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

Updated

Here’s a clear look at AVGO and NOW, 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 NOW’s 210.06 billion USD by roughly 5.14×.

With betas of 1.06 for AVGO and 0.97 for NOW, both show similar volatility profiles relative to the overall market.

SymbolAVGONOW
Company NameBroadcom Inc.ServiceNow, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSoftware - Application
CEOMr. Hock E. TanMr. William R. McDermott
Price229.73 USD1,014.76 USD
Market Cap1,080.18 billion USD210.06 billion USD
Beta1.060.97
ExchangeNASDAQNYSE
IPO DateAugust 6, 2009June 29, 2012
ADRNoNo

Performance Comparison

This chart compares the performance of AVGO and NOW 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 NOW based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • AVGO and NOW both trade above a 100× earnings multiple (107.08 and 136.46), reflecting lofty growth narratives priced into their shares.
  • AVGO posts a negative forward PEG of -1.07, hinting at anticipated earnings decline, whereas NOW at 7.29 has projections for stable or growing earnings.
SymbolAVGONOW
Price-to-Earnings Ratio (P/E, TTM)107.08136.46
Forward PEG Ratio (TTM)-1.077.29
Price-to-Sales Ratio (P/S, TTM)19.8118.32
Price-to-Book Ratio (P/B, TTM)15.4520.70
Price-to-Free Cash Flow Ratio (P/FCF, TTM)52.1057.20
EV-to-EBITDA (TTM)44.6589.51
EV-to-Sales (TTM)20.8618.23
EV-to-Free Cash Flow (TTM)54.8656.94

Dividend Comparison

AVGO delivers a 0.97% dividend yield, blending income with growth, whereas NOW appears to retain its profits, possibly to fund operations, R&D, or other growth initiatives.

SymbolAVGONOW
Dividend Yield (TTM)0.97%0.00%

Financial Strength Metrics Comparison

Explore the financial strength details for AVGO and NOW in the table below.

SymbolAVGONOW
Current Ratio (TTM)1.001.12
Quick Ratio (TTM)0.911.12
Debt-to-Equity Ratio (TTM)0.950.24
Debt-to-Assets Ratio (TTM)0.400.11
Interest Coverage Ratio (TTM)6.0364.48