WallStSmart

Broadcom Inc (AVGO)vsOkta Inc (OKTA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Broadcom Inc generates 2239% more annual revenue ($68.28B vs $2.92B). AVGO leads profitability with a 36.6% profit margin vs 8.1%. AVGO appears more attractively valued with a PEG of 0.67. AVGO earns a higher WallStSmart Score of 76/100 (B+).

AVGO

Strong Buy

76

out of 100

Grade: B+

Growth: 9.3Profit: 9.5Value: 4.0Quality: 6.5
Piotroski: 6/9Altman Z: 1.59

OKTA

Buy

60

out of 100

Grade: C

Growth: 8.0Profit: 5.0Value: 4.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AVGOSignificantly Overvalued (-30.8%)

Margin of Safety

-30.8%

Fair Value

$240.55

Current Price

$314.55

$74.00 premium

UndervaluedFair: $240.55Overvalued
OKTASignificantly Overvalued (-43.8%)

Margin of Safety

-43.8%

Fair Value

$61.31

Current Price

$80.19

$18.88 premium

UndervaluedFair: $61.31Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVGO6 strengths · Avg: 9.7/10
Market CapQuality
$1.49T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
33.4%10/10

Every $100 of equity generates 33 in profit

Profit MarginProfitability
36.6%10/10

Keeps 37 of every $100 in revenue as profit

Operating MarginProfitability
31.8%10/10

Strong operational efficiency at 31.8%

EPS GrowthGrowth
188.1%10/10

Earnings expanding 188.1% YoY

PEG RatioValuation
0.678/10

Growing faster than its price suggests

OKTA4 strengths · Avg: 9.0/10
EPS GrowthGrowth
170.8%10/10

Earnings expanding 170.8% YoY

Debt/EquityHealth
0.0610/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.858/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Areas to Watch

AVGO2 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.594/10

Distress zone — elevated risk

P/E RatioValuation
61.0x2/10

Premium valuation, high expectations priced in

OKTA3 concerns · Avg: 2.3/10
Return on EquityProfitability
3.5%3/10

ROE of 3.5% — below average capital efficiency

P/E RatioValuation
60.4x2/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : AVGO

The strongest argument for AVGO centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 36.6% and operating margin at 31.8%. Revenue growth of 16.4% demonstrates continued momentum.

Bull Case : OKTA

The strongest argument for OKTA centers on EPS Growth, Debt/Equity, PEG Ratio. Revenue growth of 11.6% demonstrates continued momentum. PEG of 0.85 suggests the stock is reasonably priced for its growth.

Bear Case : AVGO

The primary concerns for AVGO are Altman Z-Score, P/E Ratio. A P/E of 61.0x leaves little room for execution misses.

Bear Case : OKTA

The primary concerns for OKTA are Return on Equity, P/E Ratio, Altman Z-Score. A P/E of 60.4x leaves little room for execution misses.

Key Dynamics to Monitor

AVGO profiles as a growth stock while OKTA is a value play — different risk/reward profiles.

AVGO carries more volatility with a beta of 1.26 — expect wider price swings.

AVGO is growing revenue faster at 16.4% — sustainability is the question.

AVGO generates stronger free cash flow (8.0B), providing more financial flexibility.

Bottom Line

AVGO scores higher overall (76/100 vs 60/100), backed by strong 36.6% margins and 16.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Broadcom Inc

TECHNOLOGY · SEMICONDUCTORS · USA

Broadcom Inc. is an American designer, developer, manufacturer and global supplier of a wide range of semiconductor and infrastructure software products. Broadcom's product offerings serve the data center, networking, software, broadband, wireless, and storage and industrial markets.

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Okta Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Okta Inc. is a leading identity and access management platform that provides enterprises worldwide with robust and secure authentication solutions designed to enhance digital security and user experience. With a comprehensive array of services, including single sign-on, multi-factor authentication, and lifecycle management, Okta enables organizations to effectively manage and safeguard user identities across diverse environments, both on-premises and in the cloud. Recognized for its innovative approach and exceptional customer service, Okta is strategically positioned for sustained growth in the rapidly evolving cybersecurity landscape, making it a critical partner for businesses aiming to navigate the complexities of digital transformation.

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