Applied Materials, Inc. (AMAT) vs Cisco Systems, Inc. (CSCO)

CSCO leads on 9 of 17 compared metrics.

A side-by-side comparison of Applied Materials, Inc. and Cisco Systems, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — AMAT vs CSCO

growth of $100 · last 30y
AMAT +12762.8%CSCO +1850.1%AMAT compounded faster
Log scale — wide-divergence pair
101001k10k100kStart $100200120062011201620212026$12,863$1,950
AMAT CSCO

AMAT vs CSCO: by the numbers

  • CSCO is the larger company ($477.31B vs $450.37B market cap).
  • CSCO trades at the lower earnings multiple (40.37 vs 53.31 P/E).
  • AMAT converts more revenue to profit (29.31% vs 19.69% net margin).
  • AMAT grew revenue faster over the past five years (9.33% vs 4.58% CAGR).
  • CSCO pays the higher dividend yield (1.36% vs 0.34%).

Which is better, AMAT or CSCO?

Metric tally: AMAT 8 · CSCO 9

It depends on what you're optimizing for:

ValueCSCO(lower P/E)
GrowthAMAT(faster 5Y revenue CAGR)
IncomeCSCO(higher dividend yield)
QualityAMAT(higher ROIC)

Valuation

MetricAMATCSCO
P/E ratio53.3140.37
Forward P/E46.3828.33
P/S ratio15.627.95
P/B ratio18.969.88
PEG ratio76.9068.41
EV / EBITDA42.4229.07
FCF yield1.32%2.61%

Profitability

MetricAMATCSCO
Gross margin48.96%64.33%
Operating margin29.51%23.36%
Net margin29.31%19.69%
ROE35.58%24.47%
ROIC21.96%11.66%

Dividends

MetricAMATCSCO
Dividend yield0.34%1.36%
Payout ratio21.93%64.45%

Growth (annualized)

MetricAMATCSCO
Revenue CAGR (5Y)9.33%4.58%
EPS CAGR (5Y)17.13%-0.69%
FCF CAGR (5Y)9.02%-2.45%
Total return CAGR (5Y)34.01%20.60%

Frequently asked

Which is better, AMAT or CSCO?
It depends on your goal. value: CSCO (lower P/E); growth: AMAT (faster 5Y revenue CAGR); income: CSCO (higher dividend yield); quality: AMAT (higher ROIC). Across all compared metrics, CSCO leads 9 to 8.
Is AMAT or CSCO cheaper?
On trailing earnings, CSCO is cheaper: AMAT trades at a 53.31 P/E and CSCO at 40.37.
Which has grown faster, AMAT or CSCO?
Over the past five years, AMAT grew revenue faster — AMAT at a 9.33% CAGR versus CSCO at 4.58%.
Does AMAT or CSCO pay a bigger dividend?
AMAT yields 0.34% and CSCO yields 1.36% based on trailing dividends and the latest price.
Is AMAT or CSCO more profitable?
AMAT runs the higher net margin — AMAT at 29.31% versus CSCO at 19.69%.
Which has been the better investment, AMAT or CSCO?
Over the past 10-year, AMAT delivered the higher annualized total return — AMAT at 38.64% versus CSCO at 18.88%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 13, 2026.