A little treat for the weekendComparison of Machine Manufacturers

Hello, everyone,

I've been monitoring the correction among semiconductor equipment manufacturers for weeks now.

And a brand-new analysis by the agents at @Raketentoni has identified these stocks as current long-term picks.

Further proof of their reliability is that our star investor @Simpson has been invested here for years.

That’s why, my friends, I’ve put together a comparison for you this weekend.

Please let me know in the comments how you like this type of comparison and whether you’d like to see more of it.

In a future post, there will be a poll. Feel free to select your top pick there.

$AMAT (-4,16%)

$KLAC (-3,88%)

$LRCX (-3,49%)

🏆 My ranking of the three companies

🥇 1. Applied Materials – most attractive valuation profile

In 2028, only 19.97× P/E
PEG drops to 0.87× 2027
2028 even -0.20× PEG according to your data
EPS rises from €7.43 to €20.72
Earnings growth remains steady in 2027/28 at 39.42% / 29.03% strong
At the same time, it has the highest dividend of the three

➡️ For me, clearly the best balance of growth and valuation.

🥈 2. Lam Research – strongest growth, but more expensive

Highest earnings growth in 2027: +60.76%
EPS rises by about 184% from 2025 to 2028
Although the P/E ratio falls from 55.31× to 27.08×
the PEG ratio will rise to 1.60×

➡️ Extremely strong operational performance, but the market continues to demand a high valuation for it.

🥉 3. KLA – an outstanding company, but the most expensive in terms of PEG

Strong earnings growth
Still +46.45%
P/E ratio falls to 27.46×
However, the PEG rises to 2.26× in 2028

➡️ Very interesting from a qualitative perspective, but currently the most challenging valuation based on the multiples.

My conclusion: If I consider the multiples and earnings forecasts provided by onVista , Applied Materials is currently the clear favorite. Lam Research has the most impressive growth, but this growth is more heavily factored into the stock price and multiples. KLA appears to be the most expensive in terms of its P/E-to-growth ratio.

Note: Applied Materials’ negative PEG for 2028 is striking and should be cross-checked against the original MarketScreener table before making an investment decision.

Maximilian@Max095

1Mês

Thanks for the great summary! 😊 I'm invested in $ASML

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Tenbagger-Capital@Tenbagger-Capital

@Max095 ASML is a good fit, too—maybe you could add a U.S. stock as well.

@Tenbagger2024 $KLAC That would be an interesting addition for me

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@Max095 or Applied

Patschke6686@Patschke6686

I'm invested in all of them. I've been invested in KLA for a long time. That's why I only recently started investing in the other two 👍🏻

Max@Maximilian1

@Max095 That's right, my dear

TioPatinhas@Notyourbusiness

Hey,

I usually don't comment on this posts but I think my perspective can add some value - I work as an engineer for a very well know semiconductor company and have technical background on the topic.

I am personally invested in only 1 of these companies and that would be KLA.
My purchases are never done by looking at charts or trends. I look at the intrinsic value of the company.
KLA almost has a monopoly. Only they manufacture high end defectivity inspection devices and that is an indispensable technology for chips manufacturing. There is no way around them. That's why the charge the prices they want and they have huge margins.
Besides thay, they are one of the few US companies that is still market leader on this manufacturing chain, so it will be heavily protected.
Also, semiconductor prices are cyclical, meaning chip manufacturers and designers have very volatile profits. Semiconductor equipment manufacturers however have it way more stable. FABs need to be built maby years before the demand is there, so there is a more stable revenue (even though stock prices don't follow that).

A little treat for the weekend. Comparison of Machine Manufacturers