WallStSmart

Broadcom Inc (AVGO)vsSemtech Corporation (SMTC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Broadcom Inc generates 7488% more annual revenue ($89.10B vs $1.17B). AVGO leads profitability with a 42.9% profit margin vs 13.1%. AVGO appears more attractively valued with a PEG of 0.36. AVGO earns a higher WallStSmart Score of 80/100 (A-).

AVGO

Exceptional Buy

80

out of 100

Grade: A-

Growth: 10.0Profit: 10.0Value: 6.3Quality: 7.0
Piotroski: 6/9Altman Z: 1.59

SMTC

Buy

60

out of 100

Grade: C+

Growth: 8.7Profit: 7.0Value: 3.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.06

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVGO6 strengths · Avg: 10.0/10
Market CapQuality
$1.73T10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.3610/10

Growing faster than its price suggests

Return on EquityProfitability
38.4%10/10

Every $100 of equity generates 38 in profit

Profit MarginProfitability
42.9%10/10

Keeps 43 of every $100 in revenue as profit

Operating MarginProfitability
54.3%10/10

Strong operational efficiency at 54.3%

Revenue GrowthGrowth
85.5%10/10

Revenue surging 85.5% year-over-year

SMTC3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
32.7%10/10

Revenue surging 32.7% year-over-year

Return on EquityProfitability
20.6%9/10

Every $100 of equity generates 21 in profit

EPS GrowthGrowth
22.7%8/10

Earnings expanding 22.7% YoY

Areas to Watch

AVGO3 concerns · Avg: 3.3/10
Price/BookValuation
17.1x4/10

Trading at 17.1x book value

Altman Z-ScoreHealth
1.594/10

Distress zone — elevated risk

P/E RatioValuation
46.2x2/10

Premium valuation, high expectations priced in

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

Expensive relative to growth rate

P/E RatioValuation
107.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
30.0x2/10

Trading at 30.0x book value

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, PEG Ratio, Return on Equity. Profitability is solid with margins at 42.9% and operating margin at 54.3%. Revenue growth of 85.5% demonstrates continued momentum.

Bull Case : SMTC

The strongest argument for SMTC centers on Revenue Growth, Return on Equity, EPS Growth. Revenue growth of 32.7% demonstrates continued momentum.

Bear Case : AVGO

The primary concerns for AVGO are Price/Book, Altman Z-Score, P/E Ratio. A P/E of 46.2x leaves little room for execution misses.

Bear Case : SMTC

The primary concerns for SMTC are PEG Ratio, P/E Ratio, Price/Book. A P/E of 107.7x leaves little room for execution misses.

Key Dynamics to Monitor

SMTC carries more volatility with a beta of 2.35 — expect wider price swings.

AVGO is growing revenue faster at 85.5% — sustainability is the question.

AVGO generates stronger free cash flow (13.7B), providing more financial flexibility.

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

Bottom Line

AVGO scores higher overall (80/100 vs 60/100), backed by strong 42.9% margins and 85.5% revenue growth. Both earn "Exceptional 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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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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