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

Updated

Here’s a clear look at ASML 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 ASML with a market cap of 1,080.18 billion USD, roughly 3.73 times the 289.86 billion USD of its peer.

ASML at 1.22 and AVGO at 1.06 move in sync when it comes to market volatility.

Worth noting: ASML flies the ADR flag, tying it to a foreign outfit on U.S. soil, while AVGO sticks to plain-vanilla U.S. listing.

SymbolASMLAVGO
Company NameASML Holding N.V.Broadcom Inc.
CountryNLUS
SectorTechnologyTechnology
IndustrySemiconductorsSemiconductors
CEOMr. Christophe D. FouquetMr. Hock E. Tan
Price737.17 USD229.73 USD
Market Cap289.86 billion USD1,080.18 billion USD
Beta1.2211.059
ExchangeNASDAQNASDAQ
IPO DateMarch 15, 1995August 6, 2009
ADRYesNo

Performance Comparison

This chart compares the performance of ASML 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 ASML 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, ASML at 29.41 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, ASML at 1.80 avoids such a pessimistic forecast.
SymbolASMLAVGO
Price-to-Earnings Ratio (P/E, TTM)29.41107.08
Forward PEG Ratio (TTM)1.80-1.07
Price-to-Sales Ratio (P/S, TTM)8.3519.81
Price-to-Book Ratio (P/B, TTM)14.6215.45
Price-to-Free Cash Flow Ratio (P/FCF, TTM)27.6352.10
EV-to-EBITDA (TTM)21.8544.65
EV-to-Sales (TTM)8.1820.86
EV-to-Free Cash Flow (TTM)27.0554.86

Dividend Comparison

Both ASML at 0.98% and AVGO at 0.97% pay dividends, blending income with growth in their strategies. Their yields align closely, indicating similar income-growth balances.

SymbolASMLAVGO
Dividend Yield (TTM)0.98%0.97%

Financial Strength Metrics Comparison

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

  • ASML 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.
SymbolASMLAVGO
Current Ratio (TTM)1.521.00
Quick Ratio (TTM)0.910.91
Debt-to-Equity Ratio (TTM)0.210.95
Debt-to-Assets Ratio (TTM)0.080.40
Interest Coverage Ratio (TTM)--6.03