WallStSmart

Broadcom Inc (AVGO)vsSemtech Corporation (SMTC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Broadcom Inc generates 6824% more annual revenue ($75.46B vs $1.09B). AVGO leads profitability with a 38.9% profit margin vs -3.0%. AVGO appears more attractively valued with a PEG of 0.69. AVGO earns a higher WallStSmart Score of 80/100 (A-).

AVGO

Exceptional Buy

80

out of 100

Grade: A-

Growth: 10.0Profit: 9.5Value: 5.0Quality: 7.0
Piotroski: 6/9Altman Z: 1.59

SMTC

Hold

37

out of 100

Grade: F

Growth: 8.0Profit: 4.0Value: 4.0Quality: 6.5
Piotroski: 6/9Altman Z: 1.06

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVGO6 strengths · Avg: 10.0/10
Market CapQuality
$1.87T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
33.4%10/10

Every $100 of equity generates 33 in profit

Profit MarginProfitability
38.9%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
49.0%10/10

Strong operational efficiency at 49.0%

Revenue GrowthGrowth
47.9%10/10

Revenue surging 47.9% year-over-year

EPS GrowthGrowth
85.4%10/10

Earnings expanding 85.4% YoY

SMTC2 strengths · Avg: 8.0/10
Revenue GrowthGrowth
15.9%8/10

15.9% revenue growth

EPS GrowthGrowth
22.7%8/10

Earnings expanding 22.7% YoY

Areas to Watch

AVGO3 concerns · Avg: 2.7/10
Altman Z-ScoreHealth
1.594/10

Distress zone — elevated risk

P/E RatioValuation
63.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
20.9x2/10

Trading at 20.9x book value

SMTC4 concerns · Avg: 2.0/10
PEG RatioValuation
3.392/10

Expensive relative to growth rate

Price/BookValuation
27.5x2/10

Trading at 27.5x book value

Return on EquityProfitability
-5.8%2/10

ROE of -5.8% — below average capital efficiency

Altman Z-ScoreHealth
1.062/10

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 38.9% and operating margin at 49.0%. Revenue growth of 47.9% demonstrates continued momentum.

Bull Case : SMTC

The strongest argument for SMTC centers on Revenue Growth, EPS Growth. Revenue growth of 15.9% demonstrates continued momentum.

Bear Case : AVGO

The primary concerns for AVGO are Altman Z-Score, P/E Ratio, Price/Book. A P/E of 63.7x leaves little room for execution misses.

Bear Case : SMTC

The primary concerns for SMTC are PEG Ratio, Price/Book, Return on Equity.

Key Dynamics to Monitor

SMTC carries more volatility with a beta of 2.32 — expect wider price swings.

AVGO is growing revenue faster at 47.9% — sustainability is the question.

AVGO generates stronger free cash flow (10.3B), providing more financial flexibility.

Monitor SEMICONDUCTORS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

AVGO scores higher overall (80/100 vs 37/100), backed by strong 38.9% margins and 47.9% revenue growth. Both earn "Exceptional Buy" and "Hold" 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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Semtech Corporation

TECHNOLOGY · SEMICONDUCTORS · USA

Semtech Corporation designs, develops, manufactures, and markets mixed-signal and analog semiconductor products and advanced algorithms. The company is headquartered in Camarillo, California.

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