Applied Materials vs. ASML: Which Can Carry a Bigger Research Bill?

What happened: Applied Materials (NASDAQ:AMAT) and ASML (NASDAQ:ASML) reported quarterly research expenses, and a comparison weighed which company can better absorb a higher research bill. Key numbers: AMAT research, development and engineering expense was $1.10 billion, 12.1% of $9.115 billion revenue. Why it matters: The article says ASML currently has more operating capacity relative to its research bill, while Applied's case rests on breadth and commercialization. It flags that ASML's low cash multiple needs scrutiny due to a large working-capital inflow. Market: +1.7% today ($416.54), +55.3% YTD, 0.6x vol — as of 19:47 UTC

Applied Materials (NASDAQ:AMAT) and ASML (NASDAQ:ASML) reported quarterly research expenses, and a comparison weighed which company can better absorb a higher research bill.

The article says ASML currently has more operating capacity relative to its research bill, while Applied's case rests on breadth and commercialization. It flags that ASML's low cash multiple needs scrutiny due to a large working-capital inflow. Market: +1.7% today ($416.54), +55.3% YTD, 0.6x vol — as of 19:47 UTC