Broadcom Inc. (AVGO) vs Merck & Co., Inc. (MRK)

MRK leads on 9 of 17 compared metrics.

A side-by-side comparison of Broadcom Inc. and Merck & Co., Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 14, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Compare

Total return — AVGO vs MRK

growth of $100 · last 17y
AVGO +23484.6%MRK +321.7%AVGO compounded faster
Log scale — wide-divergence pair
101001k10k100kStart $10020122015201820212024$23,585$422
AVGO MRK

AVGO vs MRK: by the numbers

  • AVGO is the larger company ($1.82T vs $294.03B market cap).
  • MRK trades at the lower earnings multiple (33.54 vs 63.68 P/E).
  • AVGO converts more revenue to profit (38.85% vs 13.62% net margin).
  • AVGO grew revenue faster over the past five years (24.17% vs 8.60% CAGR).
  • MRK pays the higher dividend yield (3.50% vs 0.65%).

Which is better, AVGO or MRK?

Metric tally: AVGO 8 · MRK 9

It depends on what you're optimizing for:

ValueMRK(lower P/E)
GrowthAVGO(faster 5Y revenue CAGR)
IncomeMRK(higher dividend yield)
QualityMRK(higher ROIC)

Metrics side by side

Valuation

MetricAVGOMRK
P/E ratio63.6833.54
Forward P/E19.6812.35
P/S ratio24.694.49
P/B ratio21.246.41
PEG ratio0.261.81
EV / EBITDA45.4119.58
FCF yield1.76%4.80%

Profitability

MetricAVGOMRK
Gross margin66.96%75.91%
Operating margin43.66%27.59%
Net margin38.85%13.62%
ROE33.43%19.48%
ROIC16.36%18.27%

Dividends

MetricAVGOMRK
Dividend yield0.65%3.50%
Payout ratio50.51%57.12%

Growth (annualized)

MetricAVGOMRK
Revenue CAGR (5Y)24.17%8.60%
EPS CAGR (5Y)49.36%21.21%
FCF CAGR (5Y)20.74%15.69%
Total return CAGR (5Y)55.05%12.79%

Frequently asked

Which is better, AVGO or MRK?
It depends on your goal. value: MRK (lower P/E); growth: AVGO (faster 5Y revenue CAGR); income: MRK (higher dividend yield); quality: MRK (higher ROIC). Across all compared metrics, MRK leads 9 to 8.
Is AVGO or MRK cheaper?
On trailing earnings, MRK is cheaper: AVGO trades at a 63.68 P/E and MRK at 33.54.
Which has grown faster, AVGO or MRK?
Over the past five years, AVGO grew revenue faster — AVGO at a 24.17% CAGR versus MRK at 8.60%.
Does AVGO or MRK pay a bigger dividend?
AVGO yields 0.65% and MRK yields 3.50% based on trailing dividends and the latest price.
Is AVGO or MRK more profitable?
AVGO runs the higher net margin — AVGO at 38.85% versus MRK at 13.62%.
Which has been the better investment, AVGO or MRK?
Over the past 10-year, AVGO delivered the higher annualized total return — AVGO at 40.78% versus MRK at 11.57%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 14, 2026.