HPC vs Broadcom Which Should You Buy?

High Performance Computing (HPC) and Broadcom are two prominent players in the technology sector that have been making waves in the stock market. HPC, with its focus on supercomputing and advanced data processing, has seen a surge in demand as businesses seek to accelerate their computing capabilities. On the other hand, Broadcom, a leading semiconductor company, has been capitalizing on the growing demand for connectivity solutions in the age of IoT and 5G. These two stocks represent exciting investment opportunities in the tech industry.

HPC or Broadcom?

When comparing HPC and Broadcom, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between HPC and Broadcom.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. HPC has a dividend yield of -%, while Broadcom has a dividend yield of 1.15%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. HPC reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Broadcom reports a 5-year dividend growth of 10.81% year and a payout ratio of 181.24%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with HPC P/E ratio at 9.46 and Broadcom's P/E ratio at 167.67. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. HPC P/B ratio is 0.21 while Broadcom's P/B ratio is 13.01.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, HPC has seen a 5-year revenue growth of 0.10%, while Broadcom's is 0.73%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with HPC's ROE at 2.21% and Broadcom's ROE at 8.87%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.06 for HPC and $176.43 for Broadcom. Over the past year, HPC's prices ranged from HK$0.03 to HK$0.08, with a yearly change of 151.61%. Broadcom's prices fluctuated between $104.15 and $186.42, with a yearly change of 78.99%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.