AVGO vs. BAC: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AVGO and BAC, 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 BAC’s 325.75 billion USD by roughly 3.32×.
With betas of 1.06 for AVGO and 1.28 for BAC, both show similar volatility profiles relative to the overall market.
| Symbol | AVGO | BAC |
|---|---|---|
| Company Name | Broadcom Inc. | Bank of America Corporation |
| Country | US | US |
| Sector | Technology | Financial Services |
| Industry | Semiconductors | Banks - Diversified |
| CEO | Mr. Hock E. Tan | Mr. Brian Thomas Moynihan |
| Price | 229.73 USD | 43.25 USD |
| Market Cap | 1,080.18 billion USD | 325.75 billion USD |
| Beta | 1.06 | 1.28 |
| Exchange | NASDAQ | NYSE |
| IPO Date | August 6, 2009 | February 21, 1973 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AVGO and BAC 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 BAC 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 BAC at 11.92 remains within a more conventional earnings multiple.
- AVGO posts a negative forward PEG of -1.07, hinting at anticipated earnings decline, whereas BAC at 0.80 has projections for stable or growing earnings.
| Symbol | AVGO | BAC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 107.08 | 11.92 |
| Forward PEG Ratio (TTM) | -1.07 | 0.80 |
| Price-to-Sales Ratio (P/S, TTM) | 19.81 | 2.65 |
| Price-to-Book Ratio (P/B, TTM) | 15.45 | 1.12 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 52.10 | 48.37 |
| EV-to-EBITDA (TTM) | 44.65 | 15.23 |
| EV-to-Sales (TTM) | 20.86 | 6.29 |
| EV-to-Free Cash Flow (TTM) | 54.86 | 114.95 |
Dividend Comparison
BAC stands out with a 2.36% dividend yield—around 142% above AVGO’s 0.97%—highlighting its emphasis on generous payouts.
| Symbol | AVGO | BAC |
|---|---|---|
| Dividend Yield (TTM) | 0.97% | 2.36% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of AVGO and BAC, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- BAC’s current ratio of 0.66 indicates its assets may not cover near-term debts, whereas AVGO at 1.00 maintains healthy liquidity.
- BAC posts a quick ratio of 0.66, indicating limited coverage of short-term debts from its most liquid assets—while AVGO at 0.91 enjoys stronger liquidity resilience.
- BAC’s low interest coverage (0.36) means it doesn't cover interest from operating earnings. AVGO (at 6.03) meets its interest obligations.
| Symbol | AVGO | BAC |
|---|---|---|
| Current Ratio (TTM) | 1.00 | 0.66 |
| Quick Ratio (TTM) | 0.91 | 0.66 |
| Debt-to-Equity Ratio (TTM) | 0.95 | 2.44 |
| Debt-to-Assets Ratio (TTM) | 0.40 | 0.22 |
| Interest Coverage Ratio (TTM) | 6.03 | 0.36 |