Broadcom Inc (AVGO)vsRoyal Bank of Canada (RY)
AVGO
Broadcom Inc
$430.00
+4.23%
TECHNOLOGY · Cap: $2.04T
RY
Royal Bank of Canada
$181.68
+0.18%
FINANCIAL SERVICES · Cap: $252.56B
Smart Verdict
WallStSmart Research — data-driven comparison
Broadcom Inc generates 8% more annual revenue ($68.28B vs $63.42B). AVGO leads profitability with a 36.6% profit margin vs 33.1%. 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+
RY
Strong Buy68
out of 100
Grade: B-
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
Mega-cap, among the largest globally
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 46.2%
Generating 37.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 25.5x book value
Expensive relative to growth rate
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 : RY
The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.1% and operating margin at 46.2%.
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 : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
AVGO profiles as a growth stock while RY is a mature play — different risk/reward profiles.
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.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
AVGO scores higher overall (78/100 vs 68/100), backed by strong 36.6% margins and 29.5% revenue growth. 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 →Royal Bank of Canada
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Royal Bank of Canada is a globally diversified financial services company. The company is headquartered in Toronto, Canada.
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