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ANET vs. AVGO: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ANET and AVGO, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

AVGO towers over ANET with a market cap of 1,080.18 billion USD, roughly 9.31 times the 116.08 billion USD of its peer.

ANET at 1.39 and AVGO at 1.06 move in sync when it comes to market volatility.

SymbolANETAVGO
Company NameArista Networks, Inc.Broadcom Inc.
CountryUSUS
SectorTechnologyTechnology
IndustryComputer HardwareSemiconductors
CEOMs. Jayshree V. UllalMr. Hock E. Tan
Price92.43 USD229.73 USD
Market Cap116.08 billion USD1,080.18 billion USD
Beta1.3871.059
ExchangeNYSENASDAQ
IPO DateJune 6, 2014August 6, 2009
ADRNoNo

Performance Comparison

This chart compares the performance of ANET and AVGO over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of ANET and AVGO based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • AVGO has a notably high P/E of 107.08, where its market price commands a steep multiple of its earnings from the past year—indicating investors are pricing in significant future potential. On the flip side, ANET at 38.46 maintains a P/E within a more standard range, tied closer to its current profitability.
  • AVGO has a negative Forward PEG of -1.07, suggesting analysts predict either a drop in earnings or no profits at all in the near future—a red flag for its growth trajectory. Meanwhile, ANET at 2.11 avoids such a pessimistic forecast.
SymbolANETAVGO
Price-to-Earnings Ratio (P/E, TTM)38.46107.08
Forward PEG Ratio (TTM)2.11-1.07
Price-to-Sales Ratio (P/S, TTM)15.6119.81
Price-to-Book Ratio (P/B, TTM)11.5115.45
Price-to-Free Cash Flow Ratio (P/FCF, TTM)30.6752.10
EV-to-EBITDA (TTM)35.6644.65
EV-to-Sales (TTM)15.3620.86
EV-to-Free Cash Flow (TTM)30.1854.86

Dividend Comparison

ANET pays no dividends, focusing all profits on growth, appealing to capital-gains investors. Meanwhile, AVGO’s 0.97% yield rewards shareholders, showing financial confidence while supporting objectives—a contrast to ANET’s growth-only approach.

SymbolANETAVGO
Dividend Yield (TTM)0.00%0.97%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ANET and AVGO, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • ANET posts an interest coverage of “--”, hinting at interest costs so low they’re negligible—often from scant debt or dirt-cheap rates—while AVGO at 6.03 handles interest with solid earnings.
SymbolANETAVGO
Current Ratio (TTM)3.931.00
Quick Ratio (TTM)3.310.91
Debt-to-Equity Ratio (TTM)0.000.95
Debt-to-Assets Ratio (TTM)0.000.40
Interest Coverage Ratio (TTM)--6.03