 26, 2015 | Apr 26, 2015 | Jan 25, 2015 | Oct 26, 2014 | Jul 27, 2014 | Apr 27, 2014 | Jan 26, 2014 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||||||||
| Net income | 755 | 892 | 698 | 571 | 666 | 771 | 876 | 1,173 | 1,129 | 135 | 982 | 925 | 824 | 703 | 610 | 505 | 320 | 286 | 336 | 329 | 364 | 348 | 256 | 301 | 262 | 253 | ||||||||
| Total assets | 21,815 | 19,767 | 19,024 | 18,805 | 18,775 | 18,922 | 17,773 | 17,883 | 18,498 | 19,663 | 19,419 | 19,078 | 18,240 | 15,244 | 14,588 | 13,699 | 13,075 | 13,326 | 15,308 | 13,153 | 13,587 | 13,073 | 13,174 | 12,851 | 12,555 | 12,199 | ||||||||
| Profitability Ratio | ||||||||||||||||||||||||||||||||||
| ROA1 | 13.37% | 14.30% | 14.22% | 15.34% | 18.57% | 20.87% | 18.64% | 19.12% | 17.14% | 14.58% | 17.68% | 16.05% | 14.48% | 14.03% | 11.80% | 10.56% | 9.72% | 9.87% | 9.00% | 9.86% | 9.34% | 8.93% | 8.14% | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| ROA, Competitors2 | ||||||||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | 8.30% | 5.66% | 3.98% | 3.74% | 5.52% | 7.40% | 8.28% | 8.02% | 5.24% | 1.21% | -1.92% | -16.20% | -13.97% | -14.97% | -15.15% | -10.22% | -19.76% | -21.23% | — | — | — | — | — | — | — | ||||||||
| Analog Devices Inc. | 5.21% | 5.67% | 6.37% | 7.04% | 7.21% | 7.25% | 7.31% | 6.86% | 5.12% | 3.73% | 3.44% | 3.20% | 3.14% | 8.96% | 10.81% | 8.61% | 8.56% | 8.98% | 9.87% | — | — | — | — | — | — | — | ||||||||
| Apple Inc. | 17.86% | 16.89% | 16.32% | 17.28% | 16.72% | 15.90% | 16.28% | 16.07% | 14.51% | 12.42% | 12.88% | 13.52% | 13.67% | 13.65% | 14.20% | 15.64% | 16.60% | 18.32% | 18.38% | 18.57% | 18.30% | 16.98% | 17.04% | — | — | — | ||||||||
| Broadcom Inc. | 3.08% | 3.26% | 4.04% | 4.29% | 4.90% | 9.01% | 24.46% | 23.18% | 19.95% | 14.09% | 3.11% | 1.06% | -0.50% | -3.78% | -3.48% | -1.36% | -0.27% | 12.90% | 12.88% | 10.71% | 6.32% | 4.49% | 2.51% | — | — | — | ||||||||
| Cisco Systems Inc. | 12.22% | 11.89% | 11.88% | 13.59% | 12.56% | 1.20% | 0.10% | -1.11% | -1.10% | 7.42% | 7.40% | 7.94% | 7.79% | 8.42% | 8.83% | 8.63% | 9.17% | 8.57% | 7.91% | 8.39% | 8.25% | 7.39% | 7.47% | — | — | — | ||||||||
| Intel Corp. | — | 15.39% | 15.42% | 14.46% | 15.10% | 15.89% | 16.45% | 11.83% | 10.55% | 8.62% | 7.79% | 10.90% | 10.41% | 9.71% | 9.10% | 9.24% | 9.19% | 10.88% | 11.08% | — | — | — | — | — | — | — | ||||||||
| Lam Research Corp. | 17.37% | 17.21% | 18.26% | 20.71% | 26.95% | 21.20% | 19.08% | 13.80% | 13.03% | 16.33% | 14.00% | 12.04% | 8.67% | 7.04% | 7.45% | 7.84% | 8.71% | 8.37% | 7.00% | — | — | — | — | — | — | — | ||||||||
| Micron Technology Inc. | 4.63% | 7.07% | 12.91% | 21.77% | 27.50% | 33.08% | 32.59% | 29.10% | 24.24% | 20.40% | 14.40% | 7.67% | 2.13% | -1.08% | -1.00% | 1.35% | 4.32% | 8.62% | 12.01% | 14.23% | 16.34% | 16.37% | 13.53% | — | — | — | ||||||||
| NVIDIA Corp. | 18.56% | 23.47% | 31.15% | 34.37% | 33.40% | 33.02% | 27.11% | 26.28% | 24.32% | 20.88% | 16.93% | 12.68% | 12.37% | 9.68% | 8.33% | 8.35% | 7.54% | 8.61% | 8.76% | — | — | — | — | — | — | — | ||||||||
| Qualcomm Inc. | 12.67% | 12.81% | 13.31% | 9.92% | 7.22% | 6.30% | -14.88% | -6.77% | -7.10% | -6.48% | 3.77% | 6.05% | 7.98% | 9.34% | 10.90% | 10.18% | 9.80% | 9.55% | 10.38% | 11.67% | 15.17% | 16.64% | 16.40% | — | — | — | ||||||||
| Texas Instruments Inc. | — | 28.78% | 27.84% | 28.82% | 30.67% | 31.14% | 32.56% | 25.22% | 23.75% | 23.14% | 20.87% | 25.90% | 25.05% | 24.29% | 21.88% | 20.87% | 20.16% | 19.39% | 18.40% | — | — | — | — | — | — | — | ||||||||
Based on: 10-Q (filing date: 2020-05-21), 10-Q (filing date: 2020-02-20), 10-K (filing date: 2019-12-13), 10-Q (filing date: 2019-08-22), 10-Q (filing date: 2019-05-23), 10-Q (filing date: 2019-02-21), 10-K (filing date: 2018-12-13), 10-Q (filing date: 2018-08-23), 10-Q (filing date: 2018-05-24), 10-Q (filing date: 2018-02-22), 10-K (filing date: 2017-12-15), 10-Q (filing date: 2017-08-24), 10-Q (filing date: 2017-05-25), 10-Q (filing date: 2017-02-23), 10-K (filing date: 2016-12-15), 10-Q (filing date: 2016-08-25), 10-Q (filing date: 2016-05-26), 10-Q (filing date: 2016-02-25), 10-K (filing date: 2015-12-09), 10-Q (filing date: 2015-08-20), 10-Q (filing date: 2015-05-21), 10-Q (filing date: 2015-02-19), 10-K (filing date: 2014-12-17), 10-Q (filing date: 2014-08-21), 10-Q (filing date: 2014-05-22), 10-Q (filing date: 2014-02-20).
1 Q2 2020 Calculation
ROA = 100
× (Net incomeQ2 2020
+ Net incomeQ1 2020
+ Net incomeQ4 2019
+ Net incomeQ3 2019)
÷ Total assets
= 100 × (755 + 892 + 698 + 571)
÷ 21,815 = 13.37%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Applied Materials Inc.’s ROA improved from Q4 2019 to Q1 2020 but then deteriorated significantly from Q1 2020 to Q2 2020. |