WallStSmart

Broadcom Inc (AVGO)vsQualcomm Incorporated (QCOM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Broadcom Inc generates 52% more annual revenue ($68.28B vs $44.87B). AVGO leads profitability with a 36.6% profit margin vs 12.0%. QCOM appears more attractively valued with a PEG of 0.56. AVGO earns a higher WallStSmart Score of 76/100 (B+).

AVGO

Strong Buy

76

out of 100

Grade: B+

Growth: 9.3Profit: 9.5Value: 4.7Quality: 7.5
Piotroski: 6/9Altman Z: 1.59

QCOM

Buy

61

out of 100

Grade: C+

Growth: 4.7Profit: 8.0Value: 7.3Quality: 8.5
Piotroski: 4/9Altman Z: 3.17
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AVGOSignificantly Overvalued (-33.5%)

Margin of Safety

-33.5%

Fair Value

$232.60

Current Price

$310.51

$77.91 premium

UndervaluedFair: $232.60Overvalued
QCOMSignificantly Overvalued (-285.1%)

Margin of Safety

-285.1%

Fair Value

$33.73

Current Price

$129.90

$96.17 premium

UndervaluedFair: $33.73Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVGO6 strengths · Avg: 9.7/10
Market CapQuality
$1.47T10/10

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
0.708/10

Growing faster than its price suggests

QCOM6 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.1710/10

Safe zone — low bankruptcy risk

Market CapQuality
$138.74B9/10

Large-cap with strong market position

Return on EquityProfitability
21.5%9/10

Every $100 of equity generates 22 in profit

PEG RatioValuation
0.568/10

Growing faster than its price suggests

Operating MarginProfitability
27.5%8/10

Strong operational efficiency at 27.5%

Free Cash FlowQuality
$4.42B8/10

Generating 4.4B in free cash flow

Areas to Watch

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

Distress zone — elevated risk

P/E RatioValuation
62.5x2/10

Premium valuation, high expectations priced in

QCOM2 concerns · Avg: 3.0/10
P/E RatioValuation
26.2x4/10

Moderate valuation

EPS GrowthGrowth
-1.8%2/10

Earnings declined 1.8%

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 : QCOM

The strongest argument for QCOM centers on Altman Z-Score, Market Cap, Return on Equity. PEG of 0.56 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 62.5x leaves little room for execution misses.

Bear Case : QCOM

The primary concerns for QCOM are P/E Ratio, EPS Growth.

Key Dynamics to Monitor

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

QCOM carries more volatility with a beta of 1.27 — 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 61/100), 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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Qualcomm Incorporated

TECHNOLOGY · SEMICONDUCTORS · USA

Qualcomm is an American multinational corporation headquartered in San Diego, California, and incorporated in Delaware. It creates semiconductors, software, and services related to wireless technology. It owns patents critical to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.

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