Applied Materials, Inc. (AMAT) Two-Stage Dividend Discount Model - Discounting Cash Flows
Applied Materials, Inc.
AMAT (NASDAQ)

Estimated Value

USD

Market Price USD

* Values are not guaranteed, please do your own
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Two-Stage Dividend Discount Model

Used to estimate the value of companies based on two stages of growth. An initial period of high growth, calculated using [Sum of Discounted Dividends], followed by a period of stable growth, calculated using [Discounted Terminal Value].

Read more: GitHub Documentation

Interactive Assumptions

Results

Sum of discounted dividends 9.54 USD
Discounted terminal value 128.7 USD
Terminal value 221.4 USD
Dividend in stable phase 15.96 USD
EPS in stable phase 17.83 USD
Average historical Dividend Growth Rate 15.66%
Average historical Payout Ratio 20.65%
Average historical Return on Equity 40.76%

Historical and Projected Dividends

In USD

Edit Chart Values 2025 2026 2027 2028 2029

amounts of USD except for #

2024 LTM 2025 2026 2027 2028 2029
Earnings Per Share 8.68 8.27 9.56 11.05 12.78 14.78 17.1
Dividend per Share 1.52 1.72 1.97 2.28 2.64 3.05 3.53
Dividend Growth Rate 24.59% 13.16% 29.81% 15.66% 15.66% 15.66% 15.66%
Discounted Dividend 1.52 1.72 1.77 1.84 1.91 1.98 2.05

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Net Income 4,464 6,758 7,177 6,856 6,525 5,888 3,619 2,706 3,038 3,434 1,721 1,377
Equity 11,688 18,961 19,001 16,349 12,194 12,247 10,578 8,214 6,845 9,349 7,217 7,613
Return on Equity 40.76% 35.57% 43.9% 56.22% 53.28% 55.66% 44.06% 39.53% 32.5% 47.58% 22.61% 17.5%
Common Dividends 823.8 1,395 1,257 1,025 888.4 855.4 796.9 777.7 709.1 429.2 442.8 485.6
Payout Ratio 20.65% 20.8% 17.51% 14.95% 13.62% 14.53% 22.03% 28.72% 21.41% 12.5% 25.64% 35.4%
Shares Outstanding 956.3 811 827 840 871 910 916 937 1,013 1,073 1,107 1,214
Reference Market Price 95.04 183.8 162.6 162.1 97.38 157.4 86.3 61.04 32.74 51.12 32.27 18.67
EPS 5.01 8.27 8.68 8.16 7.49 6.47 3.95 2.89 3.27 3.2 1.56 1.13
Dividend per Share 0.911 1.72 1.52 1.22 1.02 0.94 0.87 0.83 0.7 0.4 0.4 0.4
Dividend Growth Rate 21.54% 13.16% 24.59% 19.61% 8.51% 8.05% 4.82% 18.57% 75% 0% 0% 0%
Dividend Yield 1.18% 0.936% 0.935% 0.753% 1.05% 0.597% 1.01% 1.36% 2.14% 0.782% 1.24% 2.14%
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Discounting Cash Flows

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