Broadcom Inc. (AVGO) vs Microsoft Corporation (MSFT)
A side-by-side comparison of Broadcom Inc. and Microsoft Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of September 10, 2026. Differences are shown without an overall score or investment verdict.
AVGO
Broadcom Inc.
$361.99TechnologyDelayed quote: Sep 11, 2026, 4:00 PM EDT
MSFT
Microsoft Corporation
$495.63TechnologyDelayed quote: Sep 11, 2026, 4:00 PM EDT
Total return — AVGO vs MSFT
growth of $100 · dividends reinvested · last 10yAVGO +2580.2% (+38.9%/yr)MSFT +861.8% (+25.4%/yr)AVGO compounded faster over this window
AVGO MSFT
AVGO vs MSFT: by the numbers
- •MSFT is the larger company ($3.68T vs $1.72T market cap).
- •MSFT trades at the lower trailing earnings multiple (27.61 vs 46.23 P/E), one valuation lens rather than an overall verdict.
- •AVGO converts more revenue to profit (42.94% vs 40.31% net margin).
- •AVGO grew revenue faster over the past five years (27.42% vs 14.57% CAGR).
- •MSFT pays the higher dividend yield (0.74% vs 0.70%).
Metrics side by side
Valuation
| Metric | AVGO | MSFT |
|---|---|---|
| P/E ratio | 46.23 | 27.61 |
| Forward P/E | 31.17 | 25.13 |
| P/S ratio | 19.33 | 11.09 |
| P/B ratio | 17.28 | 8.32 |
| EV / EBITDA | 33.95 | 19.55 |
| FCF yield | 2.29% | 1.82% |
Profitability
| Metric | AVGO | MSFT |
|---|---|---|
| Gross margin | 67.66% | 67.94% |
| Operating margin | 39.89% | 46.78% |
| Net margin | 42.94% | 40.31% |
| ROE | 38.38% | 30.23% |
| ROIC | 23.99% | 20.90% |
Dividends
| Metric | AVGO | MSFT |
|---|---|---|
| Dividend yield | 0.70% | 0.74% |
| Payout ratio | 32.44% | 20.28% |
Growth (annualized)
| Metric | AVGO | MSFT |
|---|---|---|
| Revenue CAGR (5Y) | 27.42% | 14.57% |
| EPS CAGR (5Y) | 49.36% | 17.26% |
| FCF CAGR (5Y) | 24.60% | 3.60% |
| Total return CAGR (5Y) | 51.41% | 11.66% |
Frequently asked
- Which has the lower trailing P/E, AVGO or MSFT?
- MSFT has the lower trailing P/E: AVGO trades at 46.23 and MSFT at 27.61. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, AVGO or MSFT?
- Over the past five years, AVGO grew revenue faster — AVGO at a 27.42% CAGR versus MSFT at 14.57%.
- Does AVGO or MSFT pay a bigger dividend?
- AVGO yields 0.70% and MSFT yields 0.74% based on trailing dividends and the latest price.
- Is AVGO or MSFT more profitable?
- AVGO runs the higher net margin — AVGO at 42.94% versus MSFT at 40.31%.
- How have AVGO and MSFT total returns compared?
- Over the past 10 years, AVGO delivered 39.97% and MSFT delivered 25.72% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Broadcom P/E ratioMicrosoft P/E ratioBroadcom dividend yieldMicrosoft dividend yieldBroadcom ROEMicrosoft ROEBroadcom operating marginMicrosoft operating marginBroadcom revenue growthMicrosoft revenue growthBroadcom free cash flowMicrosoft free cash flow
Broadcom & Microsoft appear in these rankings
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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 September 10, 2026.