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AVGO vs HKD

AVGO
Broadcom Inc.
NEUTRAL
Price
$350.63
Market Cap
$1.66T
Sector
Technology
AI Confidence
85%
HKD
AMTD Digital Inc.
NEUTRAL
Price
$1.69
Market Cap
$531.1M
Sector
Technology
AI Confidence
75%

Valuation

P/E Ratio
AVGO
68.48
HKD
9.39
Forward P/E
AVGO
19.65
HKD
--
P/B Ratio
AVGO
20.79
HKD
2.0
P/S Ratio
AVGO
24.35
HKD
3.9
EV/EBITDA
AVGO
46.0
HKD
7.93

Profitability

Gross Margin
AVGO
76.73%
HKD
75.63%
Operating Margin
AVGO
44.94%
HKD
60.45%
Profit Margin
AVGO
36.57%
HKD
40.2%
ROE
AVGO
33.37%
HKD
25.44%
ROA
AVGO
10.66%
HKD
7.38%

Growth

Revenue Growth
AVGO
29.5%
HKD
340.9%
Earnings Growth
AVGO
31.6%
HKD
81.0%

Financial Health

Debt/Equity
AVGO
0.83
HKD
0.43
Current Ratio
AVGO
1.9
HKD
1.93
Quick Ratio
AVGO
1.67
HKD
0.42

Dividends

Dividend Yield
AVGO
0.74%
HKD
--
Payout Ratio
AVGO
47.17%
HKD
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)
HKD NEUTRAL

HKD presents a stark contrast between strong fundamental value and severe negative momentum. The Piotroski F-Score of 6/9 indicates stable financial health, and the current price of $1.69 trades below both the Graham Number ($1.85) and the Intrinsic Value ($5.31). However, this value is offset by a 0/100 technical trend and poor insider sentiment (40/100), suggesting a 'value trap' risk. While growth and margins are exceptional, the massive historical price decline and lack of analyst coverage warrant a cautious approach.

Strengths
Significant undervaluation relative to Intrinsic Value ($5.31) and Graham Number ($1.85)
Explosive YoY revenue growth of 340.90%
High profitability with a 60.45% operating margin and 25.44% ROE
Risks
Severe bearish technical trend (0/100) and long-term price collapse (-89.6% over 5Y)
Poor liquidity profile indicated by a low Quick Ratio (0.42) despite a healthy Current Ratio
Weak insider sentiment (40/100) suggesting lack of confidence from company leadership

Compare Another Pair

AVGO vs HKD: Head-to-Head Comparison

This page compares Broadcom Inc. (AVGO) and AMTD Digital Inc. (HKD) 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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