AMAT vs AVGO: Which Is the Better Buy?
Side-by-side comparison of Applied Materials, Inc. and Broadcom Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-22.
Applied Materials, Inc. · Technology
$394.33
-58.9% upside to fair value
Grade C
High Quality
VS
Broadcom Inc. · Technology
$371.59
-49.9% upside to fair value
Grade C
High Quality
QuantHub Verdict
AVGO has more upside to fair value
(-49.9%).
AMAT trades at a lower forward P/E
(39.9x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AMAT |
AVGO |
| Current Price |
$394.33 |
$371.59 |
| Fair Value Estimate |
$162.08 |
$186.35 |
| Upside to Fair Value |
-58.9%
|
-49.9%
|
| Market Cap |
$312.9B |
$1,761.8B |
| Forward P/E |
39.9x
|
70.7x
|
| EV / EBITDA |
31.6x
|
46.7x
|
| Price / Sales |
11.1x
|
25.9x
|
| Price / FCF |
50.5x
|
61.1x
|
| Revenue Growth YoY |
-2.1%
|
+7.2%
|
| Gross Margin |
48.7%
|
67.1%
|
| Operating Margin |
29.1%
|
40.9%
|
| Return on Equity |
38.9%
|
32.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
1.98%
|
1.64%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
Applied Materials, Inc. is a leading global provider of semiconductor and display equipment, specializing in materials engineering solutions critical to chip manufacturing. The company benefits from a durable competitive moat supported by its market leadership, innovation engine with over 8,500 patents since 2013, and a strong management team led by CEO Gary E. Dickerson. Despite these strengths,…
Broadcom Inc. is a leading technology company specializing in semiconductors and infrastructure software, with a strong competitive moat driven by scale, diversification, and aggressive M&A under CEO Hock E. Tan. The company has demonstrated robust revenue growth, particularly in semiconductor solutions and infrastructure software segments, with a 25% year-over-year increase recently and a five-y…
Accumulation Zones
| Metric |
AMAT |
AVGO |
| Zone Low |
$121.56 |
$139.76 |
| Zone High |
$137.77 |
$158.40 |
| In Buy Zone? |
No
|
No
|