AVGO vs. BABA: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AVGO and BABA, 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 dominates in value with a market cap of 1,080.18 billion USD, eclipsing BABA’s 295.92 billion USD by roughly 3.65×.
AVGO’s beta of 1.06 points to much larger expected swings compared to BABA’s calmer 0.24, suggesting both higher upside and downside potential.
BABA is an ADR, letting U.S. buyers tap its non-U.S. business directly, unlike AVGO, which is purely domestic.
| Symbol | AVGO | BABA |
|---|---|---|
| Company Name | Broadcom Inc. | Alibaba Group Holding Limited |
| Country | US | CN |
| Sector | Technology | Consumer Cyclical |
| Industry | Semiconductors | Specialty Retail |
| CEO | Mr. Hock E. Tan | Mr. Yongming Wu |
| Price | 229.73 USD | 123.59 USD |
| Market Cap | 1,080.18 billion USD | 295.92 billion USD |
| Beta | 1.06 | 0.24 |
| Exchange | NASDAQ | NYSE |
| IPO Date | August 6, 2009 | September 19, 2014 |
| ADR | No | Yes |
Performance Comparison
This chart compares the performance of AVGO and BABA 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 AVGO and BABA based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- AVGO stands out with a premium P/E of 107.08, while BABA at 16.84 remains within a more conventional earnings multiple.
- AVGO posts a negative forward PEG of -1.07, hinting at anticipated earnings decline, whereas BABA at 1.52 has projections for stable or growing earnings.
| Symbol | AVGO | BABA |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 107.08 | 16.84 |
| Forward PEG Ratio (TTM) | -1.07 | 1.52 |
| Price-to-Sales Ratio (P/S, TTM) | 19.81 | 2.14 |
| Price-to-Book Ratio (P/B, TTM) | 15.45 | 2.03 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 52.10 | 15.43 |
| EV-to-EBITDA (TTM) | 44.65 | 12.80 |
| EV-to-Sales (TTM) | 20.86 | 2.21 |
| EV-to-Free Cash Flow (TTM) | 54.86 | 15.93 |
Dividend Comparison
Both AVGO and BABA offer similar dividend yields (0.97% vs. 1.25%), indicating comparable approaches to balancing income and growth.
| Symbol | AVGO | BABA |
|---|---|---|
| Dividend Yield (TTM) | 0.97% | 1.25% |
Financial Strength Metrics Comparison
Explore the financial strength details for AVGO and BABA in the table below.
| Symbol | AVGO | BABA |
|---|---|---|
| Current Ratio (TTM) | 1.00 | 1.48 |
| Quick Ratio (TTM) | 0.91 | 1.48 |
| Debt-to-Equity Ratio (TTM) | 0.95 | 0.23 |
| Debt-to-Assets Ratio (TTM) | 0.40 | 0.12 |
| Interest Coverage Ratio (TTM) | 6.03 | 8.49 |