Broadcom Inc (AVGO)vsZscaler Inc (ZS)
AVGO
Broadcom Inc
$430.00
+4.23%
TECHNOLOGY · Cap: $2.04T
ZS
Zscaler Inc
$152.13
-0.43%
TECHNOLOGY · Cap: $24.57B
Smart Verdict
WallStSmart Research — data-driven comparison
Broadcom Inc generates 2175% more annual revenue ($68.28B vs $3.00B). AVGO leads profitability with a 36.6% profit margin vs -2.3%. AVGO appears more attractively valued with a PEG of 0.93. AVGO earns a higher WallStSmart Score of 78/100 (B+).
AVGO
Strong Buy78
out of 100
Grade: B+
ZS
Avoid34
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AVGO.
Margin of Safety
+47.3%
Fair Value
$324.31
Current Price
$152.13
$172.18 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
Revenue surging 25.9% year-over-year
Areas to Watch
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 25.5x book value
Expensive relative to growth rate
Trading at 11.1x book value
0.0% earnings growth
Weak financial health signals
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 : ZS
The strongest argument for ZS centers on Revenue Growth. Revenue growth of 25.9% demonstrates continued momentum.
Bear Case : AVGO
The primary concerns for AVGO are Altman Z-Score, P/E Ratio, Price/Book. A P/E of 84.0x leaves little room for execution misses.
Bear Case : ZS
The primary concerns for ZS are PEG Ratio, Price/Book, EPS Growth.
Key Dynamics to Monitor
AVGO carries more volatility with a beta of 1.44 — 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.
Monitor SEMICONDUCTORS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AVGO scores higher overall (78/100 vs 34/100), backed by strong 36.6% margins and 29.5% revenue growth. ZS offers better value entry with a 47.3% margin of safety. Both earn "Strong Buy" and "Avoid" 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 →Zscaler Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Zscaler, Inc. is a global cloud security company. The company is headquartered in San Jose, California.
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