Allegro Microsystems Inc (ALGM)vsBroadcom Inc (AVGO)
ALGM
Allegro Microsystems Inc
$32.63
+0.15%
TECHNOLOGY · Cap: $6.04B
AVGO
Broadcom Inc
$318.81
+0.16%
TECHNOLOGY · Cap: $1.51T
Smart Verdict
WallStSmart Research — data-driven comparison
Broadcom Inc generates 8031% more annual revenue ($68.28B vs $839.73M). AVGO leads profitability with a 36.6% profit margin vs -1.6%. AVGO earns a higher WallStSmart Score of 76/100 (B+).
ALGM
Avoid29
out of 100
Grade: F
AVGO
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ALGM.
Margin of Safety
-32.6%
Fair Value
$240.08
Current Price
$318.81
$78.73 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 28.9% year-over-year
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 31.8%
Growing faster than its price suggests
16.4% revenue growth
Areas to Watch
Distress zone — elevated risk
Operating margin of 4.2%
Weak financial health signals
ROE of -1.4% — below average capital efficiency
1.9% earnings growth
Distress zone — elevated risk
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : ALGM
The strongest argument for ALGM centers on Revenue Growth. Revenue growth of 28.9% demonstrates continued momentum.
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.
Bear Case : ALGM
The primary concerns for ALGM are Altman Z-Score, Operating Margin, Piotroski F-Score.
Bear Case : AVGO
The primary concerns for AVGO are EPS Growth, Altman Z-Score, P/E Ratio. A P/E of 62.3x leaves little room for execution misses.
Key Dynamics to Monitor
ALGM carries more volatility with a beta of 1.67 — expect wider price swings.
ALGM is growing revenue faster at 28.9% — 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 (76/100 vs 29/100), backed by strong 36.6% margins and 16.4% revenue growth. 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.
Allegro Microsystems Inc
TECHNOLOGY · SEMICONDUCTORS · USA
Allegro MicroSystems, Inc. designs, develops, manufactures and markets sensor integrated circuits (ICs) and analog power ICs for specific applications for motion control and energy efficient systems. The company is headquartered in Manchester, New Hampshire.
Visit Website →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 →Compare with Other SEMICONDUCTORS Stocks
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