AVGO vs COST: Which Is the Better Buy?
Side-by-side comparison of Broadcom Inc. and Costco Wholesale Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-20.
Broadcom Inc. · Technology
$371.59
-45.0% upside to fair value
Grade C
High Quality
VS
Costco Wholesale Corporation · Consumer Defensive
$999.89
-20.7% upside to fair value
Grade D
High Quality
QuantHub Verdict
COST has more upside to fair value
(-20.7%).
COST trades at a lower forward P/E
(51.9x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AVGO |
COST |
| Current Price |
$371.59 |
$999.89 |
| Fair Value Estimate |
$204.37 |
$793.02 |
| Upside to Fair Value |
-45.0%
|
-20.7%
|
| Market Cap |
$1,761.8B |
$443.6B |
| Forward P/E |
70.7x
|
51.9x
|
| EV / EBITDA |
46.7x
|
30.9x
|
| Price / Sales |
25.9x
|
1.6x
|
| Price / FCF |
61.1x
|
48.8x
|
| Revenue Growth YoY |
+7.2%
|
+9.2%
|
| Gross Margin |
67.1%
|
12.9%
|
| Operating Margin |
40.9%
|
3.8%
|
| Return on Equity |
32.9%
|
28.8%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
1.64%
|
2.05%
|
| 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…
Costco Wholesale Corporation operates a global membership-based warehouse club model that leverages scale, low costs, and superior employee retention to deliver consistent revenue and earnings growth. The company reported $269.9 billion in net sales for fiscal 2025 with an 8% year-over-year increase, driven by strong segments in Foods and Sundries and membership fees exceeding $5.65 billion in th…
Accumulation Zones
| Metric |
AVGO |
COST |
| Zone Low |
$153.28 |
$594.76 |
| Zone High |
$173.71 |
$674.07 |
| In Buy Zone? |
No
|
No
|