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

BIT:1AVGO • US11135F1012

288.85 EUR
+13.3 (+4.83%)
Last: Mar 5, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership

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

Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to 1AVGO. 1AVGO was compared to 64 industry peers in the Semiconductors & Semiconductor Equipment industry. While 1AVGO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1AVGO is valued quite expensive, but it does show an excellent growth.


Dividend Valuation Growth Profitability Health

7

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.
  • 1AVGO had positive earnings in each of the past 5 years.
  • 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 13.52%, 1AVGO is doing good in the industry, outperforming 67.19% of the companies in the same industry.
  • With a decent Return On Equity value of 28.45%, 1AVGO is doing good in the industry, outperforming 76.56% of the companies in the same industry.
  • 1AVGO has a Return On Invested Capital (10.66%) which is comparable to the rest of the industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for 1AVGO is below the industry average of 15.14%.
Industry RankSector Rank
ROA 13.52%
ROE 28.45%
ROIC 10.66%
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 36.20%. This is amongst the best in the industry. 1AVGO outperforms 95.31% of its industry peers.
  • 1AVGO's Profit Margin has improved in the last couple of years.
  • 1AVGO's Operating Margin of 40.94% is amongst the best of the industry. 1AVGO outperforms 92.19% of its industry peers.
  • 1AVGO's Operating Margin has improved in the last couple of years.
  • With an excellent Gross Margin value of 67.89%, 1AVGO belongs to the best of the industry, outperforming 89.06% of the companies in the same industry.
  • In the last couple of years the Gross Margin of 1AVGO has grown nicely.
Industry RankSector Rank
OM 40.94%
PM (TTM) 36.2%
GM 67.89%
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

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4

2. 1AVGO.MI Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1AVGO is destroying value.
  • Compared to 1 year ago, 1AVGO has more shares outstanding
  • Compared to 5 years ago, 1AVGO has more shares outstanding
  • Compared to 1 year ago, 1AVGO has an improved debt to assets ratio.
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

  • An Altman-Z score of 11.68 indicates that 1AVGO is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 11.68, 1AVGO is doing good in the industry, outperforming 75.00% of the companies in the same industry.
  • 1AVGO has a debt to FCF ratio of 2.42. This is a good value and a sign of high solvency as 1AVGO would need 2.42 years to pay back of all of its debts.
  • With a Debt to FCF ratio value of 2.42, 1AVGO perfoms like the industry average, outperforming 54.69% of the companies in the same industry.
  • A Debt/Equity ratio of 0.76 indicates that 1AVGO is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.76, 1AVGO is not doing good in the industry: 85.94% of the companies in the same industry are doing better.
  • 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 0.76
Debt/FCF 2.42
Altman-Z 11.68
ROIC/WACC0.97
WACC10.96%
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

  • 1AVGO has a Current Ratio of 1.71. This is a normal value and indicates that 1AVGO is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 1.71, 1AVGO is doing worse than 84.38% of the companies in the same industry.
  • A Quick Ratio of 1.58 indicates that 1AVGO should not have too much problems paying its short term obligations.
  • 1AVGO has a Quick ratio of 1.58. This is in the lower half of the industry: 1AVGO underperforms 65.63% of its industry peers.
Industry RankSector Rank
Current Ratio 1.71
Quick Ratio 1.58
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

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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 40.47%, which is quite impressive.
  • The Earnings Per Share has been growing by 25.23% on average over the past years. This is a very strong growth
  • Looking at the last year, 1AVGO shows a very strong growth in Revenue. The Revenue has grown by 23.87%.
  • 1AVGO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.74% yearly.
EPS 1Y (TTM)40.47%
EPS 3Y21.91%
EPS 5Y25.23%
EPS Q2Q%37.32%
Revenue 1Y (TTM)23.87%
Revenue growth 3Y24.38%
Revenue growth 5Y21.74%
Sales Q2Q%28.18%

3.2 Future

  • 1AVGO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.32% yearly.
  • 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 Y50.89%
EPS Next 2Y44.81%
EPS Next 3Y37.14%
EPS Next 5Y28.32%
Revenue Next Year53.36%
Revenue Next 2Y45.66%
Revenue Next 3Y37.92%
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

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3

4. 1AVGO.MI Valuation Analysis

4.1 Price/Earnings Ratio

  • 1AVGO is valuated quite expensively with a Price/Earnings ratio of 49.21.
  • 1AVGO's Price/Earnings ratio is a bit more expensive when compared to the industry. 1AVGO is more expensive than 64.06% of the companies in the same industry.
  • 1AVGO is valuated expensively when we compare the Price/Earnings ratio to 26.29, which is the current average of the S&P500 Index.
  • Based on the Price/Forward Earnings ratio of 32.61, the valuation of 1AVGO can be described as expensive.
  • Based on the Price/Forward Earnings ratio, 1AVGO is valued a bit more expensive than the industry average as 60.94% of the companies are valued more cheaply.
  • 1AVGO is valuated rather expensively when we compare the Price/Forward Earnings ratio to 24.57, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 49.21
Fwd PE 32.61
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

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1AVGO indicates a slightly more expensive valuation: 1AVGO is more expensive than 79.69% of the companies listed in the same industry.
  • 1AVGO's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 59.12
EV/EBITDA 46.95
1AVGO.MI Per share data1AVGO.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10

4.3 Compensation for Growth

  • 1AVGO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • 1AVGO has a very decent profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as 1AVGO's earnings are expected to grow with 37.14% in the coming years.
PEG (NY)0.97
PEG (5Y)1.95
EPS Next 2Y44.81%
EPS Next 3Y37.14%

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4

5. 1AVGO.MI Dividend Analysis

5.1 Amount

  • 1AVGO has a yearly dividend return of 0.81%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.69, 1AVGO pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.81, 1AVGO pays less dividend than the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 0.81%

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

  • 48.18% of the earnings are spent on dividend by 1AVGO. 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.
DP48.18%
EPS Next 2Y44.81%
EPS Next 3Y37.14%
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

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

BROADCOM INC

BIT:1AVGO (3/5/2026, 7:00:00 PM)

288.85

+13.3 (+4.83%)

Chartmill FA Rating
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)12-11
Earnings (Next)03-04
Inst Owners79.09%
Inst Owner ChangeN/A
Ins Owners1.92%
Ins Owner ChangeN/A
Market Cap1.37T
Revenue(TTM)63.89B
Net Income(TTM)23.13B
Analysts85.36
Price Target394.59 (36.61%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.81%
Yearly Dividend2
Dividend Growth(5Y)11.45%
DP48.18%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.58%
Min EPS beat(2)0.5%
Max EPS beat(2)2.65%
EPS beat(4)3
Avg EPS beat(4)1.91%
Min EPS beat(4)-0.93%
Max EPS beat(4)5.39%
EPS beat(8)6
Avg EPS beat(8)1.67%
EPS beat(12)8
Avg EPS beat(12)0.98%
EPS beat(16)10
Avg EPS beat(16)0.95%
Revenue beat(2)1
Avg Revenue beat(2)-0.1%
Min Revenue beat(2)-1.17%
Max Revenue beat(2)0.96%
Revenue beat(4)2
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-1.89%
Max Revenue beat(4)0.96%
Revenue beat(8)4
Avg Revenue beat(8)-0.43%
Revenue beat(12)4
Avg Revenue beat(12)-0.99%
Revenue beat(16)5
Avg Revenue beat(16)-0.91%
PT rev (1m)-0.9%
PT rev (3m)15.65%
EPS NQ rev (1m)1.21%
EPS NQ rev (3m)3.7%
EPS NY rev (1m)-0.19%
EPS NY rev (3m)8.94%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)4.94%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)12.47%
Valuation
Industry RankSector Rank
PE 49.21
Fwd PE 32.61
P/S 24.9
P/FCF 59.12
P/OCF 57.78
P/B 19.57
P/tB N/A
EV/EBITDA 46.95
EPS(TTM)5.87
EY2.03%
EPS(NY)8.86
Fwd EY3.07%
FCF(TTM)4.89
FCFY1.69%
OCF(TTM)5
OCFY1.73%
SpS11.6
BVpS14.76
TBVpS-8.86
PEG (NY)0.97
PEG (5Y)1.95
Graham Number44.15
Profitability
Industry RankSector Rank
ROA 13.52%
ROE 28.45%
ROCE 17.14%
ROIC 10.66%
ROICexc 11.93%
ROICexgc 257.21%
OM 40.94%
PM (TTM) 36.2%
GM 67.89%
FCFM 42.13%
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-Score9
Asset Turnover0.37
Health
Industry RankSector Rank
Debt/Equity 0.76
Debt/FCF 2.42
Debt/EBITDA 1.77
Cap/Depr 7.1%
Cap/Sales 0.98%
Interest Coverage 9.79
Cash Conversion 78.83%
Profit Quality 116.38%
Current Ratio 1.71
Quick Ratio 1.58
Altman-Z 11.68
F-Score9
WACC10.96%
ROIC/WACC0.97
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)40.47%
EPS 3Y21.91%
EPS 5Y25.23%
EPS Q2Q%37.32%
EPS Next Y50.89%
EPS Next 2Y44.81%
EPS Next 3Y37.14%
EPS Next 5Y28.32%
Revenue 1Y (TTM)23.87%
Revenue growth 3Y24.38%
Revenue growth 5Y21.74%
Sales Q2Q%28.18%
Revenue Next Year53.36%
Revenue Next 2Y45.66%
Revenue Next 3Y37.92%
Revenue Next 5Y30.05%
EBIT growth 1Y71.53%
EBIT growth 3Y22.33%
EBIT growth 5Y43.11%
EBIT Next Year54.61%
EBIT Next 3Y35.9%
EBIT Next 5Y32.68%
FCF growth 1Y38.63%
FCF growth 3Y18.17%
FCF growth 5Y18.34%
OCF growth 1Y37.95%
OCF growth 3Y18.06%
OCF growth 5Y17.95%

BROADCOM INC / 1AVGO.MI FAQ

Can you provide the ChartMill fundamental rating for BROADCOM INC?

ChartMill assigns a fundamental rating of 6 / 10 to 1AVGO.MI.


Can you provide the valuation status for BROADCOM INC?

ChartMill assigns a valuation rating of 3 / 10 to BROADCOM INC (1AVGO.MI). This can be considered as Overvalued.


What is the profitability of 1AVGO stock?

BROADCOM INC (1AVGO.MI) has a profitability rating of 7 / 10.


Can you provide the PE and PB ratios for 1AVGO stock?

The Price/Earnings (PE) ratio for BROADCOM INC (1AVGO.MI) is 49.21 and the Price/Book (PB) ratio is 19.57.


Can you provide the expected EPS growth for 1AVGO stock?

The Earnings per Share (EPS) of BROADCOM INC (1AVGO.MI) is expected to grow by 50.89% in the next year.