AMAT vs. AVGO: Applied Materials vs. Broadcom Stock Comparison

November 11, 2026

How do Applied Materials (AMAT) and Broadcom (AVGO) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Applied Materials (AMAT) and Broadcom (AVGO) both belong to the Semiconductors & Semiconductor Equipment industry, though AMAT is classified under Semiconductor Materials & Equipment while AVGO falls under Semiconductors.

Company profile comparison for Applied Materials (AMAT) and Broadcom (AVGO)
Profile Item	AMAT	AVGO
Name	Applied Materials Inc.	Broadcom Inc.
Country/Region	United States	United States
GICS Sector	Information Technology	Information Technology
GICS Industry Group	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Industry	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Sub-Industry	Semiconductor Materials & Equipment	Semiconductors
Market Capitalization	264.04 billion USD	1,401.97 billion USD
Currency	USD	USD
Exchange	Nasdaq	Nasdaq
Listing Date	March 17, 1980	August 6, 2009
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

AMAT

AVGO

GSPC

Applied Materials (AMAT) vs. Broadcom (AVGO), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Applied Materials (AMAT) and Broadcom (AVGO). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Applied Materials (AMAT) and Broadcom (AVGO). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
Total Return (1Y)	62.12%	-8.02%
Total Return (3Y, Annualized)	38.42%	53.49%
Total Return (5Y, Annualized)	19.86%	44.26%

Risk Profile

Drawdown History

AMAT

AVGO

GSPC

Applied Materials (AMAT) vs. Broadcom (AVGO), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Applied Materials (AMAT) and Broadcom (AVGO). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
Volatility (1Y, Annualized)	63.72%	48.06%
Beta (5Y)	1.68	1.50
Max Drawdown (5Y)	-55.80%	-41.15%
Avg. Volume (3M)	7.16M	23.75M

Risk-Adjusted Performance

Risk-Return Positioning

AMAT and AVGO are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
Sharpe Ratio (1Y)	0.91	-0.26
Sortino Ratio (1Y)	1.35	-0.35

Profitability

ROE (TTM)

Both Applied Materials (AMAT) at 41.07% and Broadcom (AVGO) at 44.25% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

AMAT

Semiconductors & Semiconductor Equipment industry group

41.07%

Max: 52.82%
AMAT: 41.07%
Q3: 22.26%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

AVGO

Semiconductors & Semiconductor Equipment industry group

44.25%

Max: 52.82%
AVGO: 44.25%
Q3: 22.26%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their ROE against the Semiconductors & Semiconductor Equipment industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Applied Materials (AMAT) at 30.05% and Broadcom (AVGO) at 42.94% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

AMAT

Semiconductors & Semiconductor Equipment industry group

30.05%

Max: 63.80%
AMAT: 30.05%
Q3: 28.36%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

AVGO

Semiconductors & Semiconductor Equipment industry group

42.94%

Max: 63.80%
AVGO: 42.94%
Q3: 28.36%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their net margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Operating Margin (TTM)

Both Applied Materials (AMAT) at 33.74% and Broadcom (AVGO) at 54.31% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

AMAT

Semiconductors & Semiconductor Equipment industry group

33.74%

Max: 58.66%
AMAT: 33.74%
Q3: 30.23%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

AVGO

Semiconductors & Semiconductor Equipment industry group

54.31%

Max: 58.66%
AVGO: 54.31%
Q3: 30.23%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their operating margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Profitability Metrics

Profitability metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
ROE (TTM)	41.07%	44.25%
ROA (TTM)	15.48%	15.37%
Net Margin (TTM)	30.05%	42.94%
Operating Margin (TTM)	33.74%	54.31%
Gross Margin (TTM)	49.40%	75.52%

Growth

Revenue Growth

Both Applied Materials (AMAT) at 4.39% and Broadcom (AVGO) at 23.87% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their Revenue Growth across different time periods.

EPS Growth

Broadcom (AVGO) at 287.80% clears its industry range for EPS growth, a much stronger earnings trajectory than Applied Materials (AMAT) at 0.58%, which is closer to a typical peer reading.

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
Revenue Growth (YoY)	4.39%	23.87%
Revenue Growth (3Y CAGR)	3.23%	24.38%
EPS Growth (YoY)	0.58%	287.80%
EPS Growth (3Y CAGR)	5.19%	21.60%

Financial Strength

Current Ratio (MRQ)

Both Applied Materials (AMAT) at 2.42 and Broadcom (AVGO) at 2.50 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

AMAT

Semiconductors & Semiconductor Equipment industry group

2.42

Max: 10.33
Q3: 5.62
Median: 3.33
AMAT: 2.42
Q1: 2.35
Min: 1.03

AVGO

Semiconductors & Semiconductor Equipment industry group

2.50

Max: 10.33
Q3: 5.62
Median: 3.33
AVGO: 2.50
Q1: 2.35
Min: 1.03

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their current ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Debt / Equity (MRQ)

Both Applied Materials (AMAT) at 0.29 and Broadcom (AVGO) at 0.60 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

AMAT

Semiconductors & Semiconductor Equipment industry group

0.29

Max: 1.46
Q3: 0.65
AMAT: 0.29
Median: 0.27
Q1: 0.04
Min: 0.00

AVGO

Semiconductors & Semiconductor Equipment industry group

0.60

Max: 1.46
Q3: 0.65
AVGO: 0.60
Median: 0.27
Q1: 0.04
Min: 0.00

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their debt-to-equity ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
Current Ratio (MRQ)	2.42	2.50
Debt / Equity (MRQ)	0.29	0.60
Net Debt / EBITDA	-0.19	0.68

Dividends

Dividend Yield (TTM)

Broadcom (AVGO) at 0.89% delivers top-quartile income for its industry, while Applied Materials (AMAT) at 0.62% pays a more typical yield — both are credible income propositions, AVGO the richer one.

AMAT

Semiconductors & Semiconductor Equipment industry group

0.62%

Max: 1.37%
Q3: 0.65%
AMAT: 0.62%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

AVGO

Semiconductors & Semiconductor Equipment industry group

0.89%

Max: 1.37%
AVGO: 0.89%
Q3: 0.65%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their dividend yield against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Payout Ratio (TTM)

Applied Materials (AMAT) at 16.48% pays out a band-typical share of earnings, while Broadcom (AVGO) at 32.44% distributes more than its industry norm — less retained, thinner cover.

AMAT

Semiconductors & Semiconductor Equipment industry group

16.48%

Max: 49.64%
Q3: 21.71%
AMAT: 16.48%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

AVGO

Semiconductors & Semiconductor Equipment industry group

32.44%

Max: 49.64%
AVGO: 32.44%
Q3: 21.71%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their payout ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Metrics

Dividend metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
Dividend Yield (TTM)	0.62%	0.89%
Dividend Payout Ratio (TTM)	16.48%	32.44%

Valuation

P/E Ratio (TTM)

Both Applied Materials (AMAT) at 28.71 and Broadcom (AVGO) at 37.51 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

AMAT

Semiconductors & Semiconductor Equipment industry group

28.71

Max: 110.34
Q3: 66.81
Median: 37.02
AMAT: 28.71
Q1: 23.96
Min: 8.12

AVGO

Semiconductors & Semiconductor Equipment industry group

37.51

Max: 110.34
Q3: 66.81
AVGO: 37.51
Median: 37.02
Q1: 23.96
Min: 8.12

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their P/E ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/S Ratio (TTM)

Applied Materials (AMAT) at 8.56 is priced about in line with its industry on P/S ratio, while Broadcom (AVGO) at 15.73 sits in the pricier quartile — AVGO costs more per dollar of sales.

AMAT

Semiconductors & Semiconductor Equipment industry group

8.56

Max: 21.42
Q3: 12.27
AMAT: 8.56
Median: 5.76
Q1: 2.73
Min: 0.00

AVGO

Semiconductors & Semiconductor Equipment industry group

15.73

Max: 21.42
AVGO: 15.73
Q3: 12.27
Median: 5.76
Q1: 2.73
Min: 0.00

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their P/S ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/B Ratio (MRQ)

Both Applied Materials (AMAT) at 10.30 and Broadcom (AVGO) at 14.06 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.

AMAT

Semiconductors & Semiconductor Equipment industry group

10.30

Max: 14.06
AMAT: 10.30
Q3: 7.44
Median: 4.29
Q1: 2.30
Min: 0.20

AVGO

Semiconductors & Semiconductor Equipment industry group

14.06

AVGO: 14.06
Max: 14.06
Q3: 7.44
Median: 4.29
Q1: 2.30
Min: 0.20

Applied Materials (AMAT) vs. Broadcom (AVGO): A comparison of their P/B ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Valuation Metrics

Valuation metrics for Applied Materials (AMAT) and Broadcom (AVGO)
Metric	AMAT	AVGO
P/E Ratio (TTM)	28.71	37.51
P/S Ratio (TTM)	8.56	15.73
P/B Ratio (MRQ)	10.30	14.06
Free Cash Flow Yield (TTM)	1.16%	2.18%