Comparing SG&A Expenses: Applied Materials, Inc. vs Teradyne, Inc. Trends and Insights

A Decade of SG&A Trends: Applied Materials vs. Teradyne

In the ever-evolving semiconductor industry, understanding the financial dynamics of key players is crucial. Over the past decade, Applied Materials, Inc. and Teradyne, Inc. have shown distinct trends in their Selling, General, and Administrative (SG&A) expenses. From 2014 to 2023, Applied Materials' SG&A expenses surged by approximately 102%, reflecting strategic investments and expansion efforts. In contrast, Teradyne's expenses grew by about 79% over the same period, indicating a more conservative approach.

Key Insights

• 2014-2018: Both companies maintained steady growth, with Applied Materials consistently outspending Teradyne by a ratio of nearly 3:1.
• 2019-2023: Applied Materials' expenses accelerated, peaking at nearly double their 2014 levels, while Teradyne's growth plateaued, suggesting a potential shift in operational strategies.

These trends highlight the contrasting financial strategies of these industry giants, offering valuable insights for investors and analysts alike.