Applied MaterialsXTER:AP2 +1.00%81 OCF Margin % is 10.68% as of Apr. 2026, which is 55% below its 10-year median of 23.65. GuruFocus rates XTER:AP2 with a GF Score™ of 81/100 and a GF Value™ of €190.67 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,023 Semiconductors companies, Applied Materials ranks better than 85.92% on this metric.
The historical rank and industry rank for Applied Materials's OCF Margin % or its related term are showing as below:
XTER:AP2'
s OCF Margin % Range Over the Past 10 Years
Min: 20.94 Med: 23.65 Max: 32.81
Current: 27.56
During the past 13 years, the highest OCF Margin % of Applied Materials was 32.81%. The lowest was 20.94%. And the median was 23.65%.
XTER:AP2's OCF Margin % is ranked better than 85.92% of 1023
companies
in the Semiconductors industry
Industry Median: 9.39
vs XTER:AP2: 27.56
Applied Materials OCF Margin % Related Terms
Applied Materials OCF Margin % Historical Data
* Premium members only.
The historical data trend for Applied Materials's OCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XTER:AP2 vs LRCX, KLAC, TER: OCF Margin % Comparison
For the Semiconductor Equipment & Materials subindustry, Applied Materials's OCF Margin %, along with its competitors' market caps and OCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Applied Materials OCF Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Applied Materials's OCF Margin % distribution charts can be found below:
* The bar in red indicates where Applied Materials's OCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Applied Materials (XTER:AP2) has a OCF Margin % of 10.68% as of Apr. 2026. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Applied Materials and its competitors. This is 55% below median its historical median of 23.65. Over the past decade, Applied Materials' OCF Margin % has ranged from 20.94 to 32.81. According to the industry distribution chart, Applied Materials ranks #144 out of 1023 companies in the Semiconductors industry, placing it in the top 14.1%.
Is Applied Materials' OCF Margin % too high?
Applied Materials' current OCF Margin % of 10.68% is 55% below median its 10-year median of 23.65. Over the past 10 years, this metric has ranged from a low of 20.94 to a high of 32.81. The Semiconductors industry median OCF Margin % is 9.39. Applied Materials' value of 10.68% is 13.7% above this industry median. Based on the distribution chart, Applied Materials ranks #144 out of 1023 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Applied Materials has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Applied Materials' OCF Margin % compare to LRCX and KLAC?
According to the Semiconductors industry distribution chart, Applied Materials ranks #144 out of 1023 companies for OCF Margin %. This places Applied Materials in the top 14% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 9.39. Applied Materials' value of 10.68% is 13.7% above this benchmark. Historically, Applied Materials' own OCF Margin % has ranged from 20.94 to 32.81 over the past decade. While the company's 10-year median is 23.65 vs. the industry median of 9.39, Applied Materials has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good OCF Margin % for a Semiconductors company?
The median OCF Margin % among Semiconductors companies is 9.39, based on 1,023 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Applied Materials's current OCF Margin % of 10.68% is 13.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Applied Materials and its competitors. For the Semiconductors industry, the median OCF Margin % is 9.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Applied Materials's current OCF Margin % is 10.68%, which is 55% below median its own 10-year median of 23.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Applied Materials stock overvalued right now?
Based on GuruFocus' analysis, Applied Materials (XTER:AP2) is currently considered Significantly Overvalued. The stock's GF Value™ is €190.67, compared to a current price of €516.10 — trading 170.7% above its estimated fair value. The current OCF Margin % is 10.68%, which is 55% below median its 10-year median of 23.65 and 13.7% above the Semiconductors industry median of 9.39. Applied Materials' overall GF Score™ is 81/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For Applied Materials (XTER:AP2), the current OCF Margin % is 10.68% as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Applied Materials (XTER:AP2) Overvalued in 2026?
Based on GuruFocus' analysis, Applied Materials stock appears to be overvalued.
The current stock price of €516.10 is trading 170.7% above its estimated GF Value™ of €190.67.
GuruFocus considers Applied Materials to be Significantly Overvalued.
Key valuation signals for XTER:AP2:
OCF Margin %: 10.68% (55% below median its 10-year median of 23.65)
GF Value™: €190.67 vs. price of €516.10 (170.7% above fair value)
Industry Position: 13.7% above the Semiconductors median (#144 of 1023)
No single metric tells the full story. See the XTER:AP2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Applied Materials is the largest semiconductor wafer fabrication equipment manufacturer in the world. It has a broad portfolio spanning nearly every corner of the WFE ecosystem. Applied Materials holds leading market share in deposition, which entails the layering of new materials on semiconductor wafers. It is more exposed to general-purpose logic chips made at integrated device manufacturers and foundries. It counts the largest chipmakers in the world as customers, including TSMC, Intel, and Samsung.
81GF Score
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