BROADCOM INC (1AVGO.MI) Fundamental Analysis & Valuation

BIT:1AVGO • US11135F1012

Current stock price

319.7 EUR
-0.7 (-0.22%)
Last:

This 1AVGO.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. 1AVGO.MI Profitability Analysis

1.1 Basic Checks

  • 1AVGO had positive earnings in the past year.
  • 1AVGO had a positive operating cash flow in the past year.
  • Each year in the past 5 years 1AVGO has been profitable.
  • In the past 5 years 1AVGO always reported a positive cash flow from operatings.
1AVGO.MI Yearly Net Income VS EBIT VS OCF VS FCF1AVGO.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B 10B 15B 20B 25B

1.2 Ratios

  • With a decent Return On Assets value of 14.70%, 1AVGO is doing good in the industry, outperforming 78.87% of the companies in the same industry.
  • 1AVGO's Return On Equity of 31.27% is fine compared to the rest of the industry. 1AVGO outperforms 77.46% of its industry peers.
  • 1AVGO has a Return On Invested Capital (11.54%) which is in line with its industry peers.
  • 1AVGO had an Average Return On Invested Capital over the past 3 years of 10.89%. This is below the industry average of 14.74%.
  • The last Return On Invested Capital (11.54%) for 1AVGO is above the 3 year average (10.89%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 14.7%
ROE 31.27%
ROIC 11.54%
ROA(3y)12.13%
ROA(5y)12.05%
ROE(3y)31.95%
ROE(5y)34.21%
ROIC(3y)10.89%
ROIC(5y)10.78%
1AVGO.MI Yearly ROA, ROE, ROIC1AVGO.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40

1.3 Margins

  • 1AVGO has a Profit Margin of 36.57%. This is amongst the best in the industry. 1AVGO outperforms 92.96% of its industry peers.
  • 1AVGO's Profit Margin has improved in the last couple of years.
  • 1AVGO has a Operating Margin of 41.58%. This is amongst the best in the industry. 1AVGO outperforms 91.55% of its industry peers.
  • In the last couple of years the Operating Margin of 1AVGO has grown nicely.
  • With an excellent Gross Margin value of 67.93%, 1AVGO belongs to the best of the industry, outperforming 91.55% of the companies in the same industry.
  • 1AVGO's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 41.58%
PM (TTM) 36.57%
GM 67.93%
OM growth 3Y-1.65%
OM growth 5Y17.55%
PM growth 3Y2.31%
PM growth 5Y26.56%
GM growth 3Y0.66%
GM growth 5Y3.66%
1AVGO.MI Yearly Profit, Operating, Gross Margins1AVGO.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60

5

2. 1AVGO.MI Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1AVGO is still creating some value.
  • The number of shares outstanding for 1AVGO has been increased compared to 1 year ago.
  • Compared to 5 years ago, 1AVGO has more shares outstanding
  • The debt/assets ratio for 1AVGO has been reduced compared to a year ago.
1AVGO.MI Yearly Shares Outstanding1AVGO.MI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B
1AVGO.MI Yearly Total Debt VS Total Assets1AVGO.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50B 100B 150B

2.2 Solvency

  • 1AVGO has an Altman-Z score of 12.90. This indicates that 1AVGO is financially healthy and has little risk of bankruptcy at the moment.
  • 1AVGO has a Altman-Z score of 12.90. This is in the better half of the industry: 1AVGO outperforms 73.24% of its industry peers.
  • 1AVGO has a debt to FCF ratio of 2.28. This is a good value and a sign of high solvency as 1AVGO would need 2.28 years to pay back of all of its debts.
  • 1AVGO has a Debt to FCF ratio (2.28) which is comparable to the rest of the industry.
  • 1AVGO has a Debt/Equity ratio of 0.80. This is a neutral value indicating 1AVGO is somewhat dependend on debt financing.
  • 1AVGO has a Debt to Equity ratio of 0.80. This is amonst the worse of the industry: 1AVGO underperforms 87.32% of its industry peers.
  • Although 1AVGO's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
Industry RankSector Rank
Debt/Equity 0.8
Debt/FCF 2.28
Altman-Z 12.9
ROIC/WACC1
WACC11.52%
1AVGO.MI Yearly LT Debt VS Equity VS FCF1AVGO.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B

2.3 Liquidity

  • A Current Ratio of 1.90 indicates that 1AVGO should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.90, 1AVGO is doing worse than 77.46% of the companies in the same industry.
  • A Quick Ratio of 1.73 indicates that 1AVGO should not have too much problems paying its short term obligations.
  • 1AVGO has a Quick ratio (1.73) which is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 1.9
Quick Ratio 1.73
1AVGO.MI Yearly Current Assets VS Current Liabilites1AVGO.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

10

3. 1AVGO.MI Growth Analysis

3.1 Past

  • 1AVGO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.74%, which is quite impressive.
  • 1AVGO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.23% yearly.
  • Looking at the last year, 1AVGO shows a very strong growth in Revenue. The Revenue has grown by 25.22%.
  • 1AVGO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.74% yearly.
EPS 1Y (TTM)35.74%
EPS 3Y21.91%
EPS 5Y25.23%
EPS Q2Q%28.12%
Revenue 1Y (TTM)25.22%
Revenue growth 3Y24.38%
Revenue growth 5Y21.74%
Sales Q2Q%29.47%

3.2 Future

  • The Earnings Per Share is expected to grow by 28.32% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, 1AVGO will show a very strong growth in Revenue. The Revenue will grow by 30.05% on average per year.
EPS Next Y68.68%
EPS Next 2Y62.38%
EPS Next 3Y47.66%
EPS Next 5Y28.32%
Revenue Next Year64.82%
Revenue Next 2Y58.78%
Revenue Next 3Y46.98%
Revenue Next 5Y30.05%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
1AVGO.MI Yearly Revenue VS Estimates1AVGO.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 50B 100B 150B 200B
1AVGO.MI Yearly EPS VS Estimates1AVGO.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5 10 15 20

4

4. 1AVGO.MI Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 51.40, the valuation of 1AVGO can be described as expensive.
  • 1AVGO's Price/Earnings ratio is a bit more expensive when compared to the industry. 1AVGO is more expensive than 61.97% of the companies in the same industry.
  • 1AVGO is valuated expensively when we compare the Price/Earnings ratio to 27.18, which is the current average of the S&P500 Index.
  • With a Price/Forward Earnings ratio of 20.77, 1AVGO is valued on the expensive side.
  • Based on the Price/Forward Earnings ratio, 1AVGO is valued a bit cheaper than the industry average as 74.65% of the companies are valued more expensively.
  • 1AVGO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 37.96, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 51.4
Fwd PE 20.77
1AVGO.MI Price Earnings VS Forward Price Earnings1AVGO.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • 1AVGO's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1AVGO is more expensive than 78.87% of the companies in the same industry.
  • 1AVGO's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 61.17
EV/EBITDA 49.01
1AVGO.MI Per share data1AVGO.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10 15

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • The excellent profitability rating of 1AVGO may justify a higher PE ratio.
  • A more expensive valuation may be justified as 1AVGO's earnings are expected to grow with 47.66% in the coming years.
PEG (NY)0.75
PEG (5Y)2.04
EPS Next 2Y62.38%
EPS Next 3Y47.66%

4

5. 1AVGO.MI Dividend Analysis

5.1 Amount

  • 1AVGO has a yearly dividend return of 0.73%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.65, 1AVGO pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.73, 1AVGO pays less dividend than the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 0.73%

5.2 History

  • On average, the dividend of 1AVGO grows each year by 11.45%, which is quite nice.
Dividend Growth(5Y)11.45%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

  • 1AVGO pays out 45.87% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • The dividend of 1AVGO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP45.87%
EPS Next 2Y62.38%
EPS Next 3Y47.66%
1AVGO.MI Yearly Income VS Free CF VS Dividend1AVGO.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B 10B 15B 20B 25B
1AVGO.MI Dividend Payout.1AVGO.MI Dividend Payout, showing the Payout Ratio.1AVGO.MI Dividend Payout.PayoutRetained Earnings

1AVGO.MI Fundamentals: All Metrics, Ratios and Statistics

BROADCOM INC

BIT:1AVGO (4/13/2026, 7:00:00 PM)

319.7

-0.7 (-0.22%)

Chartmill FA Rating
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)03-04
Earnings (Next)06-03
Inst Owners79.28%
Inst Owner ChangeN/A
Ins Owners1.85%
Ins Owner ChangeN/A
Market Cap1.51T
Revenue(TTM)68.28B
Net Income(TTM)24.97B
Analysts84.91
Price Target404.79 (26.62%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.73%
Yearly Dividend2.02
Dividend Growth(5Y)11.45%
DP45.87%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.89%
Min EPS beat(2)-0.87%
Max EPS beat(2)2.65%
EPS beat(4)2
Avg EPS beat(4)0.34%
Min EPS beat(4)-0.93%
Max EPS beat(4)2.65%
EPS beat(8)5
Avg EPS beat(8)0.97%
EPS beat(12)7
Avg EPS beat(12)0.89%
EPS beat(16)9
Avg EPS beat(16)0.78%
Revenue beat(2)1
Avg Revenue beat(2)-0.16%
Min Revenue beat(2)-1.29%
Max Revenue beat(2)0.96%
Revenue beat(4)1
Avg Revenue beat(4)-0.85%
Min Revenue beat(4)-1.89%
Max Revenue beat(4)0.96%
Revenue beat(8)3
Avg Revenue beat(8)-0.61%
Revenue beat(12)4
Avg Revenue beat(12)-0.95%
Revenue beat(16)5
Avg Revenue beat(16)-0.96%
PT rev (1m)2.59%
PT rev (3m)7.46%
EPS NQ rev (1m)1.18%
EPS NQ rev (3m)11.57%
EPS NY rev (1m)11.08%
EPS NY rev (3m)12.01%
Revenue NQ rev (1m)0.97%
Revenue NQ rev (3m)7.38%
Revenue NY rev (1m)6.83%
Revenue NY rev (3m)7.96%
Valuation
Industry RankSector Rank
PE 51.4
Fwd PE 20.77
P/S 25.9
P/FCF 61.17
P/OCF 59.58
P/B 22.14
P/tB N/A
EV/EBITDA 49.01
EPS(TTM)6.22
EY1.95%
EPS(NY)15.39
Fwd EY4.81%
FCF(TTM)5.23
FCFY1.63%
OCF(TTM)5.37
OCFY1.68%
SpS12.34
BVpS14.44
TBVpS-8.72
PEG (NY)0.75
PEG (5Y)2.04
Graham Number44.95
Profitability
Industry RankSector Rank
ROA 14.7%
ROE 31.27%
ROCE 18.55%
ROIC 11.54%
ROICexc 12.72%
ROICexgc 164.02%
OM 41.58%
PM (TTM) 36.57%
GM 67.93%
FCFM 42.34%
ROA(3y)12.13%
ROA(5y)12.05%
ROE(3y)31.95%
ROE(5y)34.21%
ROIC(3y)10.89%
ROIC(5y)10.78%
ROICexc(3y)12.9%
ROICexc(5y)12.93%
ROICexgc(3y)453.16%
ROICexgc(5y)376.99%
ROCE(3y)17.51%
ROCE(5y)17.33%
ROICexgc growth 3Y-4.02%
ROICexgc growth 5Y10.23%
ROICexc growth 3Y-10.3%
ROICexc growth 5Y22.21%
OM growth 3Y-1.65%
OM growth 5Y17.55%
PM growth 3Y2.31%
PM growth 5Y26.56%
GM growth 3Y0.66%
GM growth 5Y3.66%
F-Score8
Asset Turnover0.4
Health
Industry RankSector Rank
Debt/Equity 0.8
Debt/FCF 2.28
Debt/EBITDA 1.72
Cap/Depr 8.83%
Cap/Sales 1.13%
Interest Coverage 10.84
Cash Conversion 79.91%
Profit Quality 115.77%
Current Ratio 1.9
Quick Ratio 1.73
Altman-Z 12.9
F-Score8
WACC11.52%
ROIC/WACC1
Cap/Depr(3y)8.12%
Cap/Depr(5y)8.04%
Cap/Sales(3y)1.1%
Cap/Sales(5y)1.24%
Profit Quality(3y)190.31%
Profit Quality(5y)184.64%
High Growth Momentum
Growth
EPS 1Y (TTM)35.74%
EPS 3Y21.91%
EPS 5Y25.23%
EPS Q2Q%28.12%
EPS Next Y68.68%
EPS Next 2Y62.38%
EPS Next 3Y47.66%
EPS Next 5Y28.32%
Revenue 1Y (TTM)25.22%
Revenue growth 3Y24.38%
Revenue growth 5Y21.74%
Sales Q2Q%29.47%
Revenue Next Year64.82%
Revenue Next 2Y58.78%
Revenue Next 3Y46.98%
Revenue Next 5Y30.05%
EBIT growth 1Y50.21%
EBIT growth 3Y22.33%
EBIT growth 5Y43.11%
EBIT Next Year66.87%
EBIT Next 3Y44.92%
EBIT Next 5Y32.68%
FCF growth 1Y57.18%
FCF growth 3Y18.17%
FCF growth 5Y18.34%
OCF growth 1Y57.36%
OCF growth 3Y18.06%
OCF growth 5Y17.95%

BROADCOM INC / 1AVGO.MI Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for BROADCOM INC?

ChartMill assigns a fundamental rating of 7 / 10 to 1AVGO.MI.


Can you provide the valuation status for BROADCOM INC?

ChartMill assigns a valuation rating of 4 / 10 to BROADCOM INC (1AVGO.MI). This can be considered as Fairly Valued.


How profitable is BROADCOM INC (1AVGO.MI) stock?

BROADCOM INC (1AVGO.MI) has a profitability rating of 8 / 10.


What is the valuation of BROADCOM INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for BROADCOM INC (1AVGO.MI) is 51.4 and the Price/Book (PB) ratio is 22.14.


Is the dividend of BROADCOM INC sustainable?

The dividend rating of BROADCOM INC (1AVGO.MI) is 4 / 10 and the dividend payout ratio is 45.87%.