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AVGO vs SABR

AVGO
Broadcom Inc.
NEUTRAL
Price
$350.63
Market Cap
$1.66T
Sector
Technology
AI Confidence
85%
SABR
Sabre Corporation
NEUTRAL
Price
$1.89
Market Cap
$746.9M
Sector
Technology
AI Confidence
80%

Valuation

P/E Ratio
AVGO
68.48
SABR
--
Forward P/E
AVGO
19.65
SABR
7.0
P/B Ratio
AVGO
20.79
SABR
-0.71
P/S Ratio
AVGO
24.35
SABR
0.27
EV/EBITDA
AVGO
46.0
SABR
11.35

Profitability

Gross Margin
AVGO
76.73%
SABR
56.69%
Operating Margin
AVGO
44.94%
SABR
11.29%
Profit Margin
AVGO
36.57%
SABR
18.93%
ROE
AVGO
33.37%
SABR
--
ROA
AVGO
10.66%
SABR
4.72%

Growth

Revenue Growth
AVGO
29.5%
SABR
3.4%
Earnings Growth
AVGO
31.6%
SABR
--

Financial Health

Debt/Equity
AVGO
0.83
SABR
--
Current Ratio
AVGO
1.9
SABR
1.07
Quick Ratio
AVGO
1.67
SABR
0.93

Dividends

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

Sabre Corporation presents a complex profile with a Piotroski F-Score of 4/9, indicating stable but fragile financial health. While the stock appears deeply undervalued on a Price/Sales (0.27) and Forward P/E (7.00) basis, the negative Price/Book ratio (-0.71) reveals a critical lack of shareholders' equity. Recent short-term price momentum is strong, but it is countered by a devastating 5-year decline of 87.7% and a history of inconsistent earnings. The company is currently transitioning from chronic losses toward a break-even state, but lacks the growth catalysts to justify a bullish rating.

Strengths
Extremely low Price/Sales ratio (0.27) suggesting deep value
Strong Gross Margins (56.69%) indicating core product viability
Recent positive momentum in 1-month and 1-week price action
Risks
Negative Book Value (-0.71 P/B) indicating negative shareholders' equity
Poor long-term price performance (-87.7% over 5 years)
Tight liquidity with a Current Ratio of 1.07 and Quick Ratio of 0.93

Compare Another Pair

AVGO vs SABR: Head-to-Head Comparison

This page compares Broadcom Inc. (AVGO) and Sabre Corporation (SABR) 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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