Broadcom Inc (AVGO)vsStoneCo Ltd (STNE)
AVGO
Broadcom Inc
$430.00
+4.23%
TECHNOLOGY · Cap: $2.04T
STNE
StoneCo Ltd
$10.77
-2.45%
TECHNOLOGY · Cap: $2.69B
Smart Verdict
WallStSmart Research — data-driven comparison
Broadcom Inc generates 410% more annual revenue ($68.28B vs $13.40B). AVGO leads profitability with a 36.6% profit margin vs 17.3%. STNE trades at a lower P/E of 6.3x. STNE earns a higher WallStSmart Score of 78/100 (B+).
AVGO
Strong Buy78
out of 100
Grade: B+
STNE
Strong Buy78
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AVGO.
Margin of Safety
+89.5%
Fair Value
$168.87
Current Price
$10.77
$158.10 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 33 in profit
Keeps 37 of every $100 in revenue as profit
Strong operational efficiency at 44.9%
Growing faster than its price suggests
Revenue surging 29.5% year-over-year
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 46.3%
Every $100 of equity generates 21 in profit
Earnings expanding 46.1% YoY
Areas to Watch
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 25.5x book value
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull 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 44.9%. Revenue growth of 29.5% demonstrates continued momentum.
Bull Case : STNE
The strongest argument for STNE centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 17.3% and operating margin at 46.3%. Revenue growth of 11.2% demonstrates continued momentum.
Bear Case : AVGO
The primary concerns for AVGO are Altman Z-Score, P/E Ratio, Price/Book. A P/E of 84.0x leaves little room for execution misses.
Bear Case : STNE
No major red flags identified for STNE, but monitor valuation.
Key Dynamics to Monitor
AVGO profiles as a growth stock while STNE is a mature play — different risk/reward profiles.
STNE carries more volatility with a beta of 1.60 — expect wider price swings.
AVGO is growing revenue faster at 29.5% — sustainability is the question.
AVGO generates stronger free cash flow (8.0B), providing more financial flexibility.
Bottom Line
AVGO scores higher overall (78/100 vs 78/100), backed by strong 36.6% margins and 29.5% revenue growth. STNE offers better value entry with a 89.5% margin of safety. Both earn "Strong Buy" and "Strong 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.
Visit Website →StoneCo Ltd
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
StoneCo Ltd. provides fintech solutions to merchants and integrated partners to conduct e-commerce through store, online and mobile channels in Brazil.
Compare with Other SEMICONDUCTORS Stocks
Want to dig deeper into these stocks?