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

Updated

Here’s a clear look at AVGO and TER, 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 TER’s 12.67 billion USD by roughly 85.26×.

TER carries a higher beta at 1.70, indicating it’s more sensitive to market moves, while AVGO remains steadier at 1.06.

SymbolAVGOTER
Company NameBroadcom Inc.Teradyne, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSemiconductors
CEOMr. Hock E. TanMr. Gregory Stephen Smith
Price229.73 USD78.98 USD
Market Cap1,080.18 billion USD12.67 billion USD
Beta1.061.70
ExchangeNASDAQNASDAQ
IPO DateAugust 6, 2009September 14, 1970
ADRNoNo

Performance Comparison

This chart compares the performance of AVGO and TER 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 TER 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 TER at 22.10 remains within a more conventional earnings multiple.
  • AVGO posts a negative forward PEG of -1.07, hinting at anticipated earnings decline, whereas TER at 0.69 has projections for stable or growing earnings.
SymbolAVGOTER
Price-to-Earnings Ratio (P/E, TTM)107.0822.10
Forward PEG Ratio (TTM)-1.070.69
Price-to-Sales Ratio (P/S, TTM)19.814.36
Price-to-Book Ratio (P/B, TTM)15.453.44
Price-to-Free Cash Flow Ratio (P/FCF, TTM)52.1020.82
EV-to-EBITDA (TTM)44.6517.14
EV-to-Sales (TTM)20.864.22
EV-to-Free Cash Flow (TTM)54.8620.15

Dividend Comparison

AVGO’s dividend yield of 0.97% is about 113% higher than TER’s 0.46%, underscoring its stronger focus on returning cash to shareholders.

SymbolAVGOTER
Dividend Yield (TTM)0.97%0.46%

Financial Strength Metrics Comparison

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

  • AVGO meets its interest obligations (ratio 6.03). In stark contrast, TER’s negative ratio (-6055.69) means its operating earnings (EBIT) don't cover basic operations, let alone interest, signaling serious financial trouble.
SymbolAVGOTER
Current Ratio (TTM)1.002.70
Quick Ratio (TTM)0.912.17
Debt-to-Equity Ratio (TTM)0.950.02
Debt-to-Assets Ratio (TTM)0.400.02
Interest Coverage Ratio (TTM)6.03-6055.69