Broadcom Inc (AVGO)vsMonolithic Power Systems Inc (MPWR)
AVGO
Broadcom Inc
$318.81
+0.16%
TECHNOLOGY · Cap: $1.51T
MPWR
Monolithic Power Systems Inc
$1,118.66
+1.55%
TECHNOLOGY · Cap: $54.11B
Smart Verdict
WallStSmart Research — data-driven comparison
Broadcom Inc generates 2347% more annual revenue ($68.28B vs $2.79B). AVGO leads profitability with a 36.6% profit margin vs 22.3%. AVGO appears more attractively valued with a PEG of 0.68. AVGO earns a higher WallStSmart Score of 76/100 (B+).
AVGO
Strong Buy76
out of 100
Grade: B+
MPWR
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.6%
Fair Value
$240.08
Current Price
$318.81
$78.73 premium
Margin of Safety
-1265.3%
Fair Value
$87.65
Current Price
$1118.66
$1031.01 premium
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 31.8%
Growing faster than its price suggests
16.4% revenue growth
Safe zone — low bankruptcy risk
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 26.6%
Revenue surging 20.8% year-over-year
Areas to Watch
1.9% earnings growth
Distress zone — elevated risk
Premium valuation, high expectations priced in
Expensive relative to growth rate
Trading at 15.4x book value
Weak financial health signals
Premium valuation, high expectations priced in
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 31.8%. Revenue growth of 16.4% demonstrates continued momentum.
Bull Case : MPWR
The strongest argument for MPWR centers on Altman Z-Score, Market Cap, Profit Margin. Profitability is solid with margins at 22.3% and operating margin at 26.6%. Revenue growth of 20.8% demonstrates continued momentum.
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.
Bear Case : MPWR
The primary concerns for MPWR are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 85.5x leaves little room for execution misses.
Key Dynamics to Monitor
MPWR carries more volatility with a beta of 1.49 — expect wider price swings.
MPWR is growing revenue faster at 20.8% — 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 58/100), backed by strong 36.6% margins and 16.4% revenue growth. Both earn "Strong 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.
Visit Website →Monolithic Power Systems Inc
TECHNOLOGY · SEMICONDUCTORS · USA
Monolithic Power Systems, Inc. is an American, publicly traded company headquartered in Kirkland, Washington. The company provides power circuits for systems found in cloud computing, telecom infrastructures, automotive, industrial applications and consumer applications.
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