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ADTN vs AVGO

ADTN
ADTRAN Holdings, Inc.
NEUTRAL
Price
$9.94
Market Cap
$801.8M
Sector
Technology
AI Confidence
72%
AVGO
Broadcom Inc.
NEUTRAL
Price
$309.51
Market Cap
$1.47T
Sector
Technology
AI Confidence
60%

Valuation

P/E Ratio
ADTN
--
AVGO
60.22
Forward P/E
ADTN
13.11
AVGO
17.35
P/B Ratio
ADTN
5.45
AVGO
5.23
P/S Ratio
ADTN
0.74
AVGO
21.49
EV/EBITDA
ADTN
17.16
AVGO
4.21

Profitability

Gross Margin
ADTN
38.29%
AVGO
76.73%
Operating Margin
ADTN
1.75%
AVGO
31.77%
Profit Margin
ADTN
-4.21%
AVGO
36.57%
ROE
ADTN
-6.78%
AVGO
33.37%
ROA
ADTN
-0.79%
AVGO
10.66%

Growth

Revenue Growth
ADTN
20.1%
AVGO
16.4%
Earnings Growth
ADTN
--
AVGO
188.1%

Financial Health

Debt/Equity
ADTN
0.49
AVGO
1.66
Current Ratio
ADTN
1.75
AVGO
1.9
Quick Ratio
ADTN
0.88
AVGO
1.67

Dividends

Dividend Yield
ADTN
--
AVGO
0.84%
Payout Ratio
ADTN
0.0%
AVGO
47.17%

AI Verdict

ADTN NEUTRAL

ADTN's Piotroski F-Score of 5/9 indicates a stable but not strong financial health, with mixed profitability signals and a lack of Altman Z-Score data raising caution. The company shows strong revenue growth (20.1% YoY) and recent EPS rebound, but persistent negative ROE and ROA, along with a negative profit margin, highlight ongoing operational inefficiencies. Despite a favorable price-to-sales ratio (0.74) and a forward P/E of 13.11, the absence of a Graham Number and intrinsic value estimate limits fundamental valuation clarity. Analysts maintain a 'buy' recommendation with a $14.00 target, suggesting optimism, though insider selling and weak recent earnings surprises temper conviction.

Strengths
20.1% year-over-year revenue growth indicates strong top-line momentum
Forward P/E of 13.11 is below sector average (77.81), suggesting relative valuation attractiveness
Price-to-sales of 0.74 is below 1.0, indicating potential undervaluation on sales basis
Risks
Negative profit margin (-4.21%) and ROE (-6.78%) reflect ongoing profitability challenges
Piotroski F-Score of 5/9 indicates stable but not robust financial health; lacks strong positive signals
Insider selling activity (1 transaction, $0.15M) with no buys suggests potential internal caution
AVGO NEUTRAL

AVGO shows bullish fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Key strengths include strong valuation and growth metrics. Price trades at a 104.1% premium to fair value estimate ($151.63), limiting near-term upside from a valuation perspective.

Strengths
Strong profitability (36.6% margin)
Strong revenue growth of 16.4%
Strong ROE of 33.4%
Risks
High valuation with P/E of 60.2
Premium vs Graham Number ($82.76)
Price trades at a 104.1% premium to fair value estimate ($151.63), limiting near-term upside from a valuation perspective.

Compare Another Pair

ADTN vs AVGO: Head-to-Head Comparison

This page compares ADTRAN Holdings, Inc. (ADTN) and Broadcom Inc. (AVGO) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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