AVGO vs. MCHP: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AVGO and MCHP, 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 dwarfs MCHP in market cap, clocking in at 1,080.18 billion USD—about 33.90 times the 31.87 billion USD of its counterpart.
AVGO at 1.06 and MCHP at 1.41 move in sync when it comes to market volatility.
| Symbol | AVGO | MCHP |
|---|---|---|
| Company Name | Broadcom Inc. | Microchip Technology Incorporated |
| Country | US | US |
| Sector | Technology | Technology |
| Industry | Semiconductors | Semiconductors |
| CEO | Mr. Hock E. Tan | Mr. Stephen Sanghi |
| Price | 229.73 USD | 59.25 USD |
| Market Cap | 1,080.18 billion USD | 31.87 billion USD |
| Beta | 1.059 | 1.407 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | August 6, 2009 | March 19, 1993 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AVGO and MCHP 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 MCHP based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- AVGO carries a lofty P/E of 107.08, where its market price towers over its earnings from the past year—investors are paying a significant premium for each dollar of profit. In stark contrast, MCHP at -11792.94 is negative, revealing a complete absence of net earnings over the same period.
- Both AVGO at -1.07 and MCHP at -221.72 show negative Forward PEG values. This signals that analysts foresee either outright losses or a decline in earnings over the next period—a troubling outlook that casts doubt on their near-term profit potential.
| Symbol | AVGO | MCHP |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 107.08 | -11792.94 |
| Forward PEG Ratio (TTM) | -1.07 | -221.72 |
| Price-to-Sales Ratio (P/S, TTM) | 19.81 | 7.24 |
| Price-to-Book Ratio (P/B, TTM) | 15.45 | 5.28 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 52.10 | 34.11 |
| EV-to-EBITDA (TTM) | 44.65 | 44.38 |
| EV-to-Sales (TTM) | 20.86 | 8.65 |
| EV-to-Free Cash Flow (TTM) | 54.86 | 40.74 |
Dividend Comparison
Both AVGO at 0.97% and MCHP at 2.30% pay dividends, blending income with growth in their strategies. Yet MCHP’s 2.30% yield, 137% above AVGO’s 0.97%, suggests a focus on generous payouts—possibly from stronger profits—while AVGO leans toward reinvestment, perhaps due to tighter margins.
| Symbol | AVGO | MCHP |
|---|---|---|
| Dividend Yield (TTM) | 0.97% | 2.30% |
Financial Strength Metrics Comparison
Explore the financial strength details for AVGO and MCHP in the table below.
| Symbol | AVGO | MCHP |
|---|---|---|
| Current Ratio (TTM) | 1.00 | 2.25 |
| Quick Ratio (TTM) | 0.91 | 1.23 |
| Debt-to-Equity Ratio (TTM) | 0.95 | 1.12 |
| Debt-to-Assets Ratio (TTM) | 0.40 | 0.43 |
| Interest Coverage Ratio (TTM) | 6.03 | 1.59 |