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

Updated

Here’s a clear look at AVGO and RBLX, 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 RBLX’s 55.05 billion USD by roughly 19.62×.

With betas of 1.06 for AVGO and 1.47 for RBLX, both show similar volatility profiles relative to the overall market.

SymbolAVGORBLX
Company NameBroadcom Inc.Roblox Corporation
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsElectronic Gaming & Multimedia
CEOMr. Hock E. TanMr. David Baszucki
Price229.73 USD81.16 USD
Market Cap1,080.18 billion USD55.05 billion USD
Beta1.061.47
ExchangeNASDAQNYSE
IPO DateAugust 6, 2009March 10, 2021
ADRNoNo

Performance Comparison

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

  • AVGO trades at a lofty P/E of 107.08, implying strong growth expectations, in contrast to RBLX’s negative P/E of -61.96 driven by recent losses.
  • AVGO posts a negative forward PEG of -1.07, hinting at anticipated earnings decline, whereas RBLX at 1.35 has projections for stable or growing earnings.
SymbolAVGORBLX
Price-to-Earnings Ratio (P/E, TTM)107.08-61.96
Forward PEG Ratio (TTM)-1.071.35
Price-to-Sales Ratio (P/S, TTM)19.8114.35
Price-to-Book Ratio (P/B, TTM)15.45175.46
Price-to-Free Cash Flow Ratio (P/FCF, TTM)52.1062.77
EV-to-EBITDA (TTM)44.65-90.63
EV-to-Sales (TTM)20.8614.52
EV-to-Free Cash Flow (TTM)54.8663.51

Dividend Comparison

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

SymbolAVGORBLX
Dividend Yield (TTM)0.97%0.00%

Financial Strength Metrics Comparison

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

  • RBLX is highly leveraged (debt-to-equity ratio 5.81), elevating both potential gains and risks, compared to AVGO at 0.95, which maintains a steadier capital structure.
  • AVGO meets its interest obligations (ratio 6.03). In stark contrast, RBLX’s negative ratio (-25.09) means its operating earnings (EBIT) don't cover basic operations, let alone interest, signaling serious financial trouble.
SymbolAVGORBLX
Current Ratio (TTM)1.001.02
Quick Ratio (TTM)0.911.02
Debt-to-Equity Ratio (TTM)0.955.81
Debt-to-Assets Ratio (TTM)0.400.24
Interest Coverage Ratio (TTM)6.03-25.09