BROADCOM INC (1AVGO.MI) Fundamental Analysis & Valuation
BIT:1AVGO • US11135F1012
Current stock price
351.3 EUR
+8.2 (+2.39%)
Last:
This 1AVGO.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
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.
- 1AVGO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of 1AVGO (14.70%) is better than 78.79% of its industry peers.
- 1AVGO has a better Return On Equity (31.27%) than 77.27% of its industry peers.
- 1AVGO has a Return On Invested Capital (11.54%) which is in line with its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1AVGO is below the industry average of 14.97%.
- The 3 year average ROIC (10.89%) for 1AVGO is below the current ROIC(11.54%), indicating increased profibility in the last year.
| Industry Rank | Sector 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%
1.3 Margins
- 1AVGO has a Profit Margin of 36.57%. This is amongst the best in the industry. 1AVGO outperforms 93.94% 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 92.42% of its industry peers.
- 1AVGO's Operating Margin has improved in the last couple of years.
- 1AVGO has a Gross Margin of 67.93%. This is amongst the best in the industry. 1AVGO outperforms 90.91% of its industry peers.
- In the last couple of years the Gross Margin of 1AVGO has grown nicely.
| Industry Rank | Sector 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%
2. 1AVGO.MI Health Analysis
2.1 Basic Checks
- 1AVGO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, 1AVGO has more shares outstanding
- 1AVGO has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, 1AVGO has an improved debt to assets ratio.
2.2 Solvency
- 1AVGO has an Altman-Z score of 14.09. This indicates that 1AVGO is financially healthy and has little risk of bankruptcy at the moment.
- 1AVGO's Altman-Z score of 14.09 is fine compared to the rest of the industry. 1AVGO outperforms 65.15% 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 of 2.28. This is comparable to the rest of the industry: 1AVGO outperforms 53.03% of its industry peers.
- A Debt/Equity ratio of 0.80 indicates that 1AVGO is somewhat dependend on debt financing.
- 1AVGO has a worse Debt to Equity ratio (0.80) than 84.85% of its industry peers.
- Even though the debt/equity ratio score it not favorable for 1AVGO, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 2.28 | ||
| Altman-Z | 14.09 |
ROIC/WACC0.91
WACC12.71%
2.3 Liquidity
- 1AVGO has a Current Ratio of 1.90. This is a normal value and indicates that 1AVGO is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.90, 1AVGO is not doing good in the industry: 74.24% of the companies in the same industry are doing better.
- A Quick Ratio of 1.73 indicates that 1AVGO should not have too much problems paying its short term obligations.
- The Quick ratio of 1AVGO (1.73) is worse than 62.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.73 |
3. 1AVGO.MI Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an impressive 35.74% over the past year.
- 1AVGO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.23% yearly.
- 1AVGO shows a strong growth in Revenue. In the last year, the Revenue has grown by 25.22%.
- The Revenue has been growing by 21.74% on average over the past years. This is a very strong growth!
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 35.91% 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 35.75% on average per year.
EPS Next Y68.68%
EPS Next 2Y62.38%
EPS Next 3Y47.66%
EPS Next 5Y35.91%
Revenue Next Year65.54%
Revenue Next 2Y59.53%
Revenue Next 3Y47.22%
Revenue Next 5Y35.75%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. 1AVGO.MI Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 56.57, the valuation of 1AVGO can be described as expensive.
- 1AVGO's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 26.51. 1AVGO is valued rather expensively when compared to this.
- A Price/Forward Earnings ratio of 22.86 indicates a rather expensive valuation of 1AVGO.
- 84.85% of the companies in the same industry are more expensive than 1AVGO, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of 1AVGO to the average of the S&P500 Index (21.41), we can say 1AVGO is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.57 | ||
| Fwd PE | 22.86 |
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 72.73% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1AVGO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 67.32 | ||
| EV/EBITDA | 53.8 |
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.
- The excellent profitability rating of 1AVGO may justify a higher PE ratio.
- 1AVGO's earnings are expected to grow with 47.66% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.82
PEG (5Y)2.24
EPS Next 2Y62.38%
EPS Next 3Y47.66%
5. 1AVGO.MI Dividend Analysis
5.1 Amount
- With a yearly dividend of 0.62%, 1AVGO is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.50, 1AVGO pays a bit more dividend than its industry peers.
- With a Dividend Yield of 0.62, 1AVGO pays less dividend than the S&P500 average, which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.62% |
5.2 History
- The dividend of 1AVGO is nicely growing with an annual growth rate of 11.45%!
Dividend Growth(5Y)11.45%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 45.87% 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.
DP45.87%
EPS Next 2Y62.38%
EPS Next 3Y47.66%
1AVGO.MI Fundamentals: All Metrics, Ratios and Statistics
BIT:1AVGO (4/30/2026, 7:00:00 PM)
351.3
+8.2 (+2.39%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Industry Strength93.17
Industry Growth93.17
Earnings (Last)03-04 2026-03-04/amc
Earnings (Next)06-03 2026-06-03/amc
Inst Owners79.28%
Inst Owner ChangeN/A
Ins Owners1.85%
Ins Owner ChangeN/A
Market Cap1.66T
Revenue(TTM)68.28B
Net Income(TTM)24.97B
Analysts84.91
Price Target409.51 (16.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.62% |
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)3.78%
PT rev (3m)2.85%
EPS NQ rev (1m)1.14%
EPS NQ rev (3m)12.75%
EPS NY rev (1m)11.08%
EPS NY rev (3m)11.58%
Revenue NQ rev (1m)0.95%
Revenue NQ rev (3m)8.36%
Revenue NY rev (1m)0.44%
Revenue NY rev (3m)7.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.57 | ||
| Fwd PE | 22.86 | ||
| P/S | 28.51 | ||
| P/FCF | 67.32 | ||
| P/OCF | 65.57 | ||
| P/B | 24.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 53.8 |
EPS(TTM)6.21
EY1.77%
EPS(NY)15.37
Fwd EY4.37%
FCF(TTM)5.22
FCFY1.49%
OCF(TTM)5.36
OCFY1.53%
SpS12.32
BVpS14.42
TBVpS-8.71
PEG (NY)0.82
PEG (5Y)2.24
Graham Number44.8807 (-87.22%)
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 14.09 |
F-Score8
WACC12.71%
ROIC/WACC0.91
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 5Y35.91%
Revenue 1Y (TTM)25.22%
Revenue growth 3Y24.38%
Revenue growth 5Y21.74%
Sales Q2Q%29.47%
Revenue Next Year65.54%
Revenue Next 2Y59.53%
Revenue Next 3Y47.22%
Revenue Next 5Y35.75%
EBIT growth 1Y50.21%
EBIT growth 3Y22.33%
EBIT growth 5Y43.11%
EBIT Next Year66.87%
EBIT Next 3Y44.92%
EBIT Next 5Y36.34%
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 6 / 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 56.57 and the Price/Book (PB) ratio is 24.37.
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%.