AVGO vs. TER: Broadcom vs. Teradyne Stock Comparison
How do Broadcom (AVGO) and Teradyne (TER) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Broadcom (AVGO) and Teradyne (TER) both belong to the Semiconductors & Semiconductor Equipment industry, though AVGO is classified under Semiconductors while TER falls under Semiconductor Materials & Equipment.
| Profile Item | AVGO | TER |
|---|---|---|
| Name | Broadcom Inc. | Teradyne, Inc. |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Semiconductors & Semiconductor Equipment | Semiconductors & Semiconductor Equipment |
| GICS Industry | Semiconductors & Semiconductor Equipment | Semiconductors & Semiconductor Equipment |
| GICS Sub-Industry | Semiconductors | Semiconductor Materials & Equipment |
| Market Capitalization | 1,401.97 billion USD | 34.07 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | August 6, 2009 | February 21, 1973 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | AVGO | TER |
|---|---|---|
| Total Return (1Y) | -8.02% | 31.13% |
| Total Return (3Y, Annualized) | 53.49% | 41.60% |
| Total Return (5Y, Annualized) | 44.26% | 10.83% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | AVGO | TER |
|---|---|---|
| Volatility (1Y, Annualized) | 48.06% | 78.35% |
| Beta (5Y) | 1.50 | 1.78 |
| Max Drawdown (5Y) | -41.15% | -59.12% |
| Avg. Volume (3M) | 23.75M | 3.01M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | AVGO | TER |
|---|---|---|
| Sharpe Ratio (1Y) | -0.26 | 0.34 |
| Sortino Ratio (1Y) | -0.35 | 0.48 |
Profitability
ROE (TTM)
Both Broadcom (AVGO) at 44.25% and Teradyne (TER) at 42.72% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.
AVGO
Semiconductors & Semiconductor Equipment industry group
44.25%
- Max
- 52.82%
- AVGO
- 44.25%
- Q3
- 22.26%
- Median
- 10.58%
- Q1
- 1.29%
- Min
- -16.89%
TER
Semiconductors & Semiconductor Equipment industry group
42.72%
- Max
- 52.82%
- TER
- 42.72%
- Q3
- 22.26%
- Median
- 10.58%
- Q1
- 1.29%
- Min
- -16.89%
Net Margin (TTM)
Broadcom (AVGO) at 42.94% retains a top-quartile share of revenue as profit, ahead of Teradyne (TER) at 27.46%, which keeps about the industry-typical share.
AVGO
Semiconductors & Semiconductor Equipment industry group
42.94%
- Max
- 63.80%
- AVGO
- 42.94%
- Q3
- 28.36%
- Median
- 11.44%
- Q1
- 0.90%
- Min
- -37.77%
TER
Semiconductors & Semiconductor Equipment industry group
27.46%
- Max
- 63.80%
- Q3
- 28.36%
- TER
- 27.46%
- Median
- 11.44%
- Q1
- 0.90%
- Min
- -37.77%
Operating Margin (TTM)
Both Broadcom (AVGO) at 54.31% and Teradyne (TER) at 30.87% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.
AVGO
Semiconductors & Semiconductor Equipment industry group
54.31%
- Max
- 58.66%
- AVGO
- 54.31%
- Q3
- 30.23%
- Median
- 15.91%
- Q1
- 7.54%
- Min
- -25.74%
TER
Semiconductors & Semiconductor Equipment industry group
30.87%
- Max
- 58.66%
- TER
- 30.87%
- Q3
- 30.23%
- Median
- 15.91%
- Q1
- 7.54%
- Min
- -25.74%
Profitability Metrics
| Metric | AVGO | TER |
|---|---|---|
| ROE (TTM) | 44.25% | 42.72% |
| ROA (TTM) | 15.37% | 21.59% |
| Net Margin (TTM) | 42.94% | 27.46% |
| Operating Margin (TTM) | 54.31% | 30.87% |
| Gross Margin (TTM) | 75.52% | 59.32% |
Growth
Revenue Growth
Both Broadcom (AVGO) at 23.87% and Teradyne (TER) at 13.13% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Broadcom (AVGO) at 287.80% clears its industry range for EPS growth, a much stronger earnings trajectory than Teradyne (TER) at 4.52%, which is closer to a typical peer reading.
Growth Metrics
| Metric | AVGO | TER |
|---|---|---|
| Revenue Growth (YoY) | 23.87% | 13.13% |
| Revenue Growth (3Y CAGR) | 24.38% | 0.37% |
| EPS Growth (YoY) | 287.80% | 4.52% |
| EPS Growth (3Y CAGR) | 21.60% | -6.31% |
Financial Strength
Current Ratio (MRQ)
Broadcom (AVGO) at 2.50 keeps current ratio within its industry’s typical mid-range, while Teradyne (TER) at 2.08 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for TER.
AVGO
Semiconductors & Semiconductor Equipment industry group
2.50
- Max
- 10.33
- Q3
- 5.62
- Median
- 3.33
- AVGO
- 2.50
- Q1
- 2.35
- Min
- 1.03
TER
Semiconductors & Semiconductor Equipment industry group
2.08
- Max
- 10.33
- Q3
- 5.62
- Median
- 3.33
- Q1
- 2.35
- TER
- 2.08
- Min
- 1.03
Debt / Equity (MRQ)
Teradyne (TER) at 0.04 keeps leverage in the lower industry quartile, while Broadcom (AVGO) at 0.60 runs a more typical debt-to-equity mix.
AVGO
Semiconductors & Semiconductor Equipment industry group
0.60
- Max
- 1.46
- Q3
- 0.65
- AVGO
- 0.60
- Median
- 0.27
- Q1
- 0.04
- Min
- 0.00
TER
Semiconductors & Semiconductor Equipment industry group
0.04
- Max
- 1.46
- Q3
- 0.65
- Median
- 0.27
- Q1
- 0.04
- TER
- 0.04
- Min
- 0.00
Financial Strength Metrics
| Metric | AVGO | TER |
|---|---|---|
| Current Ratio (MRQ) | 2.50 | 2.08 |
| Debt / Equity (MRQ) | 0.60 | 0.04 |
| Net Debt / EBITDA | 0.68 | -0.19 |
Dividends
Dividend Yield (TTM)
Broadcom (AVGO) at 0.89% delivers top-quartile income for its industry, while Teradyne (TER) at 0.24% pays a more typical yield — both are credible income propositions, AVGO the richer one.
AVGO
Semiconductors & Semiconductor Equipment industry group
0.89%
- Max
- 1.37%
- AVGO
- 0.89%
- Q3
- 0.65%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
TER
Semiconductors & Semiconductor Equipment industry group
0.24%
- Max
- 1.37%
- Q3
- 0.65%
- TER
- 0.24%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Teradyne (TER) at 5.86% pays out a band-typical share of earnings, while Broadcom (AVGO) at 32.44% distributes more than its industry norm — less retained, thinner cover.
AVGO
Semiconductors & Semiconductor Equipment industry group
32.44%
- Max
- 49.64%
- AVGO
- 32.44%
- Q3
- 21.71%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
TER
Semiconductors & Semiconductor Equipment industry group
5.86%
- Max
- 49.64%
- Q3
- 21.71%
- TER
- 5.86%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | AVGO | TER |
|---|---|---|
| Dividend Yield (TTM) | 0.89% | 0.24% |
| Dividend Payout Ratio (TTM) | 32.44% | 5.86% |
Valuation
P/E Ratio (TTM)
Both Broadcom (AVGO) at 37.51 and Teradyne (TER) at 25.08 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
AVGO
Semiconductors & Semiconductor Equipment industry group
37.51
- Max
- 110.34
- Q3
- 66.81
- AVGO
- 37.51
- Median
- 37.02
- Q1
- 23.96
- Min
- 8.12
TER
Semiconductors & Semiconductor Equipment industry group
25.08
- Max
- 110.34
- Q3
- 66.81
- Median
- 37.02
- TER
- 25.08
- Q1
- 23.96
- Min
- 8.12
P/S Ratio (TTM)
Teradyne (TER) at 6.81 is priced about in line with its industry on P/S ratio, while Broadcom (AVGO) at 15.73 sits in the pricier quartile — AVGO costs more per dollar of sales.
AVGO
Semiconductors & Semiconductor Equipment industry group
15.73
- Max
- 21.42
- AVGO
- 15.73
- Q3
- 12.27
- Median
- 5.76
- Q1
- 2.73
- Min
- 0.00
TER
Semiconductors & Semiconductor Equipment industry group
6.81
- Max
- 21.42
- Q3
- 12.27
- TER
- 6.81
- Median
- 5.76
- Q1
- 2.73
- Min
- 0.00
P/B Ratio (MRQ)
Both Broadcom (AVGO) at 14.06 and Teradyne (TER) at 9.24 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.
AVGO
Semiconductors & Semiconductor Equipment industry group
14.06
- AVGO
- 14.06
- Max
- 14.06
- Q3
- 7.44
- Median
- 4.29
- Q1
- 2.30
- Min
- 0.20
TER
Semiconductors & Semiconductor Equipment industry group
9.24
- Max
- 14.06
- TER
- 9.24
- Q3
- 7.44
- Median
- 4.29
- Q1
- 2.30
- Min
- 0.20
Valuation Metrics
| Metric | AVGO | TER |
|---|---|---|
| P/E Ratio (TTM) | 37.51 | 25.08 |
| P/S Ratio (TTM) | 15.73 | 6.81 |
| P/B Ratio (MRQ) | 14.06 | 9.24 |
| Free Cash Flow Yield (TTM) | 2.18% | 1.76% |