No connection

Search Results

AVGO vs MSI

AVGO
Broadcom Inc.
NEUTRAL
Price
$350.63
Market Cap
$1.66T
Sector
Technology
AI Confidence
85%
MSI
Motorola Solutions, Inc.
NEUTRAL
Price
$429.23
Market Cap
$71.34B
Sector
Technology
AI Confidence
85%

Valuation

P/E Ratio
AVGO
68.48
MSI
33.67
Forward P/E
AVGO
19.65
MSI
23.51
P/B Ratio
AVGO
20.79
MSI
29.51
P/S Ratio
AVGO
24.35
MSI
6.11
EV/EBITDA
AVGO
46.0
MSI
22.63

Profitability

Gross Margin
AVGO
76.73%
MSI
51.8%
Operating Margin
AVGO
44.94%
MSI
27.81%
Profit Margin
AVGO
36.57%
MSI
18.44%
ROE
AVGO
33.37%
MSI
104.2%
ROA
AVGO
10.66%
MSI
11.39%

Growth

Revenue Growth
AVGO
29.5%
MSI
12.3%
Earnings Growth
AVGO
31.6%
MSI
8.6%

Financial Health

Debt/Equity
AVGO
0.83
MSI
4.02
Current Ratio
AVGO
1.9
MSI
1.04
Quick Ratio
AVGO
1.67
MSI
0.82

Dividends

Dividend Yield
AVGO
0.74%
MSI
1.13%
Payout Ratio
AVGO
47.17%
MSI
35.14%

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)
MSI NEUTRAL

MSI exhibits a stable financial health profile with a Piotroski F-Score of 4/9, though it is heavily burdened by significant leverage. While the company demonstrates operational excellence with a 25-quarter streak of earnings beats and strong operating margins (27.81%), it trades at a massive premium to its Graham Number ($64.59) and Intrinsic Value ($253.72). The exceptional ROE of 104.20% is likely a function of high debt rather than organic efficiency. Consequently, the stock is a high-quality business currently trading at a speculative valuation.

Strengths
Exceptional earnings track record with beats in nearly every quarter over the last 6 years
Strong profitability with a 51.80% gross margin and 27.81% operating margin
Consistent double-digit revenue growth (12.30% YoY)
Risks
Extreme leverage with a Debt/Equity ratio of 4.02
Severe overvaluation relative to book value (Price/Book of 29.51)
High PEG ratio (2.38) suggesting the price has outpaced earnings growth

Compare Another Pair

AVGO vs MSI: Head-to-Head Comparison

This page compares Broadcom Inc. (AVGO) and Motorola Solutions, Inc. (MSI) 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.

Home
Terminal
AI Chat
Markets
Profile