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AVGO vs COHR

AVGO
Broadcom Inc.
NEUTRAL
Price
$350.63
Market Cap
$1.66T
Sector
Technology
AI Confidence
85%
COHR
Coherent Corp.
BULLISH
Price
$336.09
Market Cap
$63.01B
Sector
Technology
AI Confidence
85%

Valuation

P/E Ratio
AVGO
68.48
COHR
332.76
Forward P/E
AVGO
19.65
COHR
44.26
P/B Ratio
AVGO
20.79
COHR
7.38
P/S Ratio
AVGO
24.35
COHR
10.01
EV/EBITDA
AVGO
46.0
COHR
54.66

Profitability

Gross Margin
AVGO
76.73%
COHR
36.38%
Operating Margin
AVGO
44.94%
COHR
11.78%
Profit Margin
AVGO
36.57%
COHR
4.66%
ROE
AVGO
33.37%
COHR
3.24%
ROA
AVGO
10.66%
COHR
2.9%

Growth

Revenue Growth
AVGO
29.5%
COHR
17.5%
Earnings Growth
AVGO
31.6%
COHR
73.0%

Financial Health

Debt/Equity
AVGO
0.83
COHR
0.4
Current Ratio
AVGO
1.9
COHR
2.25
Quick Ratio
AVGO
1.67
COHR
0.99

Dividends

Dividend Yield
AVGO
0.74%
COHR
--
Payout Ratio
AVGO
47.17%
COHR
0.0%

AI Verdict

AVGO NEUTRAL

Broadcom exhibits a dichotomy between elite operational performance and poor deterministic value metrics. While the Piotroski F-Score of 4/9 indicates stable health, the stock trades at a massive premium to its Graham Number ($44.08) and Intrinsic Value ($151.04). This valuation gap is partially justified by a very attractive PEG ratio (0.68) and strong forward P/E (19.65), suggesting high growth expectations. However, aggressive insider selling by the CEO and CFO, combined with a bearish technical trend, offsets the strong analyst 'strong_buy' consensus.

Strengths
Exceptional profitability with 76.73% gross margins and 44.94% operating margins
Strong growth trajectory with ~30% YoY increases in both revenue and earnings
Impressive earnings track record with consistent beats over 25 quarters
Risks
Severe overvaluation relative to defensive fair value (Graham Number)
Strong bearish insider sentiment with 14 sell transactions and 0 buys
Technical trend is currently 0/100 (Bearish)
COHR BULLISH

Coherent Corp exhibits exceptional operational health with a Piotroski F-Score of 8/9, signaling strong financial fundamentals despite a massive valuation premium. While the current price of $336.09 dwarfs the Graham Number ($32.18) and Intrinsic Value ($29.80), this divergence is typical for high-growth AI-infrastructure plays where the market prices in future dominance. The company's vertical integration in the Datacom AI/ML vertical and a PEG ratio of 0.92 suggest that the explosive earnings growth (73% YoY) justifies the current trajectory. However, significant insider selling and a thin net profit margin remain primary points of caution.

Strengths
Strong operational health indicated by a Piotroski F-Score of 8/9
Explosive earnings growth (73% YoY) and consistent quarterly EPS beats
Strategic vertical integration in AI/ML transceivers and semiconductor materials
Risks
Extreme valuation multiples (P/E of 332.76) leave little room for execution errors
Bearish insider sentiment with consistent selling and zero buy transactions
Thin net profit margins (4.66%) make the company vulnerable to cost spikes

Compare Another Pair

AVGO vs COHR: Head-to-Head Comparison

This page compares Broadcom Inc. (AVGO) and Coherent Corp. (COHR) 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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