MTSI vs AVGO

For growth investors, MACOM Technology Solutions Holdings, Inc.

(MTSI) is the stronger pick with 32. 6% revenue growth year-over-year, versus 23. 9% for Broadcom Inc. (AVGO). Broadcom Inc. (AVGO) offers the better valuation at 89. 6x trailing P/E (37. 8x forward), making it the more compelling value choice. Analysts rate MACOM Technology Solutions Holdings, Inc. (MTSI) a "Buy" — based on 23 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On forward P/E, Broadcom Inc.

is actually cheaper at 37. 8x.

Over the past 5 years, Broadcom Inc.

(AVGO) delivered a total return of +885. 6%, compared to +465. 8% for MACOM Technology Solutions Holdings, Inc. (MTSI). Over 10 years, the gap is even starker: AVGO returned +30. 0% versus MTSI's +687. 5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), MACOM Technology Solutions Holdings, Inc.

(MTSI) is the lower-risk stock at 1. 75β versus Broadcom Inc. 's 1. 96β — meaning AVGO is approximately 12% more volatile than MTSI relative to the S&P 500. On balance sheet safety, MACOM Technology Solutions Holdings, Inc. (MTSI) carries a lower debt/equity ratio of 41% versus 80% for Broadcom Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), MACOM Technology Solutions Holdings, Inc.

(MTSI) is pulling ahead at 32. 6% versus 23. 9% for Broadcom Inc. (AVGO). On earnings-per-share growth, the picture is similar: Broadcom Inc. grew EPS 287. 8% year-over-year, compared to -170. 2% for MACOM Technology Solutions Holdings, Inc.. Over a 3-year CAGR, AVGO leads at 24. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Broadcom Inc.

(AVGO) is the more profitable company, earning 36. 2% net margin versus -5. 6% for MACOM Technology Solutions Holdings, Inc. — meaning it keeps 36. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: AVGO leads at 39. 9% versus 13. 4% for MTSI. At the gross margin level — before operating expenses — AVGO leads at 67. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Broadcom Inc.

(AVGO) trades at 37. 8x forward P/E versus 67. 8x for MACOM Technology Solutions Holdings, Inc. — 30. 0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for AVGO: 3. 8% to $443. 72.

In this comparison, AVGO (0.

5% yield) pays a dividend. MTSI does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, MACOM Technology Solutions Holdings, Inc.

(MTSI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (+687. 5% 10Y return). Broadcom Inc. (AVGO) carries a higher beta of 1. 96 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (MTSI: +687. 5%, AVGO: +30. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

AVGO pays a dividend while MTSI does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.