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AVGO vs IOT

AVGO
Broadcom Inc.
NEUTRAL
Price
$350.63
Market Cap
$1.66T
Sector
Technology
AI Confidence
85%
IOT
Samsara Inc.
NEUTRAL
Price
$29.33
Market Cap
$17.03B
Sector
Technology
AI Confidence
75%

Valuation

P/E Ratio
AVGO
68.48
IOT
--
Forward P/E
AVGO
19.65
IOT
34.59
P/B Ratio
AVGO
20.79
IOT
11.99
P/S Ratio
AVGO
24.35
IOT
10.52
EV/EBITDA
AVGO
46.0
IOT
-381.71

Profitability

Gross Margin
AVGO
76.73%
IOT
76.8%
Operating Margin
AVGO
44.94%
IOT
2.03%
Profit Margin
AVGO
36.57%
IOT
-0.56%
ROE
AVGO
33.37%
IOT
-0.73%
ROA
AVGO
10.66%
IOT
-1.44%

Growth

Revenue Growth
AVGO
29.5%
IOT
28.3%
Earnings Growth
AVGO
31.6%
IOT
--

Financial Health

Debt/Equity
AVGO
0.83
IOT
0.05
Current Ratio
AVGO
1.9
IOT
1.64
Quick Ratio
AVGO
1.67
IOT
1.27

Dividends

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

Samsara Inc. presents a stark contrast between fundamental growth and deterministic health, evidenced by a weak Piotroski F-Score of 2/9. While the company demonstrates impressive revenue growth (28.3%) and a consistent track record of earnings beats, it is currently plagued by a bearish technical trend and significant insider selling. The high valuation multiples (P/S 10.52, P/B 11.99) suggest the market has already priced in significant growth, leaving the stock vulnerable during price corrections. Overall, the strong gross margins and low debt provide a safety net, but the lack of deterministic health markers warrants a neutral stance.

Strengths
Strong revenue growth of 28.3% YoY
Excellent gross margins at 76.80%
Consistent earnings surprise track record (3/4 beats in last 4 quarters)
Risks
Weak deterministic health as indicated by a Piotroski F-Score of 2/9
Aggressive insider selling totaling $54M, including CEO and CTO
High valuation premiums (Price/Sales > 10x)

Compare Another Pair

AVGO vs IOT: Head-to-Head Comparison

This page compares Broadcom Inc. (AVGO) and Samsara Inc. (IOT) 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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