AVGO

Broadcom Inc.

Fundamental data last updated:July 12, 2026

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company profile

SECTOR

Technology

industry

Semiconductors

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

09/03/2026

Business Summary

Broadcom Inc. is a prominent global technology enterprise focused on the innovation, development, and supply of advanced semiconductor solutions and critical infrastructure software. The company's headquarters are situated in San Jose, California, and it maintains a significant team of 19,000 full-time staff. Its operations are segmented into four primary divisions: Wired Infrastructure, Wireless Communications, Enterprise Storage, and Industrial & Other. Broadcom’s diverse product range is integrated into numerous end-user technologies, including enterprise and data center networking, residential internet solutions, digital television receivers, telecommunications apparatus, mobile phones, data center servers and storage architectures, industrial automation, alternative and power generation systems, and electronic display technologies. The company's product offerings extend from fundamental discrete components to intricate sub-systems incorporating various device categories. This also encompasses specialized firmware designed to facilitate interaction between analog and digital systems, alongside mechanical hardware engineered to connect with optoelectronic or capacitive sensing technologies.

 


VALUATION

P/E

64.76

Market Cap ($M USD)

$1.90T

Forward P/E

11.43

PEG

0.02

PRICE TO SALES

25.22

PRICE TO BOOK

21.65

EV / EBITDA

46.36

5-Year Average P/E

Free Cash Flow Yield

1.72%

DCF Value

$191.90

Graham Number

$50.67

Price to FCF

58.08

EV to FCF

59.46

Earnings Yield

1.54%

FCF Yield

1.72%

DIVIDEND

Yield

0.64%

Annual Payout

$2.54

Payout Ratio

40.12%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$6.18

Next Year EPS Growth Estimate

$35.00

Next Year Revenue Growth Estimate

$13.90T

Return on Equity (ROE)

36.40%

FREE CASH FLOW

Operating Margin

43.66%

Debt-to-Equity

0.80

Piotroski F-Score

6

Altman Z-Score

13.42

Return on Invested Capital (ROIC)

20.55%

Current Ratio

2.24

Quick Ratio

2.01

Net Debt to EBITDA

1.08

Interest Coverage

10.96

Gross Profit margin

66.96%

FCF PER SHARE

$6.90

REVENUE PER SHARE

$15.90

Gainseekers Quantitative Analysis

Summary

Broadcom Inc. presents a perplexing valuation narrative. Despite a staggering market cap, the stock traded significantly above its DCF Value and Graham Number, suggesting a potential overvaluation. The Forward P/E of 10.59 indicates market optimism for future earnings growth, yet the Earnings Yield of 1.67% is underwhelming. However, the Altman Z-score of 12.95 signals robust financial health, mitigating bankruptcy risk. This juxtaposition of high valuation and financial stability creates a complex investment thesis.

AI Exposure / Tech Reliance

Positioned within the semiconductor industry, Broadcom is strategically poised to capitalize on AI and tech advancements. Its robust infrastructure supports rapid adaptation to emerging technologies. As AI continues to evolve, Broadcom's semiconductor solutions are likely to remain integral to tech innovation.

The Bull Case

For the discerning GARP investor, Broadcom offers compelling strengths. A ROIC of 20.55% underscores its efficient capital deployment, while a Piotroski F-Score of 6 indicates solid financial health. The company's Operating Margin of 43.66% highlights its pricing power and operational efficiency. Despite a modest FCF Yield, its ability to generate consistent cash flow positions it as a resilient player in the tech sector.

The Bear Case

Yet, Broadcom is not without its vulnerabilities. The Price/Book ratio of 20.07 and Price/Sales ratio of 23.38 suggest a potentially inflated valuation. Its EV to EBITDA of 43.05 further emphasizes this overextension. While the stock is not near its 52-week high, the high valuation multiples could deter value investors seeking a margin of safety.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$499.40

Institutional Ownership %

1-Year Beta

1.46

Insider Buying % (6 Mo)

Distance to 52-Week High

23.76%

Distance to 52-Week Low

32.60%

EARNINGS SURPRISE %

1.67%

50-DAY SMA

$406.45

200-DAY SMA

$362.45

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.