This study investigates the impact of material parameters such as yield strength (Sy), Young’s modulus (E), and tangent modulus (T) on the safety factor (SF) of autofrettaged cylinders under 400 MPa working pressure, considering the three scenarios: no machining, internal machining, and external machining. Finite element (FE) simulations were conducted based on the Taguchi experimental design and converted into signal-to-noise (S/N) ratios to determine the optimal settings. ANOVA was utilized to evaluate the significance and percentage contributions of each factor. The analysis indicated that Sy is the most influential parameter on SF, contributing approximately 98.20% across all scenarios, including no machining, internal machining, and external machining. The contributions of E and T were minimal, but T had a slightly greater effect than E. The analytical validation of the FE model showed good agreement, with a maximum deviation of 4.37% for no machining, 4.75% for internal machining, and 5.20% for external machining. Regression analysis further confirmed the high prediction capability of the model, validated using AISI 4340 steel. The study concludes that internal machining results in higher residual stress loss compared to external machining. Overall, the analytical method tends to provide lower SF values than the numerical method, highlighting its conservative nature.