AVGO vs CAT: Which Is the Better Buy?
Side-by-side comparison of Broadcom Inc. and Caterpillar Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-10.
Broadcom Inc. · Technology
$371.59
-49.9% upside to fair value
Grade C
High Quality
VS
Caterpillar Inc. · Industrials
$792.65
-8.8% upside to fair value
Grade D
QuantHub Verdict
CAT has more upside to fair value
(-8.8%).
CAT trades at a lower forward P/E
(41.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AVGO |
CAT |
| Current Price |
$371.59 |
$792.65 |
| Fair Value Estimate |
$186.35 |
$723.13 |
| Upside to Fair Value |
-49.9%
|
-8.8%
|
| Market Cap |
$1,761.8B |
$370.9B |
| Forward P/E |
70.7x
|
41.7x
|
| EV / EBITDA |
46.7x
|
27.2x
|
| Price / Sales |
25.9x
|
5.5x
|
| Price / FCF |
61.1x
|
36.1x
|
| Revenue Growth YoY |
+7.2%
|
+8.5%
|
| Gross Margin |
67.1%
|
32.3%
|
| Operating Margin |
40.9%
|
16.6%
|
| Return on Equity |
32.9%
|
45.1%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
1.64%
|
2.77%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
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…
Caterpillar Inc. is the world's leading manufacturer of construction and mining equipment, engines, and industrial machinery, with a strong global footprint and a record $67.6 billion in revenues for 2025. The company benefits from a durable competitive position supported by a broad product portfolio and a large installed base, but faces margin pressure from tariffs and cost inflation. Despite so…
Accumulation Zones
| Metric |
AVGO |
CAT |
| Zone Low |
$139.76 |
$542.35 |
| Zone High |
$158.40 |
$614.66 |
| In Buy Zone? |
No
|
No
|