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AVGO vs. TSEM: Broadcom vs. Tower Semiconductor Stock Comparison

How do Broadcom (AVGO) and Tower Semiconductor (TSEM) 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 Tower Semiconductor (TSEM) are both classified in the Semiconductors sub-industry within the broader Semiconductors & Semiconductor Equipment industry, placing them in the closest GICS peer bucket.

Company profile comparison for Broadcom (AVGO) and Tower Semiconductor (TSEM)
Profile ItemAVGOTSEM
NameBroadcom Inc.Tower Semiconductor Ltd.
Country/RegionUnited StatesIsrael
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSemiconductors & Semiconductor EquipmentSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor EquipmentSemiconductors & Semiconductor Equipment
GICS Sub-IndustrySemiconductorsSemiconductors
Market Capitalization1,401.97 billion USD15.59 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateAugust 6, 2009October 26, 1994
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

AVGO
TSEM
GSPC
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Broadcom (AVGO) and Tower Semiconductor (TSEM). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Broadcom (AVGO) and Tower Semiconductor (TSEM). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
Total Return (1Y)-8.02%78.71%
Total Return (3Y, Annualized)53.49%83.79%
Total Return (5Y, Annualized)44.26%32.56%

Risk Profile

Drawdown History

AVGO
TSEM
GSPC
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Broadcom (AVGO) and Tower Semiconductor (TSEM). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
Volatility (1Y, Annualized)48.06%84.90%
Beta (5Y)1.500.99
Max Drawdown (5Y)-41.15%-58.66%
Avg. Volume (3M)23.75M2.22M

Risk-Adjusted Performance

Risk-Return Positioning

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AVGO and TSEM are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
Sharpe Ratio (1Y)-0.260.88
Sortino Ratio (1Y)-0.351.32

Profitability

ROE (TTM)

Broadcom (AVGO) at 44.25% sits in the top ROE quartile, while Tower Semiconductor (TSEM) at 11.86% is closer to the peer norm — stronger capital efficiency for AVGO.

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%

TSEM

Semiconductors & Semiconductor Equipment industry group

11.86%

Max
52.82%
Q3
22.26%
TSEM
11.86%
Median
10.58%
Q1
1.29%
Min
-16.89%
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their ROE against the Semiconductors & Semiconductor Equipment industry group benchmark.

Net Margin (TTM)

Broadcom (AVGO) at 42.94% retains a top-quartile share of revenue as profit, ahead of Tower Semiconductor (TSEM) at 19.36%, 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%

TSEM

Semiconductors & Semiconductor Equipment industry group

19.36%

Max
63.80%
Q3
28.36%
TSEM
19.36%
Median
11.44%
Q1
0.90%
Min
-37.77%
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their net margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Operating Margin (TTM)

Broadcom (AVGO) at 54.31% operates in the top operating margin quartile, ahead of Tower Semiconductor (TSEM) at 24.16%, which runs around its industry’s norm.

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%

TSEM

Semiconductors & Semiconductor Equipment industry group

24.16%

Max
58.66%
Q3
30.23%
TSEM
24.16%
Median
15.91%
Q1
7.54%
Min
-25.74%
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their operating margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Profitability Metrics

Profitability metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
ROE (TTM)44.25%11.86%
ROA (TTM)15.37%6.07%
Net Margin (TTM)42.94%19.36%
Operating Margin (TTM)54.31%24.16%
Gross Margin (TTM)75.52%29.62%

Growth

Revenue Growth

Both Broadcom (AVGO) at 23.87% and Tower Semiconductor (TSEM) at 9.05% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their Revenue Growth across different time periods.

EPS Growth

Broadcom (AVGO) at 287.80% clears its industry range for EPS growth, a much stronger earnings trajectory than Tower Semiconductor (TSEM) at 4.86%, which is closer to a typical peer reading.

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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
Revenue Growth (YoY)23.87%9.05%
Revenue Growth (3Y CAGR)24.38%-2.27%
EPS Growth (YoY)287.80%4.86%
EPS Growth (3Y CAGR)21.60%-6.72%

Financial Strength

Current Ratio (MRQ)

Both Broadcom (AVGO) at 2.50 and Tower Semiconductor (TSEM) at 3.72 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

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

TSEM

Semiconductors & Semiconductor Equipment industry group

3.72

Max
10.33
Q3
5.62
TSEM
3.72
Median
3.33
Q1
2.35
Min
1.03
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their current ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Debt / Equity (MRQ)

Both Broadcom (AVGO) at 0.60 and Tower Semiconductor (TSEM) at 0.05 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

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

TSEM

Semiconductors & Semiconductor Equipment industry group

0.05

Max
1.46
Q3
0.65
Median
0.27
TSEM
0.05
Q1
0.04
Min
0.00
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their debt-to-equity ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
Current Ratio (MRQ)2.503.72
Debt / Equity (MRQ)0.600.05
Net Debt / EBITDA0.68-1.92

Dividends

Dividend Yield (TTM)

Tower Semiconductor (TSEM) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Broadcom (AVGO) reports a yield of 0.89%, ranking against industry peers normally.

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%

TSEM

Semiconductors & Semiconductor Equipment industry group

0.00%

Max
1.37%
Q3
0.65%
TSEM
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their dividend yield against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Payout Ratio (TTM)

Tower Semiconductor (TSEM) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Broadcom (AVGO) reports a payout of 32.44%, ranking against industry peers normally.

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%

TSEM

Semiconductors & Semiconductor Equipment industry group

0.00%

Max
49.64%
Q3
21.71%
TSEM
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their payout ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Metrics

Dividend metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
Dividend Yield (TTM)0.89%0.00%
Dividend Payout Ratio (TTM)32.44%0.00%

Valuation

P/E Ratio (TTM)

Both Broadcom (AVGO) at 37.51 and Tower Semiconductor (TSEM) at 44.16 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

TSEM

Semiconductors & Semiconductor Equipment industry group

44.16

Max
110.34
Q3
66.81
TSEM
44.16
Median
37.02
Q1
23.96
Min
8.12
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their P/E ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/S Ratio (TTM)

Tower Semiconductor (TSEM) at 8.47 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

TSEM

Semiconductors & Semiconductor Equipment industry group

8.47

Max
21.42
Q3
12.27
TSEM
8.47
Median
5.76
Q1
2.73
Min
0.00
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their P/S ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/B Ratio (MRQ)

Tower Semiconductor (TSEM) at 4.85 is valued about in line with its industry on P/B ratio, while Broadcom (AVGO) at 14.06 carries an above-peer premium to book — AVGO is pricier on assets.

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

TSEM

Semiconductors & Semiconductor Equipment industry group

4.85

Max
14.06
Q3
7.44
TSEM
4.85
Median
4.29
Q1
2.30
Min
0.20
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Broadcom (AVGO) vs. Tower Semiconductor (TSEM): A comparison of their P/B ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Valuation Metrics

Valuation metrics for Broadcom (AVGO) and Tower Semiconductor (TSEM)
MetricAVGOTSEM
P/E Ratio (TTM)37.5144.16
P/S Ratio (TTM)15.738.47
P/B Ratio (MRQ)14.064.85
Free Cash Flow Yield (TTM)2.18%1.59%