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Applied Materials, Inc. (AMAT)
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Applied Materials, Inc. (AMAT) Interest Coverage Ratio: 30.81x

The interest coverage ratio for Applied Materials, Inc. (AMAT) is 30.81x as of Tuesday, June 16, 2026.

AMAT Interest Coverage Ratio Metrics

INTEREST COVERAGE RATIO

30.81x

AMAT Competitors' Interest Coverage Ratio

NAMEMARKET CAPINTEREST COVERAGE RATIOTTM3Y5Y
Applied Materials, Inc. (AMAT)$462.13B30.81xN/AN/AN/A
Lam Research Corporation (LRCX)vs ›$471.11B33.11x28.06x27.96x26.90x
Cisco Systems, Inc. (CSCO)vs ›$471.53B7.38x9.74x23.37x24.61x
Arm Holdings plc American Depositary Shares (ARM)vs ›$435.35BN/AN/AN/AN/A
Oracle Corporation (ORCL)vs ›$546.77B4.52x4.73x4.39x4.61x
Intel Corporation (INTC)vs ›$595.20B-0.02x2.41x12.47x28.32x
KLA Corporation (KLAC)vs ›$319.50B17.34x14.51x16.31x15.34x
Palantir Technologies Inc. (PLTR)vs ›$300.90BN/A34.57x34.57x34.57x
Sandisk Corporation (SNDK)vs ›$294.93B-21.86x133.33x133.33x133.33x
Texas Instruments Incorporated (TXN)vs ›$283.78B11.09x10.93x22.50x28.29x

Financial Health Indicators

Interest Coverage

30.8x

Debt/Equity

0.35

Current Ratio

2.61

Formula: Interest Coverage = EBIT / Interest Expense

Reference ranges:

  • < 1.5x: EBIT is less than 1.5 times interest expense
  • 1.5x - 3x: EBIT is between 1.5 and 3 times interest expense
  • 3x - 5x: EBIT is between 3 and 5 times interest expense
  • > 5x: EBIT is more than 5 times interest expense

Note: Interest coverage should be compared with historical interest expense, operating income, and industry capital structure.

Applied Materials, Inc. Interest Coverage Ratio Formula & Definition

Interest Coverage = EBIT / Interest Expense

The interest coverage ratio measures operating earnings relative to interest expense.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Applied Materials, Inc. Interest Coverage Ratio FAQ

What is the interest coverage ratio for Applied Materials, Inc. (AMAT)?
The interest coverage ratio for AMAT stock is 30.81x.

About Applied Materials, Inc.

Applied Materials, Inc. is a prominent provider of crucial manufacturing equipment, associated services, and software solutions. These offerings primarily cater to the semiconductor, display, and related high-technology industries. The company organizes its activities into three principal business segments: 1. Semiconductor Systems: This division is dedicated to the development, production, and sale of sophisticated manufacturing tools essential for fabricating semiconductor chips, also known as integrated circuits. Its comprehensive suite of technologies includes epitaxy, ion implantation, oxidation/nitridation, rapid thermal processing, physical vapor deposition, chemical vapor deposition, chemical mechanical planarization, electrochemical deposition, atomic layer deposition, etching, and selective deposition and removal processes, in addition to precision metrology and inspection instruments. 2. Applied Global Services: This segment delivers integrated solutions aimed at maximizing the performance and productivity of manufacturing facilities and their equipment. Its services encompass providing spare parts, system upgrades, maintenance support, refurbished older-generation equipment, and advanced factory automation software for semiconductor, display, and other product lines. 3. Display and Adjacent Markets: This unit focuses on supplying products for the creation of various display technologies. This includes manufacturing solutions for liquid crystal displays (LCDs), organic light-emitting diodes (OLEDs), and other display types, which are integral to a broad spectrum of consumer electronics such as televisions, computer monitors, laptops, personal computers, electronic tablets, and smartphones. Founded in 1967, Applied Materials, Inc. maintains its corporate headquarters in Santa Clara, California. The company boasts a significant international presence, conducting operations across the United States, China, Korea, Taiwan, Japan, Southeast Asia, and Europe.

Santa Clara, CA
36,000 employees
Technology / Semiconductors
Sector
Technology
Industry
Semiconductors
CEO
Gary E. Dickerson